Online Energy Inc. Announces Completion of Previously Announced Financing

NOT FOR DISSEMINATION IN THE UNITED STATES. ANY FAILURE TO COMPLY WITH THIS
RESTRICTION MAY CONSTITUTE A VIOLATION OF U.S. SECURITIES LAWS.


Online Energy Inc. ("Online" or the "Company") (TSX VENTURE:ONL) is pleased to
announce that it has completed its previously announced public offering of: (i)
common shares of the Corporation (the "Common Shares") for gross proceeds of
approximately $656,000 (the "Offered Common Shares"); and (ii) Common Shares
issued on a flow-through basis ("Flow-Through Shares") for gross proceeds of
approximately $443,000, resulting in aggregate gross proceeds of approximately
$1.1 million (the "Offering"). The Offering was conducted through a syndicate of
agents led by Casimir Capital Ltd. and including Acumen Capital Finance Partners
Limited. 


At closing, Online issued an aggregate of 3,999,700 Common Shares, being
comprised of 2,524,700 Offered Common Shares at a price of $0.26 per Offered
Common Share and 1,475,000 Flow-Through Shares at a price of $0.30 per
Flow-Through Share. 


The Company anticipates that there may be one or more additional closings prior
to May 11, 2012. 


The Company intends to use the net proceeds of the Offering to fund the
exploratory portion of its Greater Paddle River Alberta drilling program in
west-central Alberta where the Company has successfully assembled an extensive
land position of 136 net sections. This concentrated acreage position supports a
large inventory of horizontal multi-frac well locations on a variety of resource
plays including the Notikewin, Wilrich, Ostracod, Rock Creek, Nordegg and
Duvernay formations. Online also maintains a growing inventory of low-risk
vertical oil locations targeting the Viking and Ellerslie formations as well as
a number of low-cost re-entry opportunities. 


Cautionary Statements: 

This press release contains certain forward-looking statements (forecasts) under
applicable securities laws relating to future events or future performance.
Forward-looking statements are necessarily based upon assumptions and judgements
with respect to the future including, but not limited to, the outlook for
commodity markets and capital markets, the performance of producing wells and
reservoirs, well development and operating performance, general economic and
business conditions, weather, the regulatory and legal environment and other
risks associated with oil and gas operations. In some cases, forward-looking
statements can be identified by terminology such as "may", "will", "should",
"expect", "projects", "plans", "anticipates" and similar expressions. These
statements represent management's expectations or beliefs concerning, among
other things, future operating results and various components thereof affecting
the economic performance of Online. Undue reliance should not be placed on these
forward-looking statements which are based upon management's assumptions and are
subject to known and unknown risks and uncertainties, including the business
risks discussed above, which may cause actual performance and financial results
in future periods to differ materially from any projections of future
performance or results expressed or implied by such forward-looking statements.
Accordingly, readers are cautioned that events or circumstances could cause
results to differ materially from those predicted.


This news release does not constitute an offer to sell or the solicitation of an
offer to buy any securities of Online in the United States. The Offered Common
Shares and the Flow-Through Shares described in this news release have not been
and will not be registered under the United States Securities Act of 1933, as
amended, or the securities laws of any state and may not be offered, sold or
delivered in the United States absent an exemption from registration.