AROWAY ENERGY INC. INCREASES OIL PRODUCTION BY 25%

Calgary, Alberta, AROWAY ENERGY INC. (TSX-V: ARW) (OTCQX: ARWJF) (the “Company” or “Aroway”) is pleased to provide the following production update with respect to the Company’s operations. Aroway’s current net production is 650 boe/d, which consists of 90 % oil from the Company’s Peace River Arch core area. Aroway’s oil production ratio has increased 25% since the Company’s production update from December of 2011. Aroway is also pleased to report it has an additional 200 boe/d of natural gas production that the Company has elected to shut-in due to current natural gas prices.

The increased oil production enables Aroway to capitalize on the current price of oil while preserving the Company’s natural gas reserves until a recovery occurs in the current natural gas price. The increased oil production coupled with the current price of oil is providing record monthly revenue for the Company.

Chris Cooper, President & CEO of Aroway Energy commented, “The 25% increase in our oil production has translated to record monthly revenues for Aroway. As a result, our upcoming drill program which will commence immediately after spring break up is 100% oil focused. Aroway’s current production coupled with our 200 boe/d of shut-in natural gas keeps us on track to meet our 2012 year-end target.”

ABOUT AROWAY ENERGY INC.
Aroway Energy Inc. is a Western Canadian junior oil and gas production and exploration company participating in oil exploration prospects, through a joint venture partnership. Aroway and its Partner have assembled an impressive land package of 121 sections (77,440 acres) with 3D seismic coverage over 75% of its lands, all within its core area, the Peace River Arch. All of the Company’s exploration and development targets are in close proximity to tie-in, gathering and plant infrastructure, controlled and owned by Aroway’s Joint Venture Partner. Aroway is currently producing approximately 650 boe/d (90% oil) and an additional 200 boe/d of shut in natural gas. The Company’s 2012 drill and recompletion program will resume after spring break up. Aroway expects to exit 2012 with total production of approximately 1200 boe/d.

ON BEHALF OF AROWAY ENERGY INC

"Chris Cooper"
President & CEO

For further information, please contact:

Aroway Energy Inc.:
Chris Cooper, President & CEO
Toll Free: 1-855-427-6929
E-mail: [email protected]

Aroway Energy Inc.:
Judy-Ann Pottinger, Director of Communications
Toll Free: 1-855-427-6929 Mobile: 604-617-5290
E-mail: [email protected]