Canadian Quantum Provides Alexander Project Update

Canadian Quantum Energy Corporation ("Canadian Quantum" or the "Company") (TSX
VENTURE:CQM) announced today that the 16-11-56-27W4 ("16-11") well, which swab
tested oil from both the Alexander and Detrital zones, was production tested
commencing July 3rd, 2012. After an initial test that only produced water, the
Alexander sand was isolated from the Ellerslie and Detrital zones that had been
perforated during completion and was production tested at a rate of
approximately 16 m3 of fluid per day with oil cuts of up to 3% over a forty day
period. The 16-11 well was then shut-in pending a complete technical review of
all of the available data. The technical review included the integration of the
data from a nine square mile 3D seismic program that was shot, processed and
interpreted subsequent to the drilling the 16-11 well, as well as recently
released confidential well information from the offsetting Petro-Reef
9-12-56-27W4 ("9-12") well which was drilled roughly 1.5 km east of the 16-11
well. The 9-12 well has been a solid producer from the Detrital zone over the
last year with a reported average 90 day initial production rate of 117 barrels
of oil equivalent / day ("boe/d") and an average 365 day initial production rate
of 98 boe/d. After integrating the data from the 9-12 well with the Company's 3D
seismic data and log and production data from the 16-11 well it was determined
that the 16-11 well was unfortunately not drilled in the optimum location for
oil production from either the Detrital or the Alexander formations. Although
the 16-11 well is currently shut-in, the Operator and Canadian Quantum are now
proceeding to license three additional locations that directly offset the 16-11
well. The drilling of these test wells is contingent upon the Company securing
the funding through either an equity raise, convertible debt or by bringing in
one or more joint venture partners. The first of the three new wells to be
drilled will be a nearby offset to the 16-11 well specifically targeting the
Detrital Sand. 


Douglas Brett, Canadian Quantum's President and CEO states "Although our 16-11
well was not a commercial success we have proven that the zones that are
productive in the immediate area, exist on our lands and that they are "oil
bearing". The lower Detrital zone, which was not well developed in our 16-11
well, did test oil with a low water cut and will be better exploited in the
three offset wells which we plan to drill in the near future. Our new locations
will have the added advantage of 3D seismic and new offset well data and will be
specifically targeted for the Detrital Sand."


Canadian Quantum Energy Corporation holds 640 gross acres at Turin, Alberta and
17,280 gross acres / 27 sections (8,640 net acres) on the Alexander First
Nations Permit in Central Alberta along with various interests in approximately
174,000 gross acres covered by four permits in the St. Lawrence Lowlands, Quebec
Utica Shale Play.


This news release may contain certain forward-looking information. All
statements included herein, other than statements of historical fact, is
forward-looking information and such information involves various risks and
uncertainties. There can be no assurance that such information will prove to be
accurate, and actual results and future events could differ materially from
those anticipated in such information. A description of assumptions used to
develop such forward-looking information and a description of risk factors that
may cause actual results to differ materially from forward-looking information
can be found in the Company's disclosure documents on the SEDAR website at
www.sedar.com. The Company does not undertake to update any forward-looking
information except in accordance with applicable securities laws.