Carmen Energy Inc. Announces Closing of Private Placement

CALGARY, ALBERTA--(Marketwired - May 24, 2013) - Carmen Energy Inc. (TSX VENTURE:CEI) ("Carmen" or the "Corporation") announces that it has closed its previously announced non-brokered private placement for $300,000 (the "Private Placement") at a price of $0.02 per Common Share. Carmen intends to use the proceeds as follows:

1. Costs associated with printing and mailing of annual meeting materials: $1,890;
   
   
2. Owing to CRA: $5,500;
   
   
3. Owing to Transfer Agent for Quarterly fees: $1,860;
   
   
4. Owing to Auditors for year end and quarterly audit work: $38,250;
   
   
5. Outstanding legal bills: $81,275;
   
   
6. Legal fees for asset disposition and AGM: $25,000;
   
   
7. Permitted Excluded amount for working capital: $50,000; and
   
   
8. Accrued and owing salary payments $96,225.
   
   Total: $300,000
   

The securities issued pursuant to the Private Placement will be subject to a four-month hold period from the closing date.

The Private Placement is subject to approval from the TSX Venture Exchange.

About Carmen Energy Inc.: Carmen is based in Calgary, Alberta and a publicly traded oil and gas exploration and production company. The focus is on exploration and development of Western Canadian Sedimentary Basin based oil and gas properties.

FORWARD LOOKING INFORMATION

This press release contains certain forward-looking information and statements within the meaning of applicable securities laws. The use of any of the words "expect", "anticipate", "continue", "estimate", "may", "will", "project", "should", "believe", "plans", "intends" and similar expressions are intended to identify forward-looking information or statements. In particular, but without limiting the forgoing, this press release contains statements concerning the anticipated timing of the closing or closings of the Private Placement and the anticipated use of the proceeds of the Private Placement.

Forward-looking statements or information are based on a number of material factors, expectations or assumptions of Carmen which have been used to develop such statements and information but which may prove to be incorrect. Although Carmen believes that the expectations reflected in these forward-looking statements are reasonable, undue reliance should not be placed on them because Carmen can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. The intended use of the proceeds of the Private Placement by Carmen might change if the board of directors of the Corporation determines that it would be in the best interests of Carmen to deploy the proceeds for some other purposes.

The forward-looking statements contained in this press release are made as of the date hereof and Carmen undertakes no obligations to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.