NOT FOR DISTRIBUTION IN THE UNITED STATES 

Shoreline Energy Corp. (TSX:SEQ) ("Shoreline" or the "Corporation") announces
that it has entered into an amendment agreement extending its Forbearance
Agreement with its senior secured lender, Acceleration Resources II, LP
(collectively, the "Forbearance"). The Forbearance will provide Shoreline with
the ongoing opportunity to complete its strategic alternatives process,
co-ordinated by its advisor RBC Capital Markets. The strategic alternatives
process will continue to provide interested parties the opportunity to pursue
transactions across Shoreline's complete suite of assets. 


Shoreline believes that, given its asset valuation as disclosed in its year end
financial statements, current strong commodity prices, and the positive progress
to date on its strategic alternatives process, the strategic alternatives
process will provide satisfactory results to stakeholders. The Forbearance is
effective until August 8, 2014, with the potential to extend upon achievement of
various milestones, which aligns with the expected timing of the strategic
alternatives process. The Corporation will update the market upon material
developments in the strategic alternatives process. 


The Corporation cautions that there are no assurances or guarantees that (i) the
strategic alternatives process will result in a transaction; (ii) if a
transaction is undertaken, the terms or timing of such transaction will be
satisfactory to all stakeholders; (iii) the ongoing conditions of the
Forbearance will be met to the satisfaction of the lender; or (iv) negotiations
currently underway with the Corporation's other lenders will yield satisfactory
results. 


Investor Information 

Shoreline is a Calgary, Alberta-based corporation engaged in the exploration,
development and production of petroleum and natural gas. Shoreline offers
investors a combination of value growth via lower risk development of additional
oil reserves and production on its current lands. The Corporation's common
shares and its convertible unsecured subordinated debentures are currently
listed on the TSX under the trading symbols "SEQ" and "SEQ.DB", respectively.
Additional information regarding Shoreline is available under the Corporation's
profile at www.sedar.com or at the Corporation's website,
www.shorelineenergy.ca.


Forward-Looking and Cautionary Statements 

This news release contains forward-looking statements relating to successful
completion of a strategic alternatives process, and satisfaction of forbearance
conditions. These forward-looking statements may include opinions, assumptions,
estimates and management's assessment of future plans and operations. 


Forward-looking statements typically use words such as "will", "anticipate",
"believe", "estimate", "expect", "intend", "may", "project", "should", "plan",
and similar expressions suggesting future outcomes, and include statements that
actions, events or conditions "may", "would", "could", or "will" be taken or
occur in the future. The forward-looking statements are based on various
assumptions including expectations regarding the nature and success of
negotiations and of a strategic alternatives process; the Corporation's net
debt; increases in production rates; the success of current or future drill
wells; the outlook for petroleum and natural gas prices; estimated amounts and
timing of capital expenditures; estimates of future production; assumptions
concerning the timing of regulatory approvals; the state of the economy and the
exploration and production business; results of operations; business prospects
and opportunities; future exchange and interest rates; the Corporation's ability
to obtain equipment in a timely manner to carry out development activities; and
the ability of the Corporation to access capital and credit. While the
Corporation considers these assumptions to be reasonable based on information
currently available to it, they may prove to be incorrect.


Forward-looking statements are subject to a wide range of assumptions, known and
unknown risks and uncertainties and other factors that contribute to the
possibility that the predicted outcome will not occur, including, without
limitation: risks associated with oil and gas exploration, development,
exploitation, production, marketing and transportation; loss of markets;
volatility of commodities prices; currency fluctuations; imprecision of reserves
estimates; environmental risks; competition from other producers; inability to
negotiate acceptable terms with current and future lenders and/or equity
providers; inability to obtain requisite approvals of various stakeholders;
inability to retain drilling rigs and other services; incorrect assessment of
the value of acquisitions; failure to realize the anticipated benefits of
acquisitions; general economic conditions; delays resulting from or inability to
obtain required regulatory approvals and to satisfy various closing conditions;
failure to meet credit facility covenants; and ability to access sufficient
capital from internal and external sources. Readers are cautioned that the
foregoing list of factors is not exhaustive. 


Although Shoreline believes that the expectations represented by such
forward-looking statements are reasonable, there can be no assurance that such
expectations will be realized. As a consequence, actual results may differ
materially from those anticipated in the forward-looking statements and you
should not rely unduly on forward-looking statements. The forward-looking
statements contained in this news release are made as of the date of this news
release. Except as required by applicable law, Shoreline does not undertake any
obligation to publicly update or revise any forward-looking statements.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Shoreline Energy Corp.
Mr. Trevor Folk
Chief Executive Officer
tfolk@shorelineenergy.ca


Shoreline Energy Corp.
Mr. Kevin Stromquist
President & Chief Operating Officer
kstromquist@shorelineenergy.ca


Shoreline Energy Corp.
Calgary Office
Suite 500, 500 - 4th Ave. SW
Calgary, Alberta T2P 2V6
(403) 767-9066
www.shorelineenergy.ca