WI The Western Investment Company of Canada Limited

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE
UNITED STATES OF AMERICA.


Manitok Energy Inc. (the "Corporation" or "Manitok") (TSX VENTURE:MEI) is
pleased to provide the following operational update and the financial results as
at and for the three months ended September 30, 2010. 


Operational Update 

Manitok is pleased to provide an update of its previously announced five-well
heavy oil program at Swimming in east-central Alberta, 60 miles west of
Lloydminster. Manitok expected to achieve an overall production rate in the
order of 150 bbls/d from these wells. While still very early in the production
phase of these wells, management believes the five wells will meet or exceed
this target in the coming months. Manitok completed the drilling portion of the
program on budget with pre-spud drilling estimates. Total project costs are
expected to be within 10% of the total estimated costs. Most of the small
overage was due to higher completion costs which resulted from the combination
of wet weather, increased competition for required services in the area and much
higher than expected levels of initial sand production. The primary target of
these wells was a lower Mannville reservoir (Cummings), discovered by Manitok in
2007, during initial drilling of its heavy oil properties. At present, four of
the five new wells are producing from the Cummings reservoir. The fifth well
encountered two additional heavy oil zones (Sparky and Colony). Manitok has
completed the Sparky and is currently producing the zone to assess the reservoir
performance. While the initial results are encouraging, Manitok will monitor the
production performance to determine whether this zone will be the target of
further vertical, or possibly horizontal, development drilling. All nine Manitok
well bores at Swimming have encountered the Sparky zone with varying degrees of
reservoir thickness and quality. Although the shallower Colony zone has not been
tested, log characteristics are extremely encouraging. Manitok expects to test
the Colony in the first quarter of 2011. The Colony zone was intersected by
three of the five new wells, and it provides considerable upside to the
property. The drilling results not only provide Manitok with cash flow that will
exceed its monthly G&A costs, which was the primary purpose of the program, it
has also served to provide new avenues of growth on our lands through the
exploitation of the additional zones encountered. 


Manitok continued to expand its heavy oil operations in the area over the
quarter. In addition to acquiring 1,920 acres, with 100% working interest
("WI"), Manitok is near completion of a $400,000 2D and 3D seismic program to
evaluate new and existing oil pools on its acreage. The most prospective of
these pools will be tested in follow-up phases of development and exploration
drilling in 2011. Of the newly acquired acreage, 640 acres (100% WI) directly
offsets the above-mentioned successful drilling program and our current 3D
seismic data overlaps it to some degree. With 15 development locations on its
lands and the possibility of adding more with the newly acquired seismic data,
Manitok is confident that, with enough capital, it can add up to 1,000 bbls/d of
production during the next several years in east-central Alberta.


Manitok's second focus area is the Alberta foothills. Within the last month,
Manitok has added Robert Quartero to our technical team. He managed the very
successful foothills exploration team at Talisman Energy for more than a decade,
achieving above average growth rates in production and reserves. During his
tenure at Talisman, Mr. Quartero tested more than 200 prospects in the foothills
and discovered approximately 2 Tcf of natural gas reserves in a variety of
structured plays. He pioneered horizontal drilling concepts in the Alberta
foothills in the 1990s which provided Talisman a significant advantage over its
competitors. As a foothills District Manager at Talisman, he assembled and led a
world class technical team. Mr. Quartero's technical expertise and extensive
knowledge base in the specialized foothills play type will certainly benefit
Manitok in executing its business plan. 


As a result of our technical team's extensive knowledge of the opportunities in
the foothills, Manitok was successful in acquiring a drill-ready prospect near
Nordegg, Alberta at a land sale over the last quarter. Manitok has recently
licensed a vertical well on these lands. The target is a highly structured
Cretaceous reservoir which to date has not been exploited in this region of the
foothills. It has been logged and drill stem tested ("DST") in an offsetting
deeper well within 200 metres of our target bottom hole location. The DST in the
target zone in the offset well yielded a combination of light oil, condensate
and sweet gas. Management believes our target risk is low based on the technical
merits of the prospect and the target provides the company with the potential to
significantly increase its production and reserves. The total cost of the well
is expected to be approximately $5.1 million. Manitok has secured an industry
partner to participate for a 25% working interest in the project after paying
for a higher proportion of the land costs as a promote. While drilling results
can never be certain, management's internal estimate, effective November 24,
2010, is for initial risked production rates of between 300-700 boe/d and
reserves in the order of 400-700 mboe. The variable phase offset DST places some
uncertainty on the proportions of produced oil and gas in the new drill, thus
volumes are expressed as an equivalency.


Management's expectations of reserves additions and initial production rates
from the prospect could provide considerable growth relative to Manitok's
current base of production and reserves. Several additional follow-up locations
are possible on our existing land base depending on the results of the initial
drill. The reservoir is carried in several thrust sheets and management believes
there is a possibility of having multiple increases in its reserve base in at
least one of its 75% WI offset sections. Manitok continues to leverage its
foothills expertise to exploit low risk drilling opportunities which target
shallow sweet oil or liquids-rich natural gas throughout the Alberta foothills.


September 30, 2010 Financial Results 

The financial results contained herein are qualified in their entirety by the
full text of the unaudited interim financial statements as at and for the three
months ended September 30, 2010 and the related management's discussion and
analysis, all of which can be found under the Corporation's profile on SEDAR at
www.sedar.com. 


Quarterly Highlights:



--  Average production of 160 boe/d, compared to average production of 219
    boe/d in the comparable three month period a year ago; approximately 37
    boe/d of the decrease was due to downtime and a successful asset sale in
    the quarter. Given that there was no drilling over the last 12 months,
    the decline rate is only about 10% on current production. 

--  On July 8, 2010, Manitok Exploration Inc. ("MEX") amalgamated with Desco
    Resources Inc., a reporting issuer, pursuant to the Business
    Corporations Act (Alberta) to form a new company under the name Manitok
    Energy Inc. (the "Amalgamation"). 

--  On July 8, 2010, immediately prior to the Amalgamation, MEX completed a
    private placement of 4,311,700 MEX Shares (equivalent to 3,233,775
    Manitok Shares issued at a price of $1.15 per MEX Share (equivalent to
    $1.53 per Manitok Share)) and 3,846,000 MEX Shares on a "flow-through"
    basis under the Income Tax Act (Canada) ("MEX Flow-through Shares")
    (equivalent to 2,884,500 Manitok Shares issued on a "flow-through" basis
    under the Income Tax Act (Canada) ("Manitok Flow-through Shares") issued
    at a price of $1.30 per MEX Flow-through Share (equivalent to $1.73 per
    Manitok Flow-through Share)) for total net proceeds of $9,064,582.
    Proceeds of the private placement were used to repay the outstanding
    bank debt and to fund the Corporation's drilling program in late 2010
    and 2011. 

--  On August 4, 2010, Manitok completed a disposition of a minor oil and
    gas asset in the Garrington area of Alberta for approximately
    $1,800,000. The proceeds were used to partially fund the Corporation's
    capital program. 

--  Manitok acquired 24,150 net acres, with a 100% working interest, of
    undeveloped land in both the southern Alberta foothills and Swimming
    area of Alberta, through crown land sales. Manitok's undeveloped land
    position at September 30, 2010 was comprised of 77,430 (74,870 net)
    acres, which was a 48% increase on a net basis as compared to 53,280
    (50,720 net) acres at June 30, 2010. 

--  Negative cash flow from operations of ($379,336), or ($0.02) per diluted
    share, compared to negative cash flow from operations of ($39,066), or
    ($0.00) per diluted share, in the previous three-month period. The
    negative cash flow was due mainly to a significant increase in G&A costs
    without an offsetting increase in production levels. Those costs include
    increased personnel levels to accommodate the increase in capital
    spending, an increase in office rent due to a larger space being
    required and costs associated with the Amalgamation and becoming a
    public entity. 

--  Net loss of $624,213, or $0.04 per diluted share, compared to a net loss
    of $356,161, or $0.03 per diluted share, in the previous three-month
    period. 



About Manitok 

Manitok is a public oil and gas exploration and development company focusing on
conventional oil and gas reservoirs in the Canadian foothills and heavy crude
oil in east-central Alberta. 


For further information view our website at www.manitokenergy.com 

BOE Conversions: The term barrels of oil equivalent ("boe") may be misleading,
particularly if used in isolation. Per boe amounts have been calculated using a
conversion ratio of six thousand cubic feet of natural gas to one barrel of oil.
This boe conversion ratio of 6:1 is based on an energy equivalency conversion
method primarily applicable at the burner tip and does not represent a value
equivalency at the wellhead. 


Disclosure of Less Than All Reserves: The estimates of reserves and future net
revenue for individual properties may not reflect the same confidence level as
estimates of reserves and future net revenue for all properties, due to the
effects of aggregation. 


Forward-Looking Information Cautionary Statement 

This document contains forward-looking statements regarding the business and
operations of Manitok Energy Inc. All statements other than statements of
historical fact contained herein are forward looking statements under applicable
securities laws. In particular, statements as to recoverable reserves volumes
and associated future net revenues and numbers of future wells that may be
drilled are forward-looking statements. These forward-looking statements are
based upon various assumptions as to future commodity prices, currency exchange
rates, inflation rates, future well production rates, well drainage areas,
success rates of future well drilling and future costs and availability of
labour and services. With respect to estimates of reserves volumes and
associated future net revenues and numbers of future wells to be drilled, a key
assumption is the validity of the commodity prices, currency exchange rates,
future capital and operating costs and well production rates forecast by Sproule
in the Sproule Report. With respect to the number of future wells to be drilled,
another key assumption is the validity of the geological and other technical
interpretations that have been performed by Manitok's technical staff and which
indicate that commercially economic reserves can be recovered from Manitok's
lands as a result of drilling such future wells. There can be no assurance that
the plan, intentions or expectations upon which these forward-looking statements
are based will occur. In addition, all such forward-looking statements
necessarily involve risks associated with oil and gas exploration, production,
marketing and transportation, such as loss of market, volatility of prices,
currency fluctuations, imprecision of reserves estimates, environmental risks,
and competition from other producers and ability to access sufficient capital
from internal and external sources. As a consequence, actual results may differ
materially from those anticipated in the forward-looking statements.

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