Underwriters exercise full over-allotment option


    CALGARY, Sept. 2 /CNW/ - Petrolifera Petroleum Limited ("Petrolifera" or
the "Corporation") announced today that it has received notice from Thomas
Weisel Partners Canada Inc., Cormark Securities Inc. and RBC Capital Markets,
on behalf of the underwriters of the Corporation's equity financing announced
August 12, 2009 (the "Offering"), that the underwriters have exercised their
over-allotment option in full to purchase an additional 8,523,000 units
("Units") at a price of $0.88 per Unit for gross proceeds of $7,500,240 (the
"Over-Allotment Option"). Each Unit consists of one common share in the
capital of the Corporation (each, a "Common Share") and one-half of one Common
Share purchase warrant of the Corporation (each whole Common Share purchase
warrant, a "Warrant"). Each Warrant entitles the holder thereof to purchase
one Common Share (each a "Warrant Share") at an exercise price of $1.20 per
Warrant Share at any time up to 5:00 pm (Calgary time) on August 28, 2011. In
the event that the 20-day volume weighted average price of the Common Shares
on the Toronto Stock Exchange (or such other stock exchange or quotation
system on which the Common Shares are listed and where a majority of the
trading volume occurs), exceeds $2.50, the Corporation may, within five
business days after such an event, provide notice to the holders of Warrants
("Warrantholders") of early expiry and thereafter the Warrants will expire on
the date which is 30 days after the date of the notice to the Warrantholders.
As a result of the exercise of the Over-Allotment Option, the aggregate gross
proceeds to Petrolifera of the Offering will now be approximately $57.5
million. The closing of the Over-Allotment Option is expected to occur on or
about September 4, 2009. Upon closing of the Over-Allotment Option, the
Corporation will have 120,621,010 Common Shares and 32,671,500 Warrants issued
and outstanding on a basic basis and 156,631,677 Common Shares issued and
outstanding on a fully diluted basis.
    Connacher Oil and Gas Limited ("Connacher"), a significant shareholder of
the Corporation, did not acquire any additional securities of Petrolifera
pursuant to the Over-Allotment Option. Following closing of the Over-Allotment
Option, Connacher will own 26,898,859 Common Shares and 6,778,000 Warrants
(approximately 22 percent of the outstanding Common Shares) on a basic basis
and will own 33,676,859 Common Shares (approximately 22 percent of the
outstanding Common Shares) on a fully diluted basis.

    This news release shall not constitute an offer to sell or the
solicitation of an offer to buy securities in the United States or any other
jurisdiction outside of Canada, nor shall there be any sale of the securities
in any jurisdiction in which such offer, solicitation or sale would be
unlawful. The Units offered, including Common Shares and Warrants which
comprise such Units, have not been, and will not be, registered under the 1933
Act, as amended (the "1933 Act"), or any state securities laws and may not be
offered or sold in the United States absent registration or an applicable
exemption from the registration requirements of the 1933 Act and applicable
state securities laws.

    Petrolifera Petroleum Limited is a Calgary-based crude oil, natural gas
and natural gas liquids exploration, development and production company with
operations in Argentina, Colombia and Peru. The Corporation's main production
platform is at Puesto Morales Norte in Argentina. Extensive undeveloped lands
are held in all three countries, including three licenses in Peru and three
blocks in Colombia.

    Forward-Looking Statements: This news release contains certain
"forward-looking information" within the meaning of applicable securities law
including statements regarding the expected timing of the closing of the
Over-Allotment Option. Forward-looking information is frequently characterized
by words such as "plan", "expect", "project", "intend", "believe",
"anticipate", "estimate", "may", "will", "would", "potential", "proposed" and
other similar words, or statements that certain events or conditions "may" or
"will" occur. These statements are only predictions. Forward-looking
information is based on the opinions and estimates of management at the date
the information is provided, and is subject to a variety of risks and
uncertainties and other factors that could cause actual events or results to
differ materially from those projected in the forward-looking information.
These factors include the inherent risks involved in the exploration and
development of oil and natural gas properties and the possibility of
unanticipated costs and expenses. For a description of the risks and
uncertainties facing Petrolifera and its business and affairs, readers should
refer to Petrolifera's Annual Information Form for the year ended December 31,
2008. Petrolifera undertakes no obligation to update forward-looking
statements if circumstances or management's estimates or opinions should
change, unless required by law. The reader is cautioned not to place undue
reliance on forward-looking statements.

For further information:

For further information: Richard A. Gusella, Executive Chairman, or Gary
D. Wine, President and Chief Operating Officer, or Kristen Bibby,
Vice-President, Finance and Chief Financial Officer, Petrolifera Petroleum
Limited, Phone: (403) 538-6201, Fax: (403) 538-6225, inquiries@petrolifera.ca,

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