1st NRG Corp Company Update

For Immediate Release

1^st NRG Corp Company Update

Denver, CO – August 22, 2012 – 1^st NRG Corporation (OTCBB: FNRC.PK) provides a current update on the Company.

Operations Update

1^st NRG is pleased to report that the Company has recently filed its Initial Disclosure Statement with the OTC Markets Alternative Reporting Service and now lists on the OTC Pink Current Information tier.  The Initial Disclosure Statement and our report for the quarter ended June 30, 2012 can be found on www.OTCMarkets.com or at our website http://1stnrg-corp.com .  Filing current information with the OTC Markets enabled the Company to lift the “Stop” sign which has plagued the Company in the past.  This is a major improvement in the Company's public presence and is the precursor to an anticipated S1 Registration Statement to be filed in the near future with the SEC.

Clabaugh Ranch - Gross production currently averages approximately 1,300 mcf (thousand cubic feet) per day ("mcfd") which on a net basis to the Company is approximately 33 mcfd.  Clabaugh Ranch was acquired in October 2010 and consists of various working interests in forty two producing coal bed methane (CBM) wells.  Along with the forty two (1.22 net) drilled and producing wells, the Company holds an interest in eight (6.00 net) permitted locations and twenty eight (1.15 net) future locations.

Producing CBM natural gas has been economically challenging at recent commodity prices.  For the six months ended June 30, 2012, the Company received an average gross price of $ 2.0614/mcf, less transportation ($0.8442/mcf), production taxes ($0.2040/mcf) and lease operating costs ($2.0258) which in total averaged $3.0739/mcf, resulting in a loss on operations of $ 1.0126 per produced net mcf.  Net production to the Company for the six months ended June 30 was 6,301 mcf.  Indications of future prices as quoted by the CME (www.cmegroup.com ) are higher from the lows set March, April and May of this year.

Management Comments

Mr. Kevin Norris, CEO said “This is a major step forward for 1^st NRG and its shareholders.  While depressed natural gas prices have created numerous acquisition opportunities”. Mr. Norris went on to say; “the economics of producing coal bed methane still remain much lower than any other gas play, conventional or unconventional, onshore or offshore, and therefore will be the first to recover with higher commodity prices.  However, we are evaluating other opportunities to diversify the concentration in natural gas and the confinements of the Powder River Basin.”   

About 1^st NRG

1st NRG Corp. (OTCBB: FNRC.PK) is an exploration and production company headquartered in Denver, Colorado. The Company is currently pursuing prospective acquisitions in coal bed methane (CBM) fields in the Powder River Basin of Wyoming.  We own working interests in producing and prospective CBM wells in the Clabaugh Ranch Field, a development of 6,025 gross acres in the Powder River Basin in northeast Wyoming.  The Powder River Basin is a major source of coal bed methane - clean natural gas. 

See the company website for updates, at http://1stnrg-corp.com

Contact Information:

Brad Holmes, EnergyIR

(713)654-4009

B_holmes@att.net

Forward-Looking Statement

This Press Release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934. A statement identified by the words "expects," "projects," "plans," "feels," "anticipates" and certain of the other foregoing statements may be deemed "forward-looking statements." Although 1^st NRG believes that the expectations reflected in such forward-looking statements are reasonable, these statements involve risks and uncertainties that may cause actual future activities and results to be materially different from those suggested or described in this press release. These include risks inherent in the drilling of oil and natural gas wells, including risks of fire, explosion, blowout, pipe failure, casing collapse, unusual or unexpected formation pressures, environmental hazards, and other operating and production risks inherent in oil and natural gas drilling and production activities, which may temporarily or permanently reduce production or cause initial production or test results to not be indicative of future well performance or delay the timing of sales or completion of drilling operations; risks with respect to oil and natural gas prices, a material decline in production which could cause the Company to delay or suspend planned drilling operations or reduce production levels; and risks relating to the availability of capital to fund drilling operations that can be adversely affected by adverse drilling results, production declines and declines in oil and gas prices and other risk factors.