Cub Energy Inc. Reports Year-End Reserves for 2013

TSX VENTURE EXCHANGE: KUB

Houston, Texas – March 26, 2014 – Cub Energy Inc. (“Cub” or the “Company”) announces
the results of its independent reserves evaluation as at December 31, 2013 on its oil and
gas properties. The evaluation was conducted by RPS Energy Consultants LLC (“RPS”),
an independent qualified reserves evaluator and auditor, on the Company’s properties in
Ukraine in its report dated March 20, 2014 (“The RPS Report”).
All evaluations were prepared using guidelines outlined in the Canadian Oil and Gas
Evaluation Handbook (“COGE Handbook”) and are in accordance with Canadian
Securities Administrators National Instrument 51-101 – Standards of Disclosure for Oil and
Gas Activities (“NI 51-101”). Cub’s NI 51-101 disclosure is contained in its Annual
Information Form for the year ended December 31, 2013 filed on SEDAR www.sedar.com
and posted on the Company’s website at www.cubenergyinc.com.
HIGHLIGHTS:
• Proved developed producing (“PDP”) oil and natural gas reserves of 1,142 Mboe or
6,852 MMcfe with PV-10 (as defined herein) of $51.4 million
• Proved (“1P”) oil and natural gas reserves of 2,267 Mboe or 13,602 MMcfe with PV-
10 of $76.9 million
• Proved and probable (“2P”) oil and natural gas reserves of 4,545 Mboe or 27,270
MMcfe with PV-10 of $150.8 million
Total Company Reserves Summary
The following tables summarise total Company reserves and associated net present value
discounted at 10% before
tax at December 31, 2013 using forecast prices.

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Table 1 Total Company Reserves Volumes (1)(2)
Note:
(1) See “Oil and Gas Equivalents” below
(2) Reserves net to the Company’s interest after deduction of royalties

Table 2 Net Present Value at 10% before tax (US$ Millions)(1)(2)

Note:
(1) The forecast prices used in the calculations of the present value of future net revenue for year-end 2013 are based on the RPS
Reports of Eastern Ukraine and Western Ukraine asset forecast prices.
(2) Estimated values do not represent fair market value.

Oil and Gas Equivalents
A barrel of oil equivalent (“boe”) or units of natural gas equivalents (“Mcfe”) is calculated
using the conversion factor of 6 Mcf (thousand cubic feet) of natural gas being equivalent to
one barrel of oil. A boe conversion ratio of 6 Mcf: 1 bbl (barrel) or an Mcfe conversion of
1bbl: 6 Mcf is based on an energy equivalency conversion method primarily applicable at
the burner tip and does not represent a value equivalency at the wellhead and is not based
on either energy content or current prices. While the boe ratio is useful for comparative
measures, it does not accurately reflect individual product values and might be misleading,
particularly if used in isolation. As well, given that the value ratio, based on the current price
of crude oil to natural gas, is significantly different from the 6:1 energy equivalency ratio,
using a 6:1 conversion ratio may be misleading as an indication of value.

Natural Gas
(MMcf)
NGL’s
(Mbbls) Reserves Category Mboe MMcfe
Developed producing 6,736 20 1,142 6,852
Developed
non-produced
1,137 7 196 1,176
Undeveloped 5,517 9 928 5,568
Total Proved (1P) 13,388 35 2,267 13,602
Total Proved plus
Probable (2p)
26,697 96 4,545 27,270
Reserves Category NPV
Proved Developed Producing (PDP) 51.4
Total Proved (1P) 76.9
Total Proved plus Probable (2P) 150.8
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Reserves Classifications
“Gross Reserves” are the Company’s working interest (operating or non-operating) share
before deduction of royalties and without including any royalty interests of the Company.
“Net Reserves” are the Company’s working interest (operating or non-operating) share
after deduction of royalty obligations, plus the Company’s royalty interests in reserves.

Defined Terms
“Reserves” are estimated remaining quantities of oil and natural gas and related
substances anticipated to be commercially recoverable by application of development
projects to known accumulations from a given date forward under defined
conditions. Reserves must further satisfy four criteria: they must be discovered,
recoverable, commercial, and remaining (as of the evaluation date) based on the
development project(s) applied.
Reserves are further categorized in accordance with the level of certainty associated with
the estimates and may be sub-classified based on project maturity and/or characterized by
development and production status.
“Proved Reserves” are reserves that can be estimated with a high degree of certainty to be
recoverable, from a given date forward, from known reservoirs and under defined economic
conditions, operating methods and government regulations.
“Probable Reserves” are those additional Reserves that are less certain to be recovered
than Proved Reserves but more certain to be recovered than Possible Reserves.
About Cub Energy Inc.

Cub Energy Inc. (TSX-V: KUB) is an upstream oil and gas company, with a proven track
record of exploration and production cost efficiency in the Black Sea region. The
Company’s strategy is to implement western technology and capital, combined with local
expertise and ownership, to increase value in its undeveloped land base, creating and
further building a portfolio of producing oil and gas assets within a high pricing
environment.

For further information please contact us or visit our website: www.cubenergyinc.com

Mikhail Afendikov
Chairman and Chief Executive Officer
(713) 677-0439
mikhail.afendikov@cubenergyinc.com

Lionel C. McBee
Director of Investor Relations
(713) 577-1955
lionel.mcbee@cubenergyinc.com

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Reader Advisory
Except for statements of historical fact, this news release contains certain “forward-looking
information” within the meaning of applicable securities law. Forward-looking information is
frequently characterized by words such as “plan”, “expect”, “project”, “intend”, “believe”,
“anticipate”, “estimate” and other similar words, or statements that certain events or
conditions “may” or “will” occur. Cub believes that the expectations reflected in the
forward-looking information are reasonable; however there can be no assurance those
expectations will prove to be correct. We cannot guarantee future results, performance or
achievements. Consequently, there is no representation that the actual results achieved
will be the same, in whole or in part, as those set out in the forward-looking information.
Forward-looking information is based on the opinions and estimates of management at the
date the statements are made, and are subject to a variety of risks and uncertainties and
other factors that could cause actual events or results to differ materially from those
anticipated in the forward-looking information. Some of the risks and other factors that
could cause the results to differ materially from those expressed in the forward-looking
information include, but are not limited to: general economic and political conditions in
Ukraine, the Black Sea Region and globally; industry conditions, including fluctuations in
the prices of natural gas; governmental regulation of the natural gas industry, including
environmental regulation; unanticipated operating events or performance which can reduce
production or cause production to be shut in or delayed; failure to obtain industry partner
and other third party consents and approvals, if and when required; competition for and/or
inability to retain drilling rigs and other services; the availability of capital on acceptable
terms; the need to obtain required approvals from regulatory authorities; stock market
volatility; volatility in market prices for natural gas; liabilities inherent in natural gas
operations; competition for, among other things, capital, acquisitions of reserves,
undeveloped lands, skilled personnel and supplies; incorrect assessments of the value of
acquisitions; geological, technical, drilling, processing and transportation problems;
changes in tax laws and incentive programs relating to the natural gas industry; failure to
realise the anticipated benefits of acquisitions and dispositions; and other factors. Readers
are cautioned that this list of risk factors should not be construed as exhaustive.
This cautionary statement expressly qualifies the forward-looking information contained in
this news release. We undertake no duty to update any of the forward-looking information
to conform such information to actual results or to changes in our expectations except as
otherwise required by applicable securities legislation. Readers are cautioned not to place
undue reliance on forward-looking information.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is
defined in the policies of the TSX Venture Exchange) accepts responsibility for the
adequacy or accuracy of this release.

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