Carmen Energy Inc. Announces Closing of Private Placement

Carmen Energy Inc. (TSX VENTURE:CEI) ("Carmen" or the "Corporation") announces
that it has closed its previously announced non-brokered private placement for
$300,000 (the "Private Placement") at a price of $0.02 per Common Share. Carmen
intends to use the proceeds as follows:




i.  Costs associated with printing and mailing of annual meeting materials:
    $1,890; 
    
ii. Owing to CRA: $5,500; 
    
iii.Owing to Transfer Agent for Quarterly fees: $1,860; 
    
iv. Owing to Auditors for year end and quarterly audit work: $38,250; 
    
v.  Outstanding legal bills: $81,275; 
    
vi. Legal fees for asset disposition and AGM: $25,000; 
    
vii.Permitted Excluded amount for working capital: $50,000; and 
    
viii.Accrued and owing salary payments $96,225. 
    
    Total: $300,000



The securities issued pursuant to the Private Placement will be subject to a
four-month hold period from the closing date.  


The Private Placement is subject to approval from the TSX Venture Exchange.

About Carmen Energy Inc.: Carmen is based in Calgary, Alberta and a publicly
traded oil and gas exploration and production company. The focus is on
exploration and development of Western Canadian Sedimentary Basin based oil and
gas properties. 


FORWARD LOOKING INFORMATION

This press release contains certain forward-looking information and statements
within the meaning of applicable securities laws. The use of any of the words
"expect", "anticipate", "continue", "estimate", "may", "will", "project",
"should", "believe", "plans", "intends" and similar expressions are intended to
identify forward-looking information or statements. In particular, but without
limiting the forgoing, this press release contains statements concerning the
anticipated timing of the closing or closings of the Private Placement and the
anticipated use of the proceeds of the Private Placement. 


Forward-looking statements or information are based on a number of material
factors, expectations or assumptions of Carmen which have been used to develop
such statements and information but which may prove to be incorrect. Although
Carmen believes that the expectations reflected in these forward-looking
statements are reasonable, undue reliance should not be placed on them because
Carmen can give no assurance that they will prove to be correct. Since
forward-looking statements address future events and conditions, by their very
nature they involve inherent risks and uncertainties. The intended use of the
proceeds of the Private Placement by Carmen might change if the board of
directors of the Corporation determines that it would be in the best interests
of Carmen to deploy the proceeds for some other purposes. 


The forward-looking statements contained in this press release are made as of
the date hereof and Carmen undertakes no obligations to update publicly or
revise any forward-looking statements or information, whether as a result of new
information, future events or otherwise, unless so required by applicable
securities laws.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Carmen Energy Inc.
Tyler Rice
President
[phone]