BNK Petroleum Enters $20MM Bought Deal Financing

BNK Petroleum Inc. has entered into an agreement with Canaccord Capital Corporation as lead underwriter on behalf of a syndicate of underwriters, pursuant to which such underwriters have agreed to purchase, on a bought deal private placement basis, 11,000,000 common shares of BNK Petroleum Inc. at a price of
$1.85 per common share. Gross proceeds of the offering will be $20,350,000.

In addition, the Underwriters will be entitled to an option, exercisable prior to the closing date of the offering, to purchase up to an additional 2,600,000 common shares at $1.85 per common share for additional gross
proceeds of up to $4,810,000. The net proceeds from this financing will be used for general corporate

All common shares issued pursuant to this financing will be subject to a four month hold period commencing on the date of closing. Closing is expected to occur on or about August 14, 2008, subject to receipt of all necessary regulatory and stock exchange approvals.