Mr. James Evaskevich reports

YANGARRA ANNOUNCES CLOSING OF BOUGHT DEAL FINANCING

Yangarra Resources Ltd. has closed its recently announced bought deal financing, completed by way of a short form prospectus, for the sale of 10 million common shares of the corporation at a price of $1.00 per common share, together with an additional 1.5 million common shares at a price of $1.00 per common share issued pursuant to the full exercise of the overallotment option granted to the underwriters, for aggregate gross proceeds of $11.5-million.

The offering was underwritten by a syndicate of underwriters led by AltaCorp Capital Inc., and including Acumen Capital Finance Partners Limited, Clarus Securities Inc., Dundee Capital Markets, Industrial Alliance Securities Inc., Paradigm Capital Inc. and Raymond James Ltd.

The corporation intends to use the net proceeds from the offering to reduce its current outstanding indebtedness, and thereafter subsequently draw on its available credit thereunder to finance a number of opportunities, including farm-ins, land acquisitions, drilling opportunities, infrastructure initiatives and equipment purchases. Yangarra has recently added 15 sections of Cardium land and has started preliminary work on a truck terminal to aggregate and treat oil production in central Alberta.

All common shares of the corporation issued pursuant to the offering are, subject to certain exceptions in limited circumstances, freely tradeable under applicable securities laws in force in Canada.

We seek Safe Harbor.