Stikine Energy : Closes First Tranche of Private Placement

Vancouver, British Columbia: Stikine Energy Corp. (TSX.V: SKY) ("Stikine" or the "Company") announces that it has closed the first tranche of its previously announced private placement of up to $250,000.

A total of $54,500 was raised through the issuance of 3,633,333 units of the Company. Each unit consists of one common share and one common share purchase warrant, each warrant entitling the holder to acquire one common share of the Company at an exercise price of $0.05 until August 15, 2016. All securities issued are subject to a statutory hold period expiring December 16, 2014.

Gross proceeds from the first tranche of this private placement will be used for general working capital. If additional funds are raised, proceeds will be allocated to general working capital, corporate expenses and to undertake further exploration at Stikine's Angus Frac-Sand Project in Northeastern British Columbia.

About Stikine Energy and the Angus Frac Sand Project

Stikine is focused on becoming a dominant frac sand supplier to British Columbia's developing shale gas industry. The Horn River, Liard and Montney Basins are large-scale gas plays led by major producers who currently rely on frac sand transported over great distances. The Angus project, which lies in close proximity to the Montney basin, was identified in 2009 through a systematic search for raw material sources possessing the different frac sand sizes used in the basin and the potential for large-scale resource development. Stikine has previously completed resource estimates, engineering and baseline environmental work in addition to community consultation for the Angus project and remains committed to further development when market conditions improve and financial resources permit.

STIKINE ENERGY CORP.
"David Skerlec"
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David J. Skerlec -- Chief Financial Officer

For further information contact:
Tel: [phone]
Fax: [phone]
Email: [e-mail]
Web: www.stikineenergy.com

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.