Canamax Energy Ltd. and Powder Mountain Energy Ltd. Announce Closing of Business Combination - Seite 2

Concurrent with the completion of the Arrangement, all of the directors and officers of Powder resigned. Immediately after the completion of the Arrangement, Canamax and Powder amalgamated pursuant to the provisions of the Business Corporations Act (Alberta), with the amalgamated corporation continuing under the name "Canamax Energy Ltd."

Board of Directors of Canamax

Subsequent to the Arrangement, the Board of Directors of Canamax will be comprised of the following individuals:

• Hugh Ross (as Lead Director) - existing director of Canamax
• Kevin Adair - existing director of Canamax
• Brad Gabel (Canamax President and CEO) - existing director of Canamax
• Bruce Murray (former President and CEO of Powder) - former director of Powder
• Mitch Putnam - former director of Powder
• Gregg Smith - former director of Powder
• Robert Maitland - appointed jointly by above directors

Canamax and Powder would like to thank the following directors for their valued services over their tenure who resigned from the Canamax and Powder Boards as part of the Arrangement: a) from the Canamax Board: Mark Shilling, Stuart McDowall, Allan King and Kevin Delaney and b) from the Powder Board: Larry Evans, Massimo Geremia, Sam Ingram and Trent Baker.

32 Degrees

Pursuant to the Arrangement, 32 Degrees Diversified Energy Fund II (Canadian) L.P. and 32 Degrees Diversified Energy Fund II (US) L.P., two funds advised by 32 Degrees Capital Advisor Ltd., (collectively referred to as "32 Degrees") acquired the ownership of approximately 13.8 million Canamax Shares in exchange for approximately 14.4 million Powder Shares, which represents approximately 12% of the issued and outstanding shares of Canamax.

32 Degrees exchanged its Powder Shares for Canamax Shares pursuant to the Arrangement for investment purposes. 32 Degrees may purchase or sell securities of Canamax in the future on the open market, in private transactions or otherwise, depending on market conditions and other factors material to the investment decisions of 32 Degrees.

32 Degrees filed an early warning report, pursuant to National Instrument 62-103, in respect of its acquisition of Canamax Shares. A copy of this report may be obtained from Canamax's SEDAR profile at www.sedar.com or by contacting Trent Baker from 32 Degrees at 403-695-1074.

Canamax also filed an early warning report, pursuant to National Instrument 62-103, in respect of its acquisition of all the issued and outstanding Powder Shares. A copy of this report may be obtained from Powder's SEDAR profile at www.sedar.com or by contacting Chris Martin from Canamax at 587-349-5186.