Cub Energy M-17 Well Tests 6.6 MMcf/d from the S6 Zone

Cub Energy Inc. ("Cub" or the "Company") (TSX VENTURE:KUB) announces production
testing has been completed on the S6 sandstone in the Makeevskoye-17 ("M-17")
well, and the maximum flow rate achieved was 6.6 million cubic feet per day
("MMcf/d") through an 8 mm choke at a flowing wellhead pressure of 2,970 psi.
The well has been shut in for a pressure build up, after which the recorders
will be retrieved and the well will be tied in for production. 


The M-17 well is operated by KUB-Gas LLC, a partially-owned subsidiary in which
Cub has a 30% effective ownership interest.


As previously disclosed (press release of March 19, 2014), logs indicated 9
metres of net pay in the S6 sandstone. The S6 was flowed at five different choke
sizes and rates for periods of between 2 and 3 hours each. The final rate for
each period along with the flowing wellhead pressures and choke sizes are
summarized in the table below:




                Summary Test Results for S6 Sandstone in M-17               
                                                                            
----------------------------------------------------------------------------
        Choke Size             Final Flow Rate             Final FWHP       
           (mm)                    (MMcf/d)                  (psi)          
             4                       1.8                     3,128          
             5                       2.8                     3,146          
             6                       3.9                     3,122          
             7                       5.2                     3,055          
             8                       6.6                     2,970          
----------------------------------------------------------------------------



M-17 represents a significant step out and possible reserve addition for the S6
interval. The well results suggest an expansion of the pool area to the north
that will need verification with additional drilling.


Mikhail Afendikov, Cub's Chief Executive Office said, "I am proud of our KUB-Gas
team striking continued success despite the stressful environment in Eastern
Ukraine. We continue to operate without interruption due to the exceptional
leadership and dedication of our KUB-Gas employees." 


The pressure recorders will be retrieved via wireline within the next day or
two, and M-17 is expected to be tied into the new Makeevskoye gas facility
initially as an S6 producer by mid-July. Once the security situation in Ukraine
further stabilizes, the deeper S7 will be fracture stimulated, and the well
dually completed as an S6/S7 producer. The workover rig is now in the process of
moving to the Olgovskoye-11 ("O-11") to begin completion and testing operations
there. O-11 was cased as a potential producer in early June with logs indicating
potential gas pay in four zones.


Makeevskoye Field

The Makeevskoye Field comprises approximately 57% of total KUB-Gas production
and is the most productive licence in Cub's portfolio in Ukraine. Currently
gross production is 17.4 MMcf/d (5.2 MMcf/d net to Cub's WI) from 6 producing
wells. In April 2013, the Company announced a new pool gas discovery on the
Makeevskoye Licence in Ukraine when the M-16 well tested gas from the S6 zone,
opening up the Serpukhovian formation as a potential target throughout the
Makeevskoye and Olgovskoye licences. M-16 currently produces approximately 4
MMcf/d (1.2 MMcf/d net to Cub). That success was followed up by S6 and S7
discoveries in both M-17 and O-11, and the Serpukhovian is now a primary target
in the balance of the 2014 drilling program and beyond. 


Rusko-Komarovske Field Update

The Rusko-Komarovske-21 ("RK-21") well, 100% owned by Cub, has been granted
approval for full time production. 


Cautionary Statement

Test results are not necessarily indicative of long-term performance or of
ultimate recovery. The test data contained herein is considered preliminary
until full pressure transient analysis is complete.


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.


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: 
Mikhail Afendikov
Chairman and Chief Executive Officer
[phone]
[e-mail]


Patrick McGrath
Chief Financial Officer
[phone]
[e-mail]