71 Capital Corp. Provides Update Regarding Proposed Qualifying Transaction

(TSXV: SVN.P)

TORONTO, July 15 /CNW/ - 71 Capital Corp. (the "Corporation") (TSXV: SVN.P) has been advised by Prairie Pulse Inc. ("Prairie Pulse") that it will not be proceeding with the previously disclosed proposed qualifying transaction as Prairie Pulse is not satisfied with the size of the secondary offering that was to form part of the concurrent financing. The Corporation has re-commenced its search for a qualifying transaction.

Neither the 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.

Cautionary Statements

This news release contains "forward-looking statements" within the meaning of applicable securities laws relating to the proposal to complete the Qualifying Transaction and associated transactions, including statements regarding the terms and conditions of the Qualifying Transaction and associated transactions. Readers are cautioned not to place undue reliance on forward-looking statements. Actual results and developments may differ materially from those contemplated by these statements depending on, among other things, the risks that the parties will not proceed with the Qualifying Transaction and associated transactions, that the ultimate terms of the Qualifying Transaction and associated transactions will differ from those that currently are contemplated, and that the Qualifying Transaction and associated transactions will not be successfully completed for any reason (including the failure to obtain the required approvals or clearances from regulatory authorities). The statements in this news release are made as of the date of this release. The Corporation undertakes no obligation to comment on analyses, expectations or statements made by third parties in respect of the Corporation, Prairie Pulse, or their respective financial or operating results or (as applicable), their securities.

For further information: 71 CAPITAL CORP., ERIC ROBLIN, PHONE NO: [phone]