Cumberland Oil & Gas Ltd. Announces Filing of September 30, 2010 Interim Financial Statements and MD&A and Provides Operational

Cumberland Oil & Gas Ltd. ("Cumberland") (TSX VENTURE:COG) has filed its
unaudited interim financial statements and related Management's Discussion and
Analysis ("MD&A") for the interim period ended September 30, 2010. Copies of
these documents may be obtained under Cumberland's SEDAR profile via the SEDAR
website at www.sedar.com.


Highlights



--  Received regulatory approval to commence injecting water into the
    Valhalla Doe Creek 'M" Pool, as part of a secondary recovery project. 
--  Drilled, completed and tied in 2 (2.0 net) light oil wells in the
    Valhalla Doe Creek "M" Pool. 
--  Converted 2 existing oil producers to water injection wells for the
    Valhalla secondary recovery project. 
--  Assembled exploration lands in the Peace River Arch area of Alberta
    for both Doe Creek light oil and high impact natural gas. 
--  Increased production volumes to 68 boepd, 19% higher than the same
    period last year. 
--  Closed a flow-through common share private placement financing for
    gross proceeds of $907,500. 
--  Positive working capital of $2.96 million at September 30, 2010. 

                                 Three months ended       Nine months ended
                                       September 30            September 30
Financial                          2010        2009        2010        2009
----------------------------------------------------------------------------
Oil and gas sales               193,864      91,650     603,147     307,182
Funds used in
 operations (1)                (125,621)   (169,929)   (754,936)   (519,258)
 Per basic and diluted
  share                           (0.00)      (0.01)      (0.02)      (0.02)
Cash used in operating
 activities                    (232,711)    (69,198)   (859,016)   (481,107)
 Per basic and diluted
  share                           (0.01)      (0.00)      (0.03)      (0.02)
Net loss                       (302,181)   (318,717) (1,253,300)   (786,330)
 Per basic and diluted
  share                           (0.01)      (0.02)      (0.04)      (0.04)
Capital expenditures, net     1,397,076     204,838   2,032,311   1,059,570
Working capital (2)           2,964,548   1,693,815   2,964,548   1,693,815
Weighted average shares
 Basic and diluted           35,504,971  20,738,887  31,004,504  21,070,755

Notes:

1.  Funds used in operations is calculated as cash used in operating
    activities and adding changes in non-cash working capital, if any.
    Funds
    used in operations per share is calculated using the basic and 
    diluted weighted-average number of shares for the period. Funds used
    in operations and funds used in operations per share are used to
    analyze Cumberland's operating performance. Funds used in operations 
    and funds used in operations per share do not have standardized 
    measures prescribed by Canadian GAAP and therefore may not be 
    comparable with calculations of similar measures for other companies.
2.  Working capital includes cash and cash equivalents, accounts 
    receivable, deposits and prepaid expenses, and accounts payable and
    accrued liabilities. 

                                 Three months ended       Nine months ended
                                       September 30            September 30
Operations                         2010        2009        2010        2009
----------------------------------------------------------------------------
Daily production
 Crude oil (bbl/d)                   13           -          13           -
 Natural gas (mcf/d)                329         344         313         312
 Oil equivalent (boe/d @ 6:1)        68          57          65          52

Average prices
 Crude oil ($/bbl)                71.71           -       72.59           -
 Natural gas ($/mcf)               3.51        2.90        4.08        3.61
 Oil equivalent ($/boe)           30.96       17.40       33.97       21.66

Netback
 Operating netback 
  ($/boe)(1)                      10.01        1.14       11.58        6.72

 Note:

1.  Operating netback equals oil and gas sales less royalties, operating
    expenses and transportation costs, calculated on a boe basis. 
    Operating netback does not have a standardized measure prescribed by 
    Canadian GAAP and therefore may not be comparable with the 
    calculation of similar measures for other companies. 

Valhalla Doe Creek "M" Pool 

During the third quarter, Cumberland drilled, cased and completed two 
(2.0 net) light oil wells at Valhalla. These wells were completed in the 
Doe Creek interval and placed on production before the end of the 
quarter. Coincident with the drilling of these new producing wells, two 
existing producing oil wells were re-stimulated and converted to water 
injection wells.

The construction of injection and gathering facilities at Valhalla is now 
complete and Cumberland commenced full scale water injection on November 
15, 2010.

Reader Advisories 

Forward-Looking Statements: This news release contains certain forward-
looking statements, including management's assessment of future plans and 
operations, including expectations on the commencement of water injection 
operations at Valhalla and the timing thereof, that involve substantial 
unknown risks, uncertainties and assumptions, some of which are beyond 
the Company's control. Such risks, uncertainties and assumptions include, 
without limitation, those associated with oil and gas exploration, 
development, exploitation, production, marketing, processing and 
transportation, loss of markets, volatility of commodity prices, 
imprecision of reserve estimates, environmental risks, failure to receive 
the requisite regulatory approvals, competition from other producers, 
inability to retain drilling rigs and other services, delays resulting 
from or inability to obtain required regulatory approvals and ability to 
access sufficient capital from internal and external sources, the impact 
of general economic conditions globally and in Canada, industry 
conditions, changes in laws and regulations (including the adoption of 
new environmental laws and regulations) and changes in how they are 
interpreted and enforced, the lack of availability of qualified personnel 
or management, fluctuations in foreign exchange or interest rates, stock 
market volatility and obtaining required approvals of regulatory 
authorities. Cumberland's actual results, performance or achievements 
could differ materially from those expressed in, or implied by, those 
forward-looking statements and, accordingly, no assurances can be given 
that any of the events anticipated by the forward-looking statements will 
transpire or occur, or if any of them do so, what benefits that 
Cumberland will derive therefrom. Readers are cautioned that the 
foregoing list is not exhaustive. Additional information on these and 
other factors that could affect Cumberland's operations and financial 
results are included in reports on file with Canadian securities 
regulatory authorities and may be accessed through the SEDAR website 
(www.sedar.com). All subsequent forward-looking statements, whether 
written or oral, attributable to Cumberland or persons acting on its 
behalf are expressly qualified in their entirety by these cautionary 
statements. Furthermore, the forward-looking statements contained in this 
news release are made as at the date of this news release and Cumberland 
does not undertake any obligation to update publicly or to revise any of 
the included forward-looking statements, whether as a result of new 
information, future events or otherwise, except as may be required by 
applicable securities laws.

Boe's may be misleading, particularly if used in isolation. A boe 
conversion of 6 mcf: 1 bbl is based on an energy equivalency conversion 
method primarily applicable at the burner tip and does not represent a 
value equivalency at the wellhead.