Quattro Announces a Binding Letter of Intent to Acquire More Than 580 Boe/d of Oil and Gas Production in Central Alberta

CALGARY, ALBERTA--(Marketwire - March 21, 2013) - Quattro Exploration and Production Ltd. (TSX VENTURE:QXP) ("Quattro" or the "Company") is pleased to announce that it has entered into an arms-length agreement (the "Letter of Intent" or "LOI") with an Alberta-based private oil and gas exploration and production company to acquire certain oil and gas interests in East Central Alberta.

The acquisition comprises of four production packages, currently producing more than 580 boe/d (of which greater than 30% is oils and liquids), and developed land of approximately 82,395 acres (net), undeveloped lands of 75,220 acres (net) for a total of 157,615 acres (net) in East Central Alberta (the "Acquisition"). Recent production is supported by a September 30^th, 2012 Sproule & Associates engineering report showing that the assets produced more than 650 boe/d of production in 2012 of which 230 boe/d were medium to light oil and liquids.

Quattro will operate the majority of the assets being acquired and will own a 75% to 87% working interest in these conventional oil and gas fields in East Central Alberta. The effective date of the Acquisition will be January 1^st, 2013, with a purchase price of $7.3 million plus G.S.T. and customary closing adjustments. The Acquisition is expected to close on or before April 29^th, 2013 and is subject to completion of due diligence on or before April 15, 2013, the execution of definitive documentation on or before April 22, 2013 (with industry standard terms) and completion of financing which is anticipated to consist of a mix of equity and debt.

Leonard Van Betuw, President & CEO of the Company, commented "We are very pleased this acquisition is proceeding as proposed and we continue to pursue a number of complementary acquisitions with the intention of establishing adequate proven amounts of free cash flow in the first half of 2013 to support the expansion of our operations both in Guatemala and domestically. The closing of this acquisition will result in an average net production of 750 boe/d being reported by the Company in first quarter ending March 31^st, 2013 and a path towards 2,000 boe/d later in 2013."

Summary of the Acquisition

Production:	580 boe/d Oil and Gas, with greater than 70 boe/d of shut in oil and gas
Common Metrics:	$12,586 per flowing boe
Proven Reserves:	$3.05 per boe
Facilities:	Established and operating with a high working interest, and excess capacity
Land:	157,615 net acres; 82,395 acres developed and 75,220 acres undeveloped
Additional Potential:	(i) optimization, (ii) work-over and (iii) developmental drilling opportunities, with up to 100% interests in the Leduc, Viking and Mannville horizons, which will allow for the establishment of additional production to a total of more than 1,000 boe/d.

With this Acquisition, Quattro will be combining understood and established production with a number of partially - developed conventional oil plays. The Company will continue to build from its growing well-established core competencies, which includes mapping conventional, shallow oil and gas trends and the successfully implementation of shallow drilling and completion techniques at low cost.

Proforma summary of Company post-Acquisition

Production 1st qtr. 2013:		750 boe/d Oil and Gas
Common Metrics:		$12,850 per flowing boe/d
Proven Reserves:		$ 3.15 per boe of Proven Reserves
Facilities:		Established and operating with a high working interest, and excess capacity
Land:		240,675 net acres; 85,497 acres developed and 155,178 acres undeveloped
Additional Potential:		(i) optimization, (ii) work-over, and (iii) developmental drilling opportunities, with up to 100% interests in the Leduc, Viking, Wabiskaw and Mannville horizons in Alberta and exploratory and development opportunities in the Bakken, Birdbear, Shaunavon, Madison, Belly River and Milk River horizons, in Saskatchewan, which will allow for the establishment of further production increases and provides the Company with an inventory of opportunities to grow production rates to 2,000 boe/d in 2013, subject to developmental success and access to financing.

The Company`s engineering and execution of its organic business plan for 2013, in conjunction with the closing of the central Alberta asset acquisition and the cash-flow from the established producing assets, puts Quattro well on track to meet its internal projections of achieving rates greater than 1,000 boe/d in the quarter ending June 2013, subject to completion of financing.

The low risk material growth being established in Western Canada provides the Company and shareholders the certainty that its production base will continue to grow and add value within the context of its established business plan in Canada and Central and South America.

About Quattro Exploration and Production Ltd.

Quattro Exploration and Production Ltd. will continue to focus on the conventional exploration and development of oil and natural gas reserves in Western Canada, primarily in south central Saskatchewan, with an expanding presence in Alberta. Our core low risk production base will provide us the capacity to aggressively pursue a series of high impact exploration and development efforts in Central and South America. The company intends to balance this portfolio of activities to assure its shareholders that it achieves material growth in both reserves and production through execution of its business plan.

This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. Although the Company believes the expectations expressed in such forward looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward -looking statements. Factors that could cause actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, Investors should review the Company's registered filings which are available at www.sedar.com.

This news release shall not constitute an offer to sell or the solicitation of any offer to buy, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. The securities offered have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or applicable exemption from the registration requirements of the U.S. Securities Act and applicable state securities laws.

BOE presentation:

Barrel ("bbl") of oil equivalent ("boe") amounts may be misleading particularly if used in isolation. All boe conversions in this report are calculated using a conversion of six thousand cubic feet of natural gas to one equivalent barrel of oil (6 mcf=1 bbl) and is based on an energy conversion method primarily applicable at the burner tip and does not represent a value equivalency at the well head.

Trading in the securities of Quattro Exploration & Production Ltd. should be considered highly speculative.