Alange Energy Provides an Update on the Topoyaco-2 Exploration well

TORONTO, Oct. 4 /CNW/ - Alange Energy Corp (TSXV: ALE) provided today an update on the drilling of Topoyaco-2, one of the first two exploration wells being drilled in the Topoyaco block, located in the Putumayo Basin of Colombia. The Topoyaco-2 well, spudded on August 8, 2010, is being drilled to explore the prospectivity of the Villeta and Caballos Formations in the block. The objective is to drill the structure known as Prospect C, with calculations of prospective resources certified by Petrotech Engineering Ltd. in its report dated effective April 30, 2010 of 19.2 MMbbl (best estimate).

As of October 3, 2010, the Villeta Formation is being drilled at a depth of 8,040 feet measured depth (MD), with a 7-inch hole. The shoe for the 8 5/8" casing was set at 7,118 feet MD in the lower Rumiyaco formation. The top of the Villeta Formation was encountered at 7,354 feet MD, 6,075 true vertical depth (TVD), 92 feet shallower than anticipated. The well encountered reservoir quality sandstones with hydrocarbon shows in several zones during the drilling of the Upper Villeta N sands with a mud weight of 9.9 lbs/gallon, with initial log interpretations indicating potential oil pay. Observations based on the gamma ray log indicate 87 feet TVD of sandstones, and 29 feet TVD of carbonate intervals, which have shown oil stains, light yellow and bluish fluorescence, as well as a rapid mud cut. This observation together with the mud gas chromatography, indicates the presence of light/medium oil. This was corroborated by events during the early hours of October 2, 2010 when the well gushed significant amounts of oil clearly visible in the shale-shakers and the mud tanks, prompting the need for an increase in the mud weight to 10.4 lbs/gallon in order to ensure effective control of the well.

Luis E. Giusti, the Company's Chief Executive Officer, stated, "These are very significant and promising indications, which appear to prove the expectations in Villeta, but there is still plenty of work ahead in this well, in order to have a thorough and definitive evaluation, including the Caballos prospect. We are extremely pleased with these results."

The Company plans to drill a 7-inch hole down to a total depth of 8,510 feet MD, 100 feet of it still in the Villeta Formation, 270 feet MD of the Caballos Formation and 100 feet MD into the Motema Formation (basement). The sections yet to be drilled in the U and T sands of the Villeta Formation, which are producers in nearby fields, as well as the Caballos Formation, are believed by the Company to be of high prospectivity.

The Topoyaco-1 well aimed at Prospect B, which was spudded on July 28, 2010, is currently drilling at 6,309 ft MD in the Villeta Formation, and will continue to an estimated total depth of 6,700 ft MD. The target formations of this overthrust prospect are the same as Topoyaco-2. The preliminary cuttings in this well are showing good fluorescence.

The Company will provide updates on both wells as they progress. The Company's strategy is to continue to explore its portfolio with the objective of steadily increasing its resource base and production rate in the near term.

The Topoyaco Block, located in the Putumayo basin of Colombia, is an asset in which the Company holds a working interest of 50%, partnering with Pacific Rubiales Energy Corp. and has control of the operatorship. With an area of over 60,000 acres, the block constitutes the largest unexplored portion in that zone of the foothills of the Andean mountain chain, in a trend that has been highly prolific in many fields, including Costayaco, Mary, Linda, Toroyaco, Juamambu, and Azar.

About Alange Energy Corp.

Alange Energy is a Canadian-based oil and gas exploration and production company, with working interests in 12 properties in four basins in Colombia. Further information can be obtained by visiting our website at www.alangeenergy.com.

All monetary amounts in U.S. dollars unless otherwise stated. This news release contains certain "forward-looking statements" and "forward-looking information" under applicable Canadian securities laws concerning the business, operations and financial performance and condition of Alange Energy. Forward-looking statements and forward-looking information include, but are not limited to, statements with respect to estimated production and reserve life of the various oil and gas projects of Alange Energy; the estimation of oil and gas reserves; the realization of oil and gas reserve estimates; the timing and amount of estimated future production; costs of production; success of exploration activities; and currency exchange rate fluctuations. Except for statements of historical fact relating to the company, certain information contained herein constitutes forward-looking statements. Forward-looking statements are frequently characterized by words such as "plan," "expect," "project," "intend," "believe," "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are based on a number of assumptions and 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 statements. Many of these assumptions are based on factors and events that are not within the control of Alange Energy and there is no assurance they will prove to be correct. Factors that could cause actual results to vary materially from results anticipated by such forward-looking statements include changes in market conditions, risks relating to international operations, fluctuating oil and gas prices and currency exchange rates, changes in project parameters, the possibility of project cost overruns or unanticipated costs and expenses, labour disputes and other risks of the oil and gas industry, failure of plant, equipment or processes to operate as anticipated. Although Alange Energy has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Alange Energy undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change except as required by applicable securities laws. The reader is cautioned not to place undue reliance on forward-looking statements.

Statements concerning oil and gas reserve estimates may also be deemed to constitute forward-looking statements to the extent they involve estimates of the oil and gas that will be encountered if the property is developed. Boe may be misleading, particularly if used in isolation. A boe conversion ratio of 6 mcf:1 bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. Estimated values of future net revenue disclosed do not represent fair market value.

Prospective Resources are those quantities of petroleum estimated, as of a given date, to be potentially recoverable from undiscovered accumulations by application of future development projects. Prospective resources have both an associated chance of discovery and a chance of development. Prospective Resources are further subdivided in accordance with the level of certainty associated with recoverable estimates, assuming their discovery and development, and may be sub-classified based on project maturity. There is no certainty that any portion of the resources will be discovered. If discovered, and they would be technically and economically viable to recover; there is no certainty that the prospective resource will be discovered. If discovered, there is no certainty that any discovery will be technically or economically viable to produce any portion of the resources.

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 news release.

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For further information: Luis E. Giusti, Jr., Vice President, Investor Relations, 416-360-4653