(TSX-V | OYL)

TORONTO, May 7, 2012 /CNW/ - CGX Energy Inc. (TSX-V - OYL) ("CGX" or the "Company") announces that effective May 4, 2012, Stephen Hermeston is no longer President and Chief Executive Officer of CGX. Kerry Sully has been appointed as acting President and Chief Executive Officer with immediate effect. Kerry Sully was the President and Chief Executive Officer of CGX from 1998 until June 2011 when he was appointed Executive Chairman of the Company. Kerry Sully has over 40 years of industry experience and has played an instrumental role in the Company's development for over 14 years. The Company has initiated a search for a new permanent President and CEO.

Also effective May 4, 2012, CGX is pleased to announce that Dr. Suresh Narine, an independent Director has been appointed as Chairman of the Company. Professor Suresh Narine, named in 2011 as one of Canada's Top 40 Under 40 Leaders, is originally from Guyana. Professor Narine has an impressive academic career that includes numerous awards including the prestigious "Growing Alberta Leadership Award for Innovation" received in 2005, the Guyana/Canada Special Achievement Award in 2007, and an award from the Guyana Government for his contributions to Science and Technology in Canada and for his contributions in this field towards the development of Guyana, received in 2011, among many other accomplishments. In 2005, Professor Narine accepted a presidential appointment as the Director of Guyana's Institute of Applied Science and Technology (IAST), a role which he maintains, together with his academic appointment as Senior Professor at Trent University, his alma mater, in the Departments of Physics and Astronomy and Chemistry and as Director of the Trent Centre for Biomaterials Research. Professor Narine is currently the Ontario Research Chair in Green Chemistry and Engineering and the NSERC/GFO/ERS Senior Research Chair in Lipid Derived Biomaterials.

Commenting on this change, Kerry Sully stated, "Steve has done a terrific job over the last year building an exceptional team to explore and drill offshore. Over the year, Steve has significantly expanded CGX's portfolio of exploration opportunities, and effectively marketed the potential to the investment community. His passion and determination were a significant strength in raising the profile of the Company and moving our operations forward with the drilling of our 100% owned Eagle-1 exploration well and our participation in the 25% owned Jaguar-1 exploration well. Steve is an incredibly passionate and driven person which is a key reason for his success however his strength of personality resulted in a deterioration in working relationships with the Board that could not continue. Steve is a talented and hardworking individual and we wish him the best."

The Company also announces that Oliver Lennox-King has resigned as a director of the Company effective May 4, 2012. Oliver Lennox-King's experience and leadership was key in the formation and early development of CGX. The Company is grateful for Oliver Lennox-King's significant contribution to CGX over his 14-year tenure as a director of the Company. We wish him all the best in his future endeavours.

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