Cub Energy Announces North Makeevskoye-4 Commences Drilling

Cub Energy Inc. ("Cub" or the "Company") (TSX VENTURE:KUB) announces that the
North Makeevskoye-4 ("NM-4") exploration well commenced drilling on June 16,
2014. NM-4 is operated by KUB-Gas LLC ("KUB-Gas"), a partially-owned subsidiary
in which Cub has a 30% effective ownership interest through its 30% shareholding
of KUBGAS Holdings Limited ("KUB Holdings").


NM-4 is located approximately 3 kilometres west of the NM-3 well drilled in July
2013. It is a combination structural/stratigraphic play targeting Moscovian aged
channel sands, defined from amplitude anomalies observed on 3D seismic data. The
NM-4 prospect is estimated to have 1 Bcf of prospective resources (best
estimate) by the Company's independent third party evaluator (as of December 31,
2013). The planned total depth is 2,000 metres and the well is expected to take
41 days to drill. 


If NM-4 is successful, it will strengthen the chances of success on two more
fault blocks within the same channel system, and could open up a new exploration
fairway within the Olgovskoye, Makeevskoye and North Makeevskoye licences.


North Makeevskoye Licence

North Makeevskoye is the largest of the five licences in which Cub participates
through its working interest in KUB-Gas. It does not yet have production, but
the NM-3 well drilled in 2013 tested small amounts of oil from the Visean
section. A stimulation is planned for later this year to try to achieve a
commercial flow rate. 


Further Dividends from KUB Holdings

KUB Holdings has declared dividends of approximately $12.6 million ($3.8 million
net to Cub) year-to-date in 2014, including $9.2 million ($2.8 million net to
Cub) so far in the second quarter. 


Mikhail Afendikov, Cub's Chief Executive Officer said, "These dividends reflect
the continued success of operations in eastern Ukraine -- without interruption
-- despite the isolated political violence ongoing in the eastern region of the
country." 


The proceeds of the dividends are continuing to fund the Company's exploration
and development efforts in western Ukraine - namely, Cub's 100%-owned
Rusko-Komarovske ("RK") licence and for general working capital. 


About Cub Energy Inc.

Cub Energy Inc. (TSX VENTURE:KUB) is an upstream oil and gas company, with a
proven track record of exploration and production cost efficiency in the Black
Sea region. The Company's strategy is to implement western technology and
capital, combined with local expertise and ownership, to increase value in its
undeveloped land base, creating and further building a portfolio of producing
oil and gas assets within a high pricing environment.


For further information please contact us or visit our website: www.cubenergyinc.com

Reader Advisory

Except for statements of historical fact, this news release contains certain
"forward-looking information" within the meaning of applicable securities law.
Forward-looking information is frequently characterized by words such as "plan",
"expect", "project", "intend", "believe", "anticipate", "estimate" and other
similar words, or statements that certain events or conditions "may" or "will"
occur. Cub believes that the expectations reflected in the forward-looking
information are reasonable; however there can be no assurance those expectations
will prove to be correct. We cannot guarantee future results, performance or
achievements. Consequently, there is no representation that the actual results
achieved will be the same, in whole or in part, as those set out in the
forward-looking information. Prospective resources are those quantities of
petroleum estimated, as of a given date, to be potentially recoverable from
undiscovered accumulations by application of future development projects.
Prospective resources have both an associated chance of discovery and a chance
of development. There is no certainty that it will be commercially viable to
produce any portion of the prospective resources.


Forward-looking information is based on the opinions and estimates of management
at the date the statements are made, and are subject to a variety of risks and
uncertainties and other factors that could cause actual events or results to
differ materially from those anticipated in the forward-looking information.
Some of the risks and other factors that could cause the results to differ
materially from those expressed in the forward-looking information include, but
are not limited to: general economic conditions in Ukraine, the Black Sea Region
and globally; industry conditions, including fluctuations in the prices of
natural gas; governmental regulation of the natural gas industry, including
environmental regulation; unanticipated operating events or performance which
can reduce production or cause production to be shut in or delayed; failure to
obtain industry partner and other third party consents and approvals, if and
when required; competition for and/or inability to retain drilling rigs and
other services; the availability of capital on acceptable terms; the need to
obtain required approvals from regulatory authorities; stock market volatility;
volatility in market prices for natural gas; liabilities inherent in natural gas
operations; competition for, among other things, capital, acquisitions of
reserves, undeveloped lands, skilled personnel and supplies; incorrect
assessments of the value of acquisitions; geological, technical, drilling,
processing and transportation problems; changes in tax laws and incentive
programs relating to the natural gas industry; failure to realise the
anticipated benefits of acquisitions and dispositions; and the other factors.
Readers are cautioned that this list of risk factors should not be construed as
exhaustive.


This cautionary statement expressly qualifies the forward-looking information
contained in this news release. We undertake no duty to update any of the
forward-looking information to conform such information to actual results or to
changes in our expectations except as otherwise required by applicable
securities legislation. Readers are cautioned not to place undue reliance on
forward-looking information.


Neither the TSX Venture Exchange nor its Regulation Services Provider (as that
term is defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Cub Energy Inc.
Mikhail Afendikov
Chairman and Chief Executive Officer
[phone]
[e-mail]


Cub Energy Inc.
Patrick McGrath
Chief Financial Officer
[phone]
[e-mail]
www.cubenergyinc.com