Magnum Energy Inc. (TSX VENTURE:MEN) is pleased to provide an update with
respect to the three wells which it recently drilled and cased in the Sedalia
area of Alberta. Testing of these three wells has commenced, however, due to
extreme cold weather conditions, the testing has not yet been completed. Testing
to date has indicated that two of the wells have hydrocarbons present in more
than one geological zone. The third well will require hydraulic stimulation
before an estimate of the wells potential can be completed.


Magnum is also continuing to work on re-activating an existing pipeline which
will be used to tie-in these wells.


The Company also reports that Ted Konyi is resigning as President and CEO of the
company effective January 31, 2009 to pursue other opportunities. Mr. Konyi will
remain on the Board of Directors of the Company. The Company wishes to thank Mr.
Konyi, as a founder of the Company, for all his efforts. Richard Nemeth, who
joined the Company in June, 2007 to oversee corporate development, will become
President and CEO effective February 1, 2009.