Universal announces prospective crude oil resources in offshore Namibia's
Block 2713A

    

    "UNX" TSX-V       "3U2A" Frankfurt       Shares Outstanding: 85,667,157
    

CALGARY, June 9 /CNW/ - Universal Power Corp. ("Universal" or the "Company") today announced prospective resource estimates for the Company's 90% owned 2713A Exploration Licence, representing approximately 16% of Universal's net land position in offshore Namibia. The property is located on the boundary between the Luderitz and the Orange Basin in the southern portion of Namibia. The prospective resource estimates were provided by a third party independent report (the "2713A Evaluation") supplied by DeGolyer and MacNaughton ("D&M") of Dallas, Texas. The D&M Prospective Resource Evaluation Report for Block 2713A, effective April 1, 2010, was prepared in accordance with National Instrument 51-101 ("NI 51-101"), Sections 5.9 and 5.10 standards for review and assessment of prospective resources. Overall, D&M has reported an unrisked mean oil-equivalent prospective resource at Block 2713A of 2.39 billion BOE (converting gas to oil at 6:1), and a risked mean prospective resource of 567 million BOE.

"The 2713A Evaluation provides an independent resource evaluation and is an important step forward in Universal's exploration program," said Mr. Gabriel Ollivier, CEO of Universal Power. "The calculated probability of success of 23% for the Block makes for robust risked economics and supports our belief that there is significant crude oil to be found in offshore Namibia. We feel that collectively the defined prospective resource of Block 2713A, related scientific findings and the large structural features already mapped will be of significant interest to the world's major oil and gas companies."

Summary of Block 2713A Evaluation

Gross Unrisked and Risked Recoverable Resource Estimates for Namibian Block 2713A, as of April 1, 2010, Citing the Statistical Aggregate Outcome:

    
    -------------------------------------------------------------------------
                               P90          P50          P10
    Description             (Low Est.)  (Best Est.)  (High Est.)   Mean Est.
    -------------------------------------------------------------------------

    -------------------------------------------------------------------------
    Unrisked Recov. Oil
     (10(3) bbl)            1,444,765    2,104,579    3,065,903    2,197,245
    -------------------------------------------------------------------------
    Unrisked Recov.
     Solution Gas (BCF)         370.0        911.3      2,244.5      1,167.0
    -------------------------------------------------------------------------

    -------------------------------------------------------------------------
    Risked Recov. Oil
     (10(3) bbl)              342,577      499,029      726,974      521,002
    -------------------------------------------------------------------------
    Risked Recov. Solution
     Gas (BCF)                   88.4        217.6        536.0        278.7
    -------------------------------------------------------------------------

    -------------------------------------------------------------------------
    Gross Unrisked BOE
     (10(3) Gas at 6:1)     1,506,435    2,256,456    3,439,986    2,391,742
    -------------------------------------------------------------------------
    Gross Risked BOE
     (10(3) Gas at 6:1)       357,305      535,301      816,314      567,452
    -------------------------------------------------------------------------
    

Of note, only a portion of Block 2713A has been mapped, leading to the identification of two oil prospects and two leads, all of which were reviewed by D&M for purposes of the resource report. The most significant prospect, Chimay, is a sub-salt equivalent play similar in age and geologic setting to the large Tupi and Jupiter discoveries made in the Santos Basin in offshore Brazil.

The 2713A Evaluation is authored by D&M independent consultant, Thomas C. Pence, P.E., registered in the State of Texas. The report has been prepared in accordance with Sections 5.9 and 5.10 of NI 51-101, and is based upon the authors' review of technical data including geology, geophysics and reservoir parameters.

The full 2713A Evaluation Report is available on the Company's website at www.universalpowercorp.com and is filed on SEDAR at www.sedar.com. Universal recommends that readers refer to the 2713A Evaluation in its entirety as it details the process for determining the resource estimate, the assumptions underpinning the modeling, and defines all of the technical terms used.

The resources described in the 2713A Evaluation and in this release are "undiscovered resources" as defined in the Canadian Oil and Gas Evaluation ("COGE") Handbook. Undiscovered resources are defined as those quantities of oil and gas estimates on a given date to be contained in accumulations yet to be discovered. The estimate of the potentially recoverable portions of undiscovered resources are classified as prospective resources. Prospective resources are defined as those quantities of oil and gas estimated on a given date to be potentially recoverable from undiscovered accumulations technically viable and economic to recover.

In accordance with Section 5.9 of NI 51-101, the Company declares that there is no certainty that any portion of these resources will be discovered. If discovered, there is no certainty that it will be commercially viable to produce any portion of the resources.

Summary of the Block 2713A

The Company's 90% owned subsidiary Kunene Energy (Proprietary) Limited holds the interest in the permit and the exploration concession, issued on August 30, 2007, by the Republic of Namibia, Ministry of Mines and Energy. The 2713A Block totals 5,481 square kilometers.

Exploration Risk

The 2713A Evaluation provides a discussion assessing the probability of geological success in undertaking a test well program on the 2713A prospect. The risk factors in assessing the probability are associated with source rock risk, migration risk, reservoir risk, closure risk, and containment risk, each of which are discussed in the 2713A Evaluation. A negative outcome from any one of, or a combination of, these risk factors has the potential for failure to discover economic concentrations of hydrocarbons.

3D Seismic Plan at Block 2713A

Universal is currently in the first exploration period which consists of four years of technical work. The Company plans on completing a 3D seismic program over the prospective areas that Universal currently has access to. The acquisition of seismic should be complete by March 31, 2011.

Other Information

About BOE

BOEs 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.

About the Authors of the Evaluation

DeGolyer and MacNaughton is an international petroleum consulting firm with offices in the United States of America, Canada and Russia, who specialize in evaluation of reserves and resources for major oil and gas companies, governments, financial institutions and the investment industry. DeGolyer and MacNaughton have conducted assessments of and for the largest petroleum and financial companies in the world. During seven decades, the firm has successfully performed studies on hundreds of thousands of petroleum properties in more than 100 countries.

About Universal Power Corp.

Universal Power Corp. is an oil and gas company focused on building a portfolio of high impact exploration targets in offshore Namibia, Africa. The Company has more than 51,000 gross square kilometers of Namibian offshore concessions along the prolific South Atlantic Margin. The Company has a newly expanded managerial and technical team supported by strong Namibian partnerships, and is thus well positioned to make a significant contribution to the exploration and development of Namibia's offshore oil and gas concessions.

    
    On Behalf of the Board of Directors
    of Universal Power Corp.

    Duane Parnham
    Chairman
    

For further information visit our website at www.universalpowercorp.com

    
    Forward Looking Information
    ---------------------------
    

This news release contains certain forward-looking statements that reflect the current views and/or expectations of Universal Power Corp. with respect to its performance, business and future events. Investors are cautioned that all forward-looking statements involve risks and uncertainties including, without limitation, those relating to changes in the market, potential downturns in economic conditions, foreign exchange fluctuations, changes in business strategy, regulatory requirements, demand for our resources, competition and dependence on key personnel. These risks, as well as others, could cause actual results and events to vary significantly. Universal Power Corp. does not undertake any obligations to release publicly any revisions for updating any voluntary forward-looking statements.

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.

For further information: Maria Elliott, VP Finance & CFO, Telephone: [phone], Email: [email protected]; David Feick, Investor Relations, Telephone: [phone], Email: [email protected]; Heidi Christensen Brown, Investor Relations, Telephone: [phone], Email: [email protected]