Magnum Energy Inc. Announces Closing of First Tranche of Private Placement

MAGNUM ENERGY INC. (the "Company") (TSX VENTURE:MEN) is pleased to announce the
closing of the first tranche of its private placement (the "Private Placement")
announced in its news release dated December 2nd, 2009. Pursuant to the Private
Placement, the Company issued 1,666,666 flow-through shares (the (the
"Flow-Through Shares") at a price of $0.51 per Unit for gross proceeds of
$850,000. The two placees were two limited partnerships associated with Pathway
Asset Management of Toronto, Ontario. 


A finder's fees (the "Finder's Fee") of $51,000 was paid in accordance with the
policies of the TSX Venture Exchange. 


All securities issued pursuant to the private placement are subject to a hold
period expiring on April 11, 2010. 


About MineralFields, Pathway and First Canadian Securities (R) 

MineralFields Group (a division of Pathway Asset Management), based in Toronto,
Vancouver, Montreal and Calgary, is a mining fund with significant assets under
administration that offers its tax-advantaged super flow-through limited
partnerships to investors throughout Canada as well as hard-dollar resource
limited partnerships to investors throughout the world. Pathway Asset Management
also specializes in the manufacturing and distribution of structured products
and mutual funds (including the Pathway Multi Series Funds Inc. corporate-class
mutual fund series). Information about MineralFields Group is available at
www.mineralfields.com. First Canadian Securities (R) (a division of Limited
Market Dealer Inc.) is active in leading resource financings (both flow-through
and hard dollar PIPE financings) on competitive, effective and service-friendly
terms, and offers investment banking, mergers and acquisitions, and mining
industry consulting, services to resource companies. MineralFields and Pathway
have financed several hundred mining and oil and gas exploration companies to
date through First Canadian Securities (R). 


ON BEHALF OF THE COMPANY

Richard Nemeth, President 

Forward Looking Statement:

Some of the statements contained herein may be forward-looking statements which
involve known and unknown risks and uncertainties. Without limitation,
statements regarding potential mineralization and resources, exploration
results, and future plans and objectives of the Company are forward-looking
statements that involve various risks. The following are important factors that
could cause the Company's actual results to differ materially from those
expressed or implied by such forward-looking statements: changes in the world
wide price of mineral commodities, general market conditions, risks inherent in
mineral exploration, risks associated with development, construction and mining
operations, the uncertainty of future profitability and the uncertainty of
access to additional capital. There can be no assurance that forward-looking
statements will prove to be accurate as actual results and future events may
differ materially from those anticipated in such statements. The Company
undertakes no obligation to update such forward-looking statements if
circumstances or management's estimates or opinions should change. The reader is
cautioned not to place undue reliance on such forward-looking statements.