Greenfields Petroleum Corporation: Bahar Operations Update- December 2012- Both New Rigs Operating

CALGARY, ALBERTA--(Marketwire - Dec. 31, 2012) -

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Greenfields Petroleum Corporation (the "Company" or "Greenfields") (TSX VENTURE:GNF) (TSX VENTURE:GNF.DB) announced that Bahar Energy Operating Company (BEOC), the operating company for Bahar Energy Limited (BEL) in which Greenfields owns a 33.33% interest, has completed the offshore rig-up and commenced operations with both of the new Western-style rigs. The PSG-1 rig is drilling in Gum Deniz oil field and the PSG-2 rig is undertaking workovers on Bahar gas field.

The PSG 1 rig on Platform 2 spudded the Gum Deniz 715 well on December 17, 2012. The 13 3/8 inch casing has been set and cemented at 450 meters (1476 feet). A total of eight development well locations are scheduled from the Gum Deniz 2 platform in 2013 and 2014.

The PSG 2 rig is currently working over the Bahar 196 gas well located on the Bahar 196 platform. A total of four workovers are scheduled on this platform to reestablish gas production from these wells.

Greenfields also announces the completion of the 3D seismic project acquisition in December 2012. Processing and interpretation will follow during the first quarter of 2013. The 3D seismic project is focused on evaluating the potential of the Bahar 2 exploration block located directly south of the Bahar Rehabilitation Area which is undergoing redevelopment.

Richard E. MacDougal, Chief Operating Officer, commented, "We are pleased with the start of the development drilling and workover programs. We feel that the start-up of these operations is key to realize the significant value and future potential of our Bahar ERDPSA project."

Total production for November 2012 averaged 3608 BOE/d (net Greenfields 1131 BOE/d) and average year to date production of 3434 BOE/d (net Greenfields 1087 BOE/d).

About Greenfields Petroleum Corporation

Greenfields is a junior oil and natural gas company focused on the development and production of proven oil and gas reserves principally in the Republic of Azerbaijan. The Company plans to expand its oil and gas assets through further farm-ins, and acquisitions of Production Sharing Agreements from foreign governments containing previously discovered but under-developed international oil and gas fields, also known as "greenfields". More information about the Company may be obtained on the Greenfields website at www.greenfields-petroleum.com.

Forward Looking Statements

The forward-looking statements contained in this press release are based on certain key expectations and assumptions made by Greenfields. Although Greenfields believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because Greenfields can give no assurance that they will prove to be correct.
Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties most of which are beyond the control of Greenfields. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking information prove incorrect, actual results, performance or achievements could vary materially from those expressed or implied by the forward-looking information. These risks include, but are not limited to, risks associated with the oil and gas industry in general (e.g., operational risks in development, exploration and production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of reserve estimates; the uncertainty of estimates and projections relating to production, costs and expenses, and health, safety, political and environmental risks), commodity price and exchange rate fluctuations and uncertainties resulting from potential delays or changes in plans with respect to exploration or development projects or capital expenditures. Additional risk factors can be found under the heading "Risk Factors" in Greenfields' Annual Information Form and similar headings in Greenfields' Management's Discussion & Analysis which may be viewed on www.sedar.com .

The forward-looking statements contained in this press release are made as of the date hereof and Greenfields undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws. The Company's forward-looking information is expressly qualified in its entirety by this cautionary statement.

The term "barrels of oil equivalent" or "boe" may be misleading, particularly if used in isolation. A "boe" conversion ratio of 6 Mcf:1 bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.