Newton Energy Corporation held its Annual General and Special meeting of shareholders provide the following re-election of directors of Merv Chia, Bruce Williams, Richard Schmitt and Steve Engwall. In addition, subsequent to the shareholders meeting, the directors made the following appointments:

Merv Chia, Chairman of the Board; Steve Engwall, President and Chief Executive Officer; and Barry Sadrehashemi as Vice-President, Finance, Chief Financial Officer and Secretary.

Operations

Mr. Engwall provided an update on management activities and operational matters in the East Midlands Basin.

The Company is making progress towards drilling its first well in the East Midlands which will be on the Harlequin prospect, east of the City of Nottingham. The site preparation was completed by Fox (Owmby) on September 30, 2011. Long lead items (wellhead and tubing hanger) have been purchased and received into the warehouse of Newton's project managers, Moorhouse Petroleum.

The Company also announces that negotiations have commenced with drilling contractors to provide a drilling rig for the Harlequin prospect. Delivery of the rig will most likely occur in the first or second quarter of 2012 and applications to the Department of Energy and Climate Change for permission to drill the well are expected to be commenced in the next few days.

East Midlands Reserves

The Company also anticipates that certain of the prospects on Newton's East Midlands acreage may see reductions in their associated Proved and Probable Reserves categories as a result of re-interpretation of 2D seismic data and well logs.

In particular, it is expected that the reserves on the Cropwell Butler and Harlequin prospects will be reviewed by independent Qualified Reserves Evaluators, Chapman Petroleum Engineering Ltd. ("Chapman") and there will likely be downward revisions.

However, the new mapping work has also brought insight into at least one new prospect on the acreage, whose reserves are still under evaluation, but may well help to mitigate some of the above reductions. It is expected that further details of any significant reserves revisions will be announced following Newton's year end review of reserves with Chapman.

Tags: Newton Energy Corporation