News Release

Brownstone Ventures Inc. Announces Closing of First Tranche of Offering to Raise $6,615,000

Brownstone Ventures Inc. (“Brownstone”) (TSX VENTURE:BWN) is pleased to announce that it has closed the first tranche of its previously announced brokered private placement (the “Offering”) pursuant to which it has issued an aggregate of 13,230,000 units (“Units”) at a price of $0.50 per Unit to raise aggregate gross proceeds of $6,615,000. Each Unit consists of one common share of Brownstone and one-half of one common share purchase warrant, each whole such warrant (a “Warrant”) entitling the holder to acquire one additional common share of Brownstone at a price of $0.75 for a period of two years from closing (the “Warrant Term”). If, however, following the expiry of the four month hold period, the closing price of Brownstone’s common shares exceeds $1.50 for 20 consecutive business days, then the Warrant Term shall be automatically reduced and the Warrants will expire on the date that is 30 days following the issuance of a press release announcing the reduced Warrant Term. Insiders of Brownstone subscribed for an aggregate of 520,000 Units in connection with the Offering.

PowerOne Capital Markets Limited (the “Agent”) acted as agent in connection with the financing and at closing received a cash commission equal to 7% of the gross proceeds raised, as well as 1,058,400 warrants (the “Agent’s Warrants”), each exercisable to acquire one Unit at a price of $0.50 per Unit for a period of twenty-four months from closing.

Brownstone may be considered to be a “connected issuer” to the Agent for purposes of applicable securities legislation as its Chairman and President is also the President, CEO and a director of the Agent’s 50% shareholder and its Chief Financial Officer is the Chief Financial Officer and a director of the Agent.

Closing of the private placement is subject to receipt of all necessary regulatory approvals. The securities issued in connection with the Offering will have a hold period expiring four months and one day from the date of closing. Proceeds from the sale of the Units will be used for general corporate purposes.

About Brownstone – Brownstone Ventures Inc. is a Canadian-based, energy focused investment company with equity interests and direct interests in oil and gas exploration projects, including working interests in almost 300,000 acres in the Piceance/Uinta Basins of Colorado and Utah; 295km2 in the Assam/Arakan Basin, Northeast India; 253,000 acres in Rio Negro, Argentina; interests in several projects in Brazil and a 50% interest in approximately 160,000 hectares in the Quebec Lowlands. For additional information, please