Orca Exploration announces commencement of gas sales to a new power plant in
Tanzania

ROAD TOWN, Tortola, British Virgin Islands, Dec. 17 /CNW/ - Orca Exploration Group Inc. has commenced the sale of natural gas to the newly commissioned Tegeta 45 MW power plant at Dar es Salaam, Tanzania. With the addition of Tegeta, Orca is now selling Additional Gas to three power plants with a maximum Additional Gas demand of approximately 37 Mmcfd. When combined with the industrial consumers, the maximum Additional Gas demand by existing customers is approximately 45 Mmcfd.

The new Tegeta power plant, operated by Wartsila, is the most recent expansion of TANESCO's power generating capacity. To address critical power shortages in Tanzania, TANESCO is planning to add another 100 MWs of new gas-fired power generation in the Dar area in the next 15 months. Beyond 2010, TANESCO has started planning for the construction of a new 200 MW power plant at Kinyerezi, Dar es Salaam that would require approximately 40 MMcfd of natural gas.

Orca also announces that it has commenced the sale of Compressed Natural Gas (CNG) to a major hotel in Dar es Salaam. This represents the first supply of this clean fuel in East Africa and the market is expected to steadily grow.

Orca Exploration Group Inc. is a well-financed, international public company engaged in hydrocarbon exploration, development and marketing in Tanzania. Orca's operations are directed from offices in Dar es Salaam, Tanzania. The Company is focused on increasing shareholder value through the exploration, development and marketing of Tanzanian natural gas and the exploration and development of high potential oil interests in West Africa and the Middle East. Orca Exploration trades on the TSXV under the trading symbols ORC.B and ORC.A.

Forward Looking Statements

This disclosure contains certain forward-looking estimates that involve substantial known and unknown risks and uncertainties, certain of which are beyond Orca Exploration's control, including the impact of general economic conditions in the areas in which Orca Exploration operates, civil unrest, industry conditions, changes in laws and regulations including the adoption of new environmental laws and regulations and changes in how they are interpreted and enforced, increased competition, the lack of availability of qualified personnel or management, fluctuations in commodity prices, foreign exchange or interest rates, stock market volatility and obtaining required approvals of regulatory authorities. In addition there are risks and uncertainties associated with oil and gas operations, therefore Orca Exploration's actual results, performance or achievement could differ materially from those expressed in, or implied by, these forward-looking estimates and, accordingly, no assurances can be given that any of the events anticipated by the forward-looking estimates will transpire or occur, or if any of them do so, what benefits, including the amounts of proceeds, that Orca Exploration will derive therefrom.

SOURCE Orca Exploration Group Inc.

For further information: For further information: Nigel A. Friend, CFO, +44 (0) 7798 502316, nfriend@orcaexploration.com or Peter R. Clutterbuck, CEO, +44 (0) 7768 120727, pclutterbuck@orcaexploration.com or visit the Company's web site at www.orcaexploration.com


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