NaiKun Wind Releases First Quarter Financial Results

NaiKun Wind Energy Group Inc. (TSX VENTURE:NKW) today announced its financial
results for the three months ended December 31, 2010, a fiscal period during
which the Company realized the full impact of its restructuring and continued to
progress the new strategies it began during the last quarter of fiscal 2010, all
in an effort to maximize shareholder value.


NaiKun Wind is confident that the Company's recent undertakings, including our
corporate restructuring and new strategies for procuring an electricity supply
contract, represent the best available opportunities to support the advancement
of the project and maximize shareholder value.


The corporate restructuring conducted during the final two quarters of the
fiscal year is now complete and spending by NaiKun Wind going forward will be
substantially lower as a result. The Company's estimated cash requirement for
operations in the year ending September 30, 2011 is $1.5 million. On this basis,
the Company has sufficient financial resources to sustain operations into 2014
and beyond.


An overview of NaiKun Wind's corporate restructuring and first quarter results
include:




--  As at December 31, 2010, NaiKun Wind had $7.3 million in cash and cash
    equivalents, compared to $7.8 million at the end of September 2010. In
    addition to this $7.3 million in cash, NaiKun Wind has $0.7 million in
    loan receivables, the proceeds of which the Company expects to receive
    by Mar 2011.
--  Effective April 1, 2010, as stated in the Company's news release of May
    20, 2010, compensation to members of the Board was reduced by 50%. As
    part of the newly lowered Board compensation it was also decided that
    going forward 25% of that compensation would be paid in the form of
    common shares in lieu of cash. Accordingly, the Company issued 76,176
    shares for the quarter ended December 31, 2010. Additionally, the
    Company issued 158,881 common shares to Michael O'Connor for the period
    June 15, 2010 to December 31, 2010. Mr. O'Connor's employment agreement
    was modified in December 2010, in recognition of his new role as
    President and CEO effective June 15, 2010, awarding $50,000 additional
    annual compensation to be paid in the form of commons shares in lieu of
    cash.
--  For the three months ended December 31, 2010, NaiKun Wind incurred a net
    loss of $0.5 million ($0.01 per share), compared to $1.5 million ($0.04
    per share) for the three months ended December 31, 2009.



As electricity demand in British Columbia continues to grow and the supply from
certain BC Hydro programs continue to experience significant attrition, the
Company believes there will be a need for BC Hydro to procure appreciably more
generation in the near term, to meet the legislated Provincial self-sufficiency
targets, to fulfill electricity export goals and to meet legislated Green House
Gas (GHG) obligations. The NaiKun Wind project is at an advanced stage of
development and would provide diverse and substantial employment opportunities
(particularly on the Province's north coast and on Haida Gwaii), abundant clean
energy and would also help to close the Province's growing electricity
supply/demand gap.


BC Hydro's recent projections indicate there will be a growing shortage of
approximately 13,000 GWh by 2020 with no planned exports and limited DSM
(Demand-Side Management) ... 13,000 GWh equates to 9 NaiKun projects. After 2020
the Energy Gap continues to grow faster.


NaiKun Wind continues to refine and progress the wind resource and work with
industry to reduce the cost and improve the productivity of the planned project.


The North Coast Wind Energy Field is a proven and permitted world class
resource. As experts report, the energy output is a function of the cube of the
wind velocity and air density. A 10 m/s wind resource at sea level (NaiKun
project) produces nearly 40% more energy than an 8.5 m/s wind resource (more
common).


This wind resource exists in a province where GHG reduction has been legislated,
where there is a growing electricity supply shortage and where electricity
self-sufficiency and electrical exports are important components of the
governments Energy Policy.


NaiKun Wind Energy Group Inc. is a British Columbia-based renewable energy
company with offices in Vancouver, Masset and Skidegate. Located on B.C.'s
northwest coast, where the wind resource is one of the strongest and most
consistent in the world, NaiKun Wind's 396MW offshore wind project would
generate enough energy to provide electricity to 130,000 B.C. homes. The NaiKun
Wind project is at an advanced stage of development with environmental
certification from the Provincial Government and agreements in place with key
suppliers and First Nations. Given its development status, construction can
begin within two years of the award of an electricity purchase agreement. For
more information on NaiKun Wind, please visit www.naikun.ca.


Caution Regarding Forward-Looking Statements - This news release contains
certain forward-looking statements, including statements regarding the business
and anticipated financial performance of the Company. These statements are
subject to a number of risks and uncertainties. Actual results may differ
materially from results contemplated by the forward-looking statements. When
relying on forward-looking statements to make decisions, investors and others
should carefully consider the foregoing factors and other uncertainties and
should not place undue reliance on such forward-looking statements. The Company
does not undertake to update any forward looking statements, oral or written,
made by itself or on its behalf.