Bucking Horse Energy Inc. Announces Closing of Property Sale, Application to the NEX and Corporate Changes

Tue Mar 5, 2013 8:31pm EST

* Reuters is not responsible for the content in this press release.

Bucking Horse Energy Inc. (TSX:BUC), ("Bucking Horse" or the "Company"),
announces the closing of the sale of the Company's developed well-bore
interests (the "Assets") in the Pinedale field in Wyoming to an
arms-length industry purchaser. The transaction was previously announced
in the Company's news releases dated December 13, 2012 and February 20,
2013, and described in the Company's information circular dated January
16, 2013. Shareholder approval for the sale was obtained on February 16,
2013. The Assets sold include 66 oil and gas wells and associated
petroleum and natural gas production rights, but they do not include the
Company's undeveloped oil and gas reserves and leasehold interests. The
purchase price for the Assets was US$61,000,000 which was adjusted down
at closing for production revenues received and certain expenses incurred
since August 1, 2012 (as provided in the Purchase and Sale Agreement).
The net proceeds were used to reduce secured debt obligations of the

    As a result of the sale, the Company no longer meets the continued
listing requirements of the Toronto Stock Exchange (the "TSX"). The
Company's board of directors has signed a resolution directing the
Company to voluntarily delist from the TSX on or about March 28, 2013 and
apply for listing on the NEX board of the TSX Venture Exchange to ensure
a trading market for the Company's shares.

    Corporate Changes

    Effective February 27, 2013, Mr. Dean Willows resigned as Chief Financial
Officer, Secretary and Treasurer of the Company. Mr. Nielsen will act as
interim CFO, Secretary and Treasurer until a suitable replacement can be
found, in addition to his duties as President and CEO. The Board of
Directors thanks Mr. Willows for his contributions as an officer of the
Company and wishes him success in his future endeavours.

    The Company has been informed that Mr. Victor Barcot will resign from the
Board coincident with the Company's listing on the NEX. The Company's has
no plans to seek a replacement Director at this time. Mr. Nielsen, Mr.
Schoen and Mr. Deere will continue on as directors during the next phase
of the Company. The Company acknowledges and thanks Mr. Barcot for his
valued service to the Company.

    Secured Creditors

    The bank financing and first charge security on the Company's Assets has
been paid out in full. The second charge security to two debenture
holders has been partially paid with the proceeds of the sale transaction
and their security interest remains and has been upgraded to be a first
charge on the title to the Company's remaining assets consisting of
undeveloped oil and gas reserves and leasehold interests in the Pinedale
field, Wyoming. In order to secure the discharge of the Assets sold, the
Company has agreed with the debenture holders to pay their costs of the
sale transaction, continue to pay interest under the outstanding
debentures, enter into an agreement by May 1, 2013 as to a plan to repay
the unpaid portion of the debentures and commence the process of sale of
the Company's remaining undeveloped assets by May 1, 2013, with sale
proceeds going to further reduce the amount owed under the debentures.
The Company intends to commence fulfilling these obligations to the
debenture holders immediately.

    About Bucking Horse Energy Inc.

    Bucking Horse is an independent oil and gas company which has
historically focused exclusively on its natural gas properties in the
Pinedale field, within the Green River Basin of southwestern Wyoming. The
common shares of Bucking Horse are currently listed for trading on the
Toronto Stock Exchange under the symbol "BUC", but is expected to delist
from the Toronto Stock Exchange very shortly.

    Additional information on Bucking Horse Energy Inc. is available on the
SEDAR website at www.sedar.com or on the Company's website at

    On behalf of the Board of Directors: 

    Gordon Nielsen, President and CEO

    Forward-Looking Information:

    Certain statements contained in this news release may constitute
forward-looking statements. Forward-looking statements are often, but not
always, identified by the use of words such as "anticipate", "plan",
"expect", "may", "will", "intend", "should", and similar expressions.
These statements involve known and unknown risks, uncertainties and other
factors that may cause actual results or events to differ materially from
those anticipated in such forward-looking statements. Forward looking
statements in this news release include the Company's expectation that it
will list on the NEX in coordination with a voluntary delisting from TSX,
and that it will fulfill certain obligations to debenture holders. The
Company's actual results could differ materially from those anticipated
in these forward-looking statements as a result of NEX listing not being
achieved, the Company being unable to comply with its contractual
obligations, and other factors, many of which are beyond the control of
the Company. 

    The forward-looking statements contained in this news release represent
the Company's expectations as of the date hereof, and are subject to
change after such date. The Company disclaims any intention or obligation
to update or revise any forward-looking statements whether as a result of
new information, future events or otherwise, except as required under
applicable securities regulations.

Bucking Horse Energy Inc.
Gordon Nielsen
President and CEO
604-688-4712 (FAX)

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