December 05, 2008 LNG ACQUIRES 60% INTEREST IN COMPANY TO ACQUIRE OIL AND GAS LEASES HELD BY BNK PETROLEUM INC.   LNG Energy Ltd. ("LNG") (TSX Venture -- LNG) announces that it has acquired a 60% interest in a private Delaware company ("Privateco") for a purchase price of US$6 million. Privateco has recently entered into a purchase and sale agreement with BNK Petroleum Inc. ("BNK") under which BNK will sell to Privateco approximately 2,800 acres of oil and gas leases which are adjacent to BNK's East Tishomingo Field development, in Carter County, Oklahoma and an estimated 86,000 acres of leases in the Black Warrior Basin of Mississippi and Alabama for US$10 million. The acquisition by Privateco of the oil and gas leases from BNK is expected to close in mid December. BNK has also entered into an Exploration Agreement with Privateco in regard to the Black Warrior acreage whereby BNK can earn up to a 50% working interest in a portion or all of the Black Warrior acreage by drilling a series of test wells on identified prospects. The exploration program requires BNK to pay for Privateco's share of costs in an eight well test program. BNK is currently projected to incur an expenditure of up to US$10 million in the eight well program in order to earn the 50% working interest. BNK is committed to drill three wells, the first of which is to be spudded by September 30th, 2009. Failure to commence any of these three wells on scheduled dates will subject BNK to liquidated damages of $500,000 per well. In addition, Privateco will have the option to participate for up to a 20% interest, at its proportionate cost, in a new shale exploration project that BNK is currently reviewing. "We are very pleased to be able to participate in this acreage in a basin with existing production and great potential for expansion" said Dave Afseth, President of LNG. "The purchase is a small amount of our current treasury, should bring short-term cash flow and will not impact on our planned PNG gas program." For further information please contact: Investor relations 1-778-373-0103 THE TSX VENTURE EXCHANGE DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEWS RELEASE. This news release may contain forward-looking statements based on assumptions and judgments of management of LNG regarding future events or results. Such statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ materially from those reflected in the forward-looking statements. LNG disclaims any intention or obligation to revise or update such statements except as may be required by law.