Gale Force Confirms Revised Conditional Debt Restructuring Agreement

Gale Force Petroleum Inc.

Gale Force Petroleum has amended the terms of the private placement financing it is seeking and has agreed with its secured lender to revise the conditional agreement to write-down a portion of the secured loan and convert the balance into shares of the Corporation. For more details on these proposed transactions, readers should first refer to the full content of the news released by the Corporation on June 8, 2009.

Revised Financing Terms

The Corporation is now seeking to obtain equity financing of approximately $850,000 (maximum $1,100,000) in a private placement of units (the "Units") issued at a price of one-half cent ($0.005) per Unit, comprised of one common share of the Corporation (the "Common Shares") and one-quarter of one (1/4) warrant per Common Share (the "Warrants"). Each whole Warrant shall entitle its holder to purchase one (1) Common Share for twelve (12) months from the Closing Date at a purchase price of five cents ($0.05) per Common Share. In the event that the common shares of the Corporation are consolidated, the holder of each consolidated Warrant shall be entitled to purchase one (1) consolidated Common Share at a price equal to the consolidation ratio multiplied by one-half cent ($0.005) per consolidated Common Share, subject to a minimum of ten cents ($0.10) per Warrant Share. By way of example, following a shares consolidation on a 50:1 basis, the holder of each consolidated Warrant would be entitled to purchase one (1) consolidated Common Share at a price of twenty-five cents ($0.25) per consolidated Common Share (=$0.005 x 50). The private placement is subject to TSX Venture Exchange and other customary regulatory approvals.

Revised Conditional Agreement with Lender

Under a new conditional agreement with the holder of its $2,030,000 secured loan, Primatlantis Capital L.P. (the "Lender"), the Lender would write-down $1,380,000 of the loan and convert the remaining $650,000 into shares at a price of one-half cent ($0.005), which would result in the Lender being issued 130,000,000 shares in a shares for debt transaction (collectively, the "Conditional Agreement").