Traverse Energy Ltd. Announces Private Placement Financing

Traverse Energy Ltd. (the "Corporation") (TSX VENTURE:TVL) intends to complete a
non-brokered private placement (the "Private Placement") of up to 7.0 million
common shares of the Corporation ("Shares") for total gross proceeds of $6.0
million.


Of the total number of Shares to be issued by the Corporation (i) up to 2.6
million Shares will be issued on a "flow through" basis eligible for the
renunciation of Canadian exploration expenses within the meaning of the Income
Tax Act (Canada) (the "Tax Act") at $0.95 per Share; (ii) up to 0.6 million
Shares will be issued on a "flow through" basis eligible for the renunciation of
Canadian development expenses within the meaning of the Tax Act at $0.87 per
Share; and (iii) up to 3.8 million Shares will be issued at $0.80 per share.


Completion of the Private Placement is subject to certain conditions including,
but not limited to, the receipt of all necessary regulatory approvals including
the approval of the TSX Venture Exchange (the "Exchange"). 


The Corporation intends to use the proceeds from the Private Placement to fund a
portion of its exploration and drilling activities in the province of Alberta
and other working capital requirements.


About the Corporation 

The Corporation is a junior oil and natural gas exploration and production
company with a substantial land base in Alberta. The common shares of the
Corporation currently are listed on the TSX Venture Exchange under the trading
symbol "TVL". Upon the completion of the Private Placement, there will be
38,953,333 Shares issued and outstanding.


Forward-Looking Information 

This news release contains forward-looking information which is not comprised of
historical facts. Forward-looking information involves risks, uncertainties and
other factors that could cause actual events, results, performance, prospects
and opportunities to differ materially from those expressed or implied by such
forward-looking information. Forward-looking information in this news release
includes statements with respect to the Corporation's intention to complete the
Private Placement and the use of proceeds from the Private Placement. Material
assumptions and factors that could cause actual results to differ materially
from such forward-looking information includes management's ability to raise
gross proceeds of $6.0 million and the failure to obtain final approval from the
TSX Venture Exchange. Although the Corporation believes that the material
assumptions and factors used in preparing the forward-looking information in
this news release are reasonable, undue reliance should not be placed on such
information, which only applies as of the date of this news release, and no
assurance can be given that such events will occur. The Corporation disclaims
any intention or obligation to update or revise any forward-looking information,
whether as a result of new information, future events or otherwise, other than
as required by law.