Knowlton Capital Inc. notes Leni Gas Cuba and Meo Australia press releases regarding Block 9 PSC, Cuba

MONTREAL, July 7, 2016 /CNW Telbec/ - Knowlton Capital Inc. ("Knowlton") (TSXV: KWC‑H.V) has previously announced its proposed reverse take-over ("RTO") with Leni Gas Cuba Limited ("LGC").  Knowlton wishes to advise its shareholders that MEO Australia Ltd. ("MEO Australia"), a company listed on the Australian Securities Exchange (ASX) and which is one of LGC's portfolio companies, issued a press release today providing an update on MEO Australia's 2,380 km² onshore Block 9 Production Sharing Contract (known as "Block 9 PSC"), located on the north coast of Cuba, 140 km east of Havana.  Knowlton notes that a copy of MEO Australia's press release is available on its web site at www.meoaustralia.com.au, under "Investor Relations/ASX Releases".  LGC has also issued a press release in London with respect to MEO Australia's press release, a copy of which is available on LGC's website at www.lg-cuba.com.

Caution Regarding Press Releases

Neither Knowlton nor, to its knowledge, LGC has made any independent inquiries as to the accuracy or completeness of the press release issued by MEO Australia and Knowlton assumes no responsibility for the contents thereof.  Knowlton cautions that the press releases issued by MEO Australia and LGC refer to "Prospective (Recoverable) Resource" in connection with Block 9 PSC.  Knowlton assumes that such term and any other similar terms in the press releases were used in accordance with applicable Australia regulations but is not able to so confirm. Further, Knowlton is not able to confirm whether applicable Australian regulations are equivalent to those in the Canadian Oil and Gas Evaluation (COGE) Handbook and cannot confirm whether the disclosure in the MEO Australia and LGC press releases complies with the COGE Handbook and applicable Canadian regulations. Investors are cautioned to take all of the foregoing into consideration when reading the press releases issued by MEO Australia and LGC, respectively, particularly any references to "prospective resources".

Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Completion of the RTO between Knowlton and LGC is subject to a number of conditions.  There can be no assurance that the RTO will be completed as proposed or at all.  Investors are cautioned that, except as disclosed in Knowlton's management information circular dated June 9, 2016 prepared in connection with the RTO, any information released or received with respect to the RTO may not be accurate or complete and should not be relied upon.  Trading in the securities of Knowlton should be considered highly speculative.

SOURCE Knowlton Capital

Rafi Hazan, Chief Financial Officer, Tel: [phone]