Solimar Announces Private Placement and Extension of Debenture Maturity Date

Solimar Energy Limited ("Solimar" or the "Company") (ASX:SXS)(TSX VENTURE:SXS)
is pleased to announce that, subject to TSXV approval, it intends to complete a
non-brokered private placement for aggregate gross proceeds of up to C$2,000,000
via the issuance of Units at a price of C$0.065 per Unit. Each Unit will be
comprised of one common share and one half of one right. Each right will entitle
the holder to acquire one warrant upon shareholder approval of the conversion of
the rights to warrants. Assuming shareholder approval is obtained, each warrant
will allow the holder to purchase one common share of the Company at a price of
C$0.065 for a 24 month period following closing.


The private placement is expected to close in tranches with a first closing on
January 31, 2014.


The Company intends to hold a shareholder meeting before the end of March 2014
in order for, among other things, shareholders to vote on, and if deemed
appropriate, to approve the conversion of the rights to warrants.


Following or concurrent with the shareholder meeting the Company intends to
proceed with an ASX rights offering. 


In connection with the extension of the debentures issued pursuant to the
debenture indenture dated June 26, 2012, as amended and restated August 14,
2013, entered into among the Company and Computershare Trust Company of Canada
("Computershare"), the Company has granted first priority security to such
Debenture holders over all of the assets of the Company and its subsidiaries and
has instructed Computershare to pay an extension fee of $250,000 payable
rateably and proportionately to such holders on January 31, 2014. The new
maturity date for the debentures is July 31, 2014.


Proceeds of the placements will be used for oil and gas activities, operating
and debt servicing costs.


Neither 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.


Reader Advisory: Forward-looking statements

This news release contains forward-looking information relating to the private
placement, planned development and exploration activities on the properties in
which the Company has interests, and other statements that are not historical
facts. Such forward-looking information is subject to important risks,
uncertainties and assumptions. The results or events predicated in this
forward-looking information may differ materially from actual results or events.
As a result, you are cautioned not to place undue reliance on this
forward-looking information.


Forward-looking information is based on certain factors and assumptions. While
the Company considers these assumptions to be reasonable based on information
currently available to it, they may prove to be incorrect.


Forward looking-information is subject to certain factors, including risks and
uncertainties that could cause actual results to differ materially from what is
currently expected. These factors include risks associated with the private
placement, risks associated with instability of the economic environments in
which the Company operates or owns interests, oil and gas exploration,
development, exploitation, production, marketing and transportation, loss of
markets, volatility of commodity prices, currency fluctuations, imprecision of
reserve estimates, environmental risks, competition from other producers,
inability to retain drilling rigs and other services, incorrect assessment of
the value of acquisitions, failure to realize the anticipated benefits of
acquisitions, delays resulting from or inability to obtain required regulatory
approvals and ability to access sufficient capital from internal and external
sources, reliance on key personnel, regulatory risks and delays, including risks
relating to the acquisition of necessary licenses and permits, environmental
risks and insurance risks.


You should not place undue importance on forward-looking information and should
not rely upon this information as of any other date. While the Company may elect
to, the Company is under no obligation and does not undertake to update this
information at any particular time, except as required by law. 


ABN 42 112 256 649

FOR FURTHER INFORMATION PLEASE CONTACT: 
Solimar Energy Limited
Jason Bednar
Director
[phone] or [phone]
www.solimarenergy.com.au