CEE Centamin Plc

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Paramount Resources Ltd. (TSX:POU) ("Paramount" or the "Company") has entered
into an agreement to sell, through a syndicate of underwriters led by BMO
Capital Markets, on a guaranteed agency basis, 1,455,000 Class A Common Shares
of the Company ("Common Shares") to be issued on a "flow-through" basis in
respect of Canadian exploration expenses ("CEE") at a price of $31.00 per share
and 356,000 Common Shares to be issued on a "flow-through" basis in respect of
Canadian development expenses ("CDE") at a price of $28.15 per share, for
aggregate gross proceeds of $55,126,400. The Common Shares will be offered for
sale to the public in the provinces of British Columbia, Alberta, Saskatchewan,
Manitoba, Ontario and Nova Scotia by way of a short-form prospectus. Closing of
the offering is expected to occur on or about October 2, 2012. 


In conjunction with this offering, Paramount also intends to issue to Clayton H.
Riddell or companies controlled by Mr. Riddell, Paramount's Chairman and Chief
Executive Officer, by way of private placement, 646,000 Common Shares to be
issued on a "flow-through" basis in respect of CEE and 1,244,000 Common Shares
to be issued on a "flow-through" basis in respect of CDE, at the same prices as
the public offering, for aggregate gross proceeds of $55,044,600. Closing of the
private placement is expected to occur on or before the closing date of the
public offering. 


The gross proceeds from the offerings will be used by Paramount to incur
eligible CEE and CDE. The completion of the offerings is subject to Paramount
receiving all necessary regulatory approvals. 


The Company is also continuing to work on a proposal from one of its lenders for
an expansion of the Company's credit facility. The proposed expanded credit
facility is to consist of a revolving operating tranche and a non-revolving
tranche to be used to fund the previously announced construction and expansion
of the Company's Kaybob deep cut natural gas processing facilities and the
drilling of additional wells. Under the current proposal, the credit facility
would have a size of at least $600 million, would be committed from the targeted
effective date of November 1, 2012 and would be due June 30, 2015. Upon
completion of the Kaybob deep cut projects by a stipulated date, the credit
facility would be converted into a conforming borrowing base revolving credit
facility based on the borrowing base at that time. The facility is expected to
have terms customary for structured financings of this nature. There is no
assurance that the Company's existing credit facility will be expanded on this
basis or at all. 


The Company has entered into a long term agreement with a midstream company to
de-ethanize and fractionate the Company's NGL volumes that will be produced from
its Kaybob area deep cut facilities. The midstream company has undertaken to
expand its facilities to process Paramount's NGL streams. Paramount has also
entered into an agreement in principle with a petro-chemical producer on
long-term arrangements for the sale of the Company's ethane production and is
pursuing long term arrangements for the transportation of its Kaybob area NGL
volumes. 


Paramount is a Canadian oil and natural gas exploration, development and
production company with operations focused in Western Canada. Paramount's Common
Shares are listed on the Toronto Stock Exchange under the symbol "POU". 


Advisory Regarding Forward-Looking Statements

Certain statements in this news release constitute forward-looking information
under applicable securities legislation. Forward-looking information typically
contain statements with words such as "anticipate", "believe", "expect", "plan",
"intend", "continue", "estimate", "propose", "budget", "forecast", "outlook",
"may", "will", "could", "potential", "target" or similar words suggesting future
outcomes or statements regarding an outlook. In particular, this news release
contains, without limitation, forward-looking statements pertaining to the
timing and receipt of necessary approvals and the anticipated completion of the
offerings and the use of proceeds therefrom; the outcome of diligence reviews
and negotiations concerning the expansion of the Company's credit facility
including the size, timing and terms thereof; the timing of the construction and
expansion of the Company's Kaybob deep cut natural gas processing facilities;
the negotiation and completion of arrangements concerning the sale and/or export
of Paramount's NGL. Forward-looking statements include estimates, plans,
expectations, opinions, forecasts, projections, guidance or other statements
that are not statements of fact. Although Paramount believes that the
expectations reflected in such forward looking information are reasonable, undue
reliance should not be placed on them as Paramount cannot give any assurance
that such expectations will prove to be correct. Forward-looking information is
based on current expectations, estimates and projections that involve a number
of risks and uncertainties which could cause actual results to differ materially
from those anticipated by Paramount. Information regarding factors that affect
Paramount's future results are set forth in documents filed by Paramount with
the Canadian securities regulatory authorities and available on www.sedar.com.
The forward-looking information in this news release is made as of the date
hereof and, except as required by applicable securities law, Paramount
undertakes no obligation to update publicly or revise any forward-looking
information, whether as a result of new information, future events or otherwise.

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