Carmen Energy Inc. announces execution of farmin agreement with Shorthorn

CALGARY, Oct. 6, 2011 /CNW/ - Carmen Energy Inc. (TSXV: CEI) ("Carmen" or the "Corporation") is pleased to announce that further to its previous announcement relating to entering into a Letter of Intent to acquire all the issued and outstanding shares of Shorthorn Exploration Ltd. ("Shorthorn") on September 19, 2011, the Corporation has executed a farmin agreement with Shorthorn to drill a test well.

Under the terms of the farmin agreement, Carmen is incurring 100% of the costs to drill to the contract depth, abandonment, capping or completion, equipping and tie-in to earn a 60% working interest in the well and half section of land the well is located on.

Additionally, the Corporation has initiated the process to license and permit the location for drilling.

About Carmen Energy Inc.: Carmen is based in Calgary, Alberta and a publicly traded oil and gas exploration and production company. The focus is on exploration and development of Western Canadian Sedimentary Basin based oil and gas properties. The current projects are the Jumpbush properties in south eastern Alberta, the Ferrybank properties in central Alberta, the Sylvan Lake area properties in Southern Alberta and the Hamburg properties in northern western Alberta.

The TSX Venture Exchange Inc. has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this press release.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.