Mr. Mark Jarvis reports

SHOAL POINT ARRANGES LOAN FACILITY WITH CEO

Shoal Point Energy Ltd. has entered into a revolving loan facility with its chief executive officer, Mark Jarvis, whereby Mr. Jarvis has agreed to loan the company up to $150,000 from time to time in such instalment amounts as the company and the lender may agree.

Interest on outstanding principal shall be charged to Shoal Point at the rate of 5 per cent per annum, compounded semi-annually.

Shoal Point has granted a registrable first ranking security interest in all of its personal and after acquired personal property as security for the loan.

About Shoal Point Energy Ltd.

Shoal Point Energy is a public company listed on the Canadian Securities Exchange exchange under the symbol SHP. The company is suing the government of Newfoundland and Labrador substantial damages for "de facto expropriation" or "constructive taking" of its rights to develop its oil and gas interests in western Newfoundland.