Cumberland Oil & Gas Ltd. Announces Filing of September 30, 2011 Interim Financial Statements and MD&A

Cumberland Oil & Gas Ltd. (TSX VENTURE:COG) ("Cumberland" or the "Company") has
filed its unaudited interim financial statements and related Management's
Discussion and Analysis ("MD&A") for the three months (the "Quarter") and nine
months ended September 30, 2011. Copies of these documents may be obtained under
Cumberland's SEDAR profile via the SEDAR website at www.sedar.com or through the
Company's website at www.cumberlandltd.com.


Highlights



--  Record production volumes for the Quarter of 101 boe per day, a 49%
    increase from the same period in 2010. 
--  Production mix of 52% light oil and 48% natural gas. 
--  Valhalla Doe Creek "M" Pool responding to water-flood, with average
    daily oil production for the Quarter of 52 bbl per day, up from 15 bbl
    per day since implementation. 
--  Oil and gas sales increased 177% from the comparable quarter in 2010. 
--  Operating netbacks for the Quarter improved 185% from comparable period.
--  Positive operating cash flow for the Quarter. 
--  Acquired remaining 60% interest in liquids rich Montney lands at West
    Nig for $250,000. 
--  Positive working capital of $0.95 million at September 30, 2011.

                              Three months ended        Nine months ended   
                                 September 30             September 30      
                                                                            
Financial                          2011        2010         2011        2010
----------------------------------------------------------------------------
                                                                            
Oil and gas sales               537,977     193,864    1,303,197     603,147
Cash flow (1)                    69,130   (125,621)    (160,335)   (754,936)
 Per basic and diluted                                                      
  share                            0.00      (0.00)       (0.00)      (0.02)
Cash used in operating                                                      
 activites                     (55,841)   (232,711)    (318,651)   (859,016)
 Per basic and diluted                                                      
  share                          (0.00)      (0.01)       (0.01)      (0.03)
Net loss                       (53,555)   (233,967)    (296,902) (1,074,729)
 Per basic and diluted                                                      
  share                          (0.00)      (0.01)       (0.01)      (0.03)
Capital expenditures, net       310,403   1,397,076      369,120   2,032,311
Working capital (2)             947,230   2,964,547      947,230   2,964,547
Weighted average shares                                                     
 Basic and diluted           35,684,319  35,504,971   35,684,319  31,004,504
                                                                            
Notes:                                                                      
(1) Represents cash flow from operating activities before changes in non-   
cash working capital.                                                       
(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                               2011      2010       2011      2010
----------------------------------------------------------------------------
                                                                            
Average Daily Production                                                    
 Crude oil (bbl/d)                         52        13         39        13
 Natural gas (mcf/d)                      292       329        282       313
 Oil equivalent (boe/d @ 6:1)             101        68         86        65
 Crude oil weighting (%)                   51        19         45        20
                                                                            
Average Realized Prices                                                     
 Crude oil ($/bbl)                      92.13     71.71      94.65     72.59
 Natural gas ($/mcf)                     3.63      3.51       3.74      4.08
 Oil equivalent ($/boe @ 6:1)           58.12     30.96      55.33     33.97
 Netback ($/boe)                        28.57     10.01      23.04     11.58



Valhalla Doe Creek "M" Pool

In late 2010, the Company successfully completed construction and installation
of water-flood facilities at its Valhalla Doe Creek "M" Pool (the "Pool"). The
Company has seen Pool volumes increase from less than 15 bbls per day in January
2011, to over 50 bbls per day of light oil by the end of the third quarter. The
Company expects to drill an additional water injection well in the first half of
2012 to further enhance water-injection and light oil production.


NE British Columbia

During the Quarter, Cumberland acquired the remaining 60% working interest on
its acreage in the liquids-rich Montney natural gas play in northeast British
Columbia from its partner. The Company now owns 2,816 net acres of land at West
Nig, highly prospective for development of liquids-rich natural gas and
condensate, in both the Upper and Lower Montney formations. The lands are
situated on a well-defined structure proximal to recent drilling success by
competitors and are adjacent to infrastructure and afford year round access. The
Company plans to recomplete and test an existing cased wellbore to evaluate the
productive capability of both the Upper and Lower Montney zones on its land.
Both zones have been successfully developed by competitors in this region. The
potential exists for up to fourteen (14 net) horizontal legs in each Montney
zone.


SW Saskatchewan

The Company has over 1,150 net acres of land at Chambery and Dollard in the
Shaunavon medium gravity oil trend in southwest Saskatchewan. The lands off-set
both existing Upper Shaunavon producing wells and recently drilled horizontal
Lower Shaunavon wells. The Company's independent engineering consultants
assigned over 100,000 bbls of probable undeveloped reserves to a 100% horizontal
well location at Chambery, with an initial estimated production rate of
approximately 100 bbls per day of oil pursuant to a report dated March 18, 2011.
Cumberland expects to drill this well during 2012 and has identified six
additional Shaunavon horizontal locations for a total of 7 (5.2 net) horizontal
locations on its lands.


Reader Advisories

Forward-Looking Statements 

This news 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", "should",
"believe", "intends" and similar expressions are intended to identify
forward-looking information or statements. In particular, but without limiting
the foregoing, this news release contains forward-looking information and
statements pertaining to the following: the volumes and estimated value of
Cumberland's oil and gas reserves; anticipated production volumes from the
expected well at Chambery and from the Pool with continued water-flood
activities; anticipated operational activities; the sources of funding for
certain of the company's future operations; the life of Cumberland's reserves,
the volume and product mix of Cumberland's production; future oil and natural
gas prices; future liquidity and financial capacity; the total future capital
associated with development of reserves and resources; future operating costs,
royalty rates and exchange rates.


The recovery and reserve estimates of Cumberland's reserves provided herein are
estimates only and there is no guarantee that the estimated reserves will be
recovered. In addition, forward-looking statements or information are based on a
number of material factors, expectations or assumptions of Cumberland which have
been used to develop such statements and information but which may prove to be
incorrect. Although Cumberland believes that the expectations reflected in such
forward-looking statements or information are reasonable, undue reliance should
not be placed on forward-looking statements because Cumberland can give no
assurance that such expectations will prove to be correct. In addition to other
factors and assumptions which may be identified herein, assumptions have been
made regarding, among other things: results from drilling and development
activities consistent with past operations and offsetting wells; the effect of
water-flood activities at the Pool; continued and timely development of
infrastructure in areas of new production; availability of debt and equity
financing and cash flow to fund Cumberland's current and future plans and
expenditures; the impact of increasing competition; stability of the economic
and political environment in which Cumberland operates; timely receipt of any
required regulatory approvals; ability of Cumberland to obtain qualified staff,
equipment and services in a timely and cost efficient manner; drilling results;
ability of the operator of the projects in which Cumberland has an interest in
to operate the field in a safe, efficient and effective manner; ability of
Cumberland to obtain financing on acceptable terms; field production and decline
rates; ability to replace and expand oil and gas reserves through acquisition,
development and exploration; timing and cost of pipeline, storage and facility
construction and expansion and the ability of Cumberland to secure product
transportation; future commodity prices; currency, exchange and interest rates;
regulatory framework regarding royalties, taxes, and environmental matters in
the jurisdictions in which Cumberland operates; and the ability of Cumberland to
successfully market its oil and natural gas products.


The forward-looking information and statements included in this news release are
not guarantees of future performance and should not be unduly relied upon. Such
information and statements, including the assumptions made in respect thereof,
involve known and unknown risks, uncertainties and other factors that may cause
actual results or events to differ materially from those anticipated in such
forward-looking information or statements including, without limitation; changes
in commodity prices; changes in the demand for or supply of Cumberland's
products; unanticipated operating results or production declines; changes in tax
or environmental laws, royalty rates or other regulatory matters; changes in
development plans of Cumberland or by third party operators of Cumberland's
properties, inaccurate estimation of Cumberland's oil and gas reserve and
resource volumes; limited or a lack of access to capital markets; increased
costs; inadequate insurance coverage; impact of competitors and certain other
risks detailed from time-to-time in Cumberland's public disclosure documents
(including, without limitation, those risks identified in this news release and
Cumberland's Annual Information Form).


The forward-looking information and statements contained in this news release
speak only as of the date of this news release and Cumberland does not assume
any obligation to publicly update or revise any of the included forward-looking
statements or information, 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.


Non-IFRS Measures

This news release includes references to financial measures commonly used in the
oil and gas industry such as "cash flow" which does not have any standardized
meaning prescribed by International Financial Reporting Standards ("IFRS").
Management believes that in addition to net income (loss), cash flow is a useful
supplemental measure as it is a measure of a company's ability to generate the
cash necessary to repay debt or fund future growth through capital investment.
However, investors are cautioned that this measure should not be construed as an
alternative to net income (loss) determined in accordance with IFRS as an
indication of performance. The method of calculating this measure may differ
from other companies and accordingly, they may not be comparable to similar
measures used by other companies.