Reliable Energy Ltd. Announces Private Placement Bought Deal Flow-Through
Financing

/THIS NEWS RELEASE IS NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/

TORONTO, Dec. 16 /CNW/ - Reliable Energy Ltd. (the "Company" or "Reliable") (TSXV: REL) is pleased to announce a brokered private placement in an amount of $4,020,500 (the "Offering"). The private placement will consist of 9,350,000 flow-through shares ("Flow-Through Shares") at a price of $0.43 per Flow-Through Share.

Reliable has retained Canaccord Financial Ltd. to act as sole underwriter for the Offering.

The closing of the Offering is expected to occur on or about December 22, 2009 and is subject to the completion of formal documentation and receipt of regulatory approval, including the approval of the TSX Venture Exchange.

The proceeds of the financing will be used to incur eligible Canadian Exploration Expenses, as defined under the Income Tax Act (Canada), that will be renounced in favour of the purchasers with an effective date of no later than December 31, 2009. The funds are intended to be used to explore and advance Reliable's capital development program.

About Reliable

Reliable is an Alberta based public company listed on the TSX Venture Exchange. The Company has two core areas in the Western Canadian Sedimentary Basin: The focus area consists of a Bakken oil play situated on the Saskatchewan - Manitoba border and has partnered with Crescent Point Energy Corp. to explore and develop the area. The second is a Nisku oil play in central Alberta.

This news release does not constitute an offer to sell or a solicitation of any offer to buy the securities in the United States. The securities offered have not been and will not be registered under the U.S. Securities Act of 1933 and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements of such Act.

Caution Regarding Forward-looking Information

This document may contain certain forward looking statements including statements with respect to the proposed use of proceeds of the offering. The forward looking information is based on current expectations that involve a number of risks and uncertainties, which could cause actual results to differ materially from those anticipated. These risks include, but are not limited to: the risks associated with the oil and gas industry and Reliable's ability to identify suitable drilling locations (e.g., operational risks in development, exploration and production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of reserve estimates; the uncertainty of estimates and projections relating to production, costs and expenses, and health, safety and environmental risks), risk associated with equipment procurement and equipment failure, risks related to international operations and doing business in foreign jurisdictions, the risk of commodity price and foreign exchange rate fluctuations, risks related to future royalty rate changes and risks and uncertainties associated with securing and maintaining necessary regulatory approvals.

Neither 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.

SOURCE RELIABLE ENERGY LTD.

For further information: For further information: Reliable Energy Ltd., John Newman, VP Finance & CFO, Phone: (403) 231-4486, Fax: (403) 266-2645, Email: jnewman@reliableenergy.ca, Web: www.reliableenergy.ca

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RELIABLE ENERGY LTD.

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