Cirrus Energy Corporation Announces Netherlands Operational Update

CALGARY, Oct. 14 /CNW/ - Cirrus Energy Corporation (TSXV: CYR) announces the following operational update regarding ongoing activities in our wholly owned subsidiary, Cirrus Energy Nederland B.V. ("Cirrus") in The Netherlands.

Production from the M07-A field in The Netherlands remains shut-in due to the previously reported gas processing problems at the third party operated L09-FF processing platform. The operator of the L09-FF platform has advised that the problem is caused by the hydrate inhibitor regeneration system on L09-FF and had determined that the installation's Certificate of Fitness was no longer valid. This part of the gas process system is used by three satellite production platforms, one of which is the M07-A facility.

The operator of the L09-FF processing platform has determined what repairs and modifications are required to be able to reinstate production from the satellite platforms and advised that the current best estimate for recommencement of production operations is the week starting November 8, 2010. This timing is being updated weekly by the operator of the L09-FF processing platform and further information will be released as it becomes available.

Cirrus is evaluating options to modify the M07-A production platform which will remove the dependence of M07-A production on the L09-FF hydrate inhibitor regeneration system. It is estimated that the earliest date when this may be achieved is during the first quarter of 2011 although a permanent solution may take longer to implement. Changes to the gas process system will also require revising commercial terms with the operator of the L09-FF processing platform which have yet to be agreed.

Cirrus expects gross production from the M07-A field of 30.5 MMscf/d (Cirrus net 13.0 MMscf/d) upon restart of the L09-FF processing platform.

Cirrus Energy Corporation is an international oil and gas company headquartered in Calgary and has approximately 92.0 million fully diluted common shares outstanding.  Additional information about Cirrus and its business activities is available at www.cirrusenergy.ca and www.sedar.com.

Forward-Looking Statements

This press release may include forward-looking statements including opinions, assumptions, estimates and expectations of future production, cash flow and earnings. When used in this document, the words "anticipate", "believe", "estimate", "expect", "intent", "may", "project", "plan", "should" and similar expressions are intended to be among the statements that identify forward-looking statements. Forward-looking statements are subject to a wide range of risks and uncertainties, and although the Company believes that the expectations represented by such forward-looking statements are reasonable there can be no assurance that such expectations will be realized. Any number of important factors could cause actual results to differ materially from those in the forward-looking statements including, but not limited to, the volatility of oil and gas prices, the ability to implement corporate strategies, the state of domestic capital markets, the ability to obtain financing, changes in oil and gas acquisition and drilling programs, operating risks, production rates, reserve estimates, changes in general economic conditions and other factors more fully described from time to time in the reports and filings made by Cirrus with securities regulatory authorities.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

%SEDAR: 00021839E

For further information:

David Taylor, President and Chief Executive Officer
Theo Bergers, Managing Director, Cirrus Energy Nederland B.V.

Cirrus Energy Corporation
Suite 208, 5 Richard Way, S.W.
Calgary, Alberta  T3E 7M8 Canada

Website : www.cirrusenergy.ca
Telephone: [phone]
Facsimile:  [phone]