MOUNTAINVIEW ENERGY LTD. - REVERSE TAKEOVER UPDATE

CUT BANK, MT, Dec. 31 /PRNewswire-FirstCall/ - Further to its news release dated November 28, 2010, Mountainview Energy Ltd. (TSXV: MVW) (the "Company") is pleased to announce that progress has been made on its proposed Reverse Takeover.  An Appraisal Report on the State Line Project has been prepared by Citadel Engineering Ltd., and a Geological Report, prepared by Elizabeth Campen, has been completed.  In addition these items along with a draft Filing Statement have been submitted to the TSX Venture Exchange (the "Exchange") for review and approval. The Company's stock on the Exchange remains halted pending further review of the proposed transaction.

With respect to the proposed part and parcel non-brokered private placement of up to 21,000,000 units at a price of $0.225 per unit for gross proceeds of up to $4,725,000, the Private Placement is fully subscribed and closing is subject to approval by the Exchange of the Reverse Takeover.

NEWLY APPOINTED BOARD MEMBERS

Subject to acceptance of the Exchange, the Company also announces the appointment of two new Directors to the Board in an effort to diversify and increase the number of Independent members.  Following are the names and a short dossier of the new Directors:

Keith MacDonald:  Mr. Macdonald is President of Bamako Investment Management Ltd. a private investment and financial consulting company. He brings over 30 years of experience in the financing and growing of oil and gas businesses in Canada, the United States and internationally to the Company's team. Mr. Macdonald is currently and previously a director and/or founder of a number of publically traded and private companies in the oil and gas, mining and agriculture/construction equipment industries. He has a well rounded Board experience relating to corporate and business strategy, corporate governance and regulatory compliance, compensation issues, auditing and financial controls and oil and gas reserves. He is a Past Chairman and Director of the Small Explorers and Producers of Canada. Mr. Macdonald was founder and President of New Cache Petroleums Ltd. in 1987 and grew the company to 5,000 boepd prior to its sale in early 1999. He is a Chartered Accountant and currently a member of the Canadian and Alberta Institutes of Chartered Accountants.

Denny Hop:  Mr. Hop was one of the founders of Breaker Energy in late 2005 and was on the Board of Directors since inception until Breaker was sold in late 2010 for $300 Million to NAL Oil and Gas. Breaker was a start-up junior and at the time of sale was at a production level of over 7200 boepd. Mr. Hop chaired the Compensation Committee at Breaker.  Mr. Hop currently sits on the Board of Pacific Northwest Capital, a TSX listed mining company.

Denny Hop is the Principal and Founder of Hop Estate Planning Partners in Calgary, which specializes in estate planning and wealth transfer strategies for private business owners and affluent families, and has been in this area of specialty since 1982. Denny is also a fifty percent partner in Uniglobe Travel (Western Canada) Inc., with 38 locations in Western Canada and has been involved in this business since 1989.

Mr. Hop has a Masters Degree in Administration from the University of Calgary and is involved with several organizations including the World Presidents Organization (WPO) Alberta Chapter, the Society of Tax and Estate Planning (STEP) Alberta Chapter, the Alberta Family Business Organization, the Calgary Society of Estate Planners, and Conference for Advanced Life Underwriters (CALU) of Canada.

ON BEHALF OF THE BOARD OF MOUNTAINVIEW ENERGY LTD.

"Patrick M. Montalban"

President & CEO

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

SOURCE Mountainview Energy Ltd.