Northern Spirit Resources Inc. announced that it has entered into a definitive reorganization and investment agreement with John McAleer, David Burghardt, Travis Stephenson, Rob Pinckston, Maureen Keough and Jeff Mazurak which provides for: a non-brokered private placement of an aggregate minimum of approximately $20 million and up to an aggregate maximum of approximately $25 million (private placement); the appointment of a new management team and Board of Directors; and a rights offering to current holders of common shares of Northern Spirit. The new management team will be led by David Burghardt as President and Chief Executive Officer, Travis Stephenson as Vice President, Engineering, Rob Pinckston as Vice President, Exploration, Maureen Keough as Vice President, Land, and Jeff Mazurak as Vice President, Operations. Northern Spirit's current Chief Financial Officer, John Cassels, will continue in his role on an interim basis until a permanent Chief Financial Officer is confirmed by the Corporation.

Upon closing of the Transaction, the Board of Directors is to be comprised of Darren Gee, Brian Lavergne, Robert Maitland, John McAleer and David Burghardt. Previously, Mr. Burghardt was President, CEO and a director of Kerogen Petroleum Ltd. Mr. Stephenson worked for Chinook Energy Inc. where he was VP Engineering, International as well as the Country Manager for Chinook's operations in Tunisia. Mr. Pinckston has 26 years of exploration and development experience in the oil and gas industry.

Mr. Pinckston was employed with Vermilion from 2010 to 2015. His most recent role was as Team Lead Conventional Exploration, in which his team was instrumental to the corporate evaluation and purchase of Elkhorn Resources Inc. in March 2014 for $400 million. Ms. Keough has over 19 years of experience in oil and gas management and negotiations.

She recently held the position of Vice President of Absolute Land and Lease, an acquisition and divestitures firm. Mr. Mazurak is a Professional Engineer with 11 years of oil and gas engineering and management experience. As a Production Engineering Manager at Bonavista Energy Corporation, Mr. Mazurak recently led the production, completion and field operations in the company's Deep Basin and Central Alberta assets.

Mr. Gee is President, CEO and a director of Peyto Exploration & Development Corp. Mr. Lavergne is President, CEO and a director of Storm Resources Ltd. Robert Maitland is a director of Perpetual Energy Inc. and Rock Energy Inc. Mr. McAleer is President and Portfolio Manager of Andylan Capital Strategies Ltd.