GLC Gallic Energy Ltd.

Gallic Energy Ltd. ("Gallic" or "Company") (TSX VENTURE:GLC) announces that it
intends to change from its current snubbing unit to a drilling rig on its
Ossun-2 well located in the Aquitaine Basin in Southern France. The Ossun-2 well
is a re-entry of an old Total SA wellbore previously drilled in the late 1960's.
On January 10, 2012, the Company announced that it had spud the re-entry of
Ossun-2. Operations to drill out the cement plug and to splice the 9 5/8 inch
intermediate casing back to the surface were successful. However, at a depth of
1,344 meters, suspected and undocumented abandoned drilling pipe was encountered
in the wellbore, making continuation of the re-entry process more uncertain from
a cost and process perspective. Plans are now being developed for sidetracking
Ossun-2 from near that depth. The re-entry was targeting multiple zones of
interest between 1,775 meters and 3,000 meters. A sidetrack well will also allow
Gallic to reach additional potential hydrocarbon bearing zones that could not be
reached with the original cased-hole re-entry operations. 


The snubbing unit rig currently on location will be released and negotiations
are ongoing with rig contractors for services of a conventional drilling rig.
Sidetrack operations are expected to commence in the near-term to capitalize on
synergies from current re-entry operations. It is the Company's expectation that
a drilling rig could be on-site within a few weeks. As originally scheduled, the
re-entry of the Azereix-1 well will follow the Ossun-2 sidetrack and the
multiple zone testing process, once completed. Funding of both well programs are
within Gallic's budget and available cash on hand.


The Company continues to proceed on schedule for obtaining a new drilling
license to drill the Hagolle-2 well on its Ledeuix permit targeting a shallow
gas zone defined on 3D seismic. Gallic has a 100% ownership interest in all its
French operations.


Mr. William H. Smith, President and CEO of Gallic, said "It is important to note
that this obstruction is well above all of our zones of interest, and while this
change of plans is a slight setback on timing of expected results, nothing has
changed on either the size of the potential resources or on the geologic risk of
those resources being producible in commercial rates. A sidetrack well will
allow us to explore deeper zones where hydrocarbon potential has been
identified, something that we were unable to do with the original cased hole
re-entry operations. Additionally, the sidetrack will allow Gallic to obtain
modern open-hole logs over the potential reservoirs, which will give more
definitive reservoir information than could the old open-hole logs and the
previously planned cased-hole logs."


On November 2, 2011, the company announced results from independent reserve
consultants GLJ Petroleum Consultants Ltd. ("GLJ") on the undiscovered petroleum
initially-in-place ("UPIIP") for the Ossun-2 and Azereix-1 wells. The report
indicated UPIIP for the Ossun-2 well formations at an unrisked 247 BCF.
Additionally, European gas prices have remained in the $8-$9/mcf range over the
past year contrary to depressed North American natural gas prices.


Gallic is an international oil and gas company with assets in France and
Australia. Current operations are focused on France and in particular the
Aquitaine Basin where the Company holds approximately 320,000 net acres of
exploration lands. The Company holds approximately 600,000 net acres of land in
the prospective Canning Basin in Australia. 


IMPORTANT INFORMATION REGARDING FORWARD-LOOKING STATEMENTS 

Certain statements in this news release constitute forward-looking information.
Forward-looking statements are often, but not always, identified by the use of
words such as "seek", "anticipate", "plan", "continue", "estimate", "expect",
"may", "will", "intend", "could", "might", "should", "believe", "schedule" and
similar expressions. Forward-looking statements are based upon the opinions and
expectations of Gallic as at the effective date of such statements and, in
certain cases, information received from or disseminated by third parties.
Although the Company believes that the expectations reflected in such
forward-looking statements are based upon reasonable assumptions and that
information received from or disseminated by third parties is reliable, it can
give no assurance that those expectations will prove to have been correct.
Forward-looking statements are subject to certain risks and uncertainties (known
and unknown) that could cause actual outcomes to differ materially from those
anticipated or implied. These factors include, but are not limited to, such
things as general economic conditions in Canada, France and elsewhere;
volatility of prices for oil and gas; commodity supply and demand; fluctuations
in currency and interest rates; inherent risks associated with the exploration
and development of oil and gas properties; ultimate recoverability of reserves;
production, timing, results and costs of exploration and development activities;
political or civil unrest; availability of financial resources or third-party
financing; new laws (domestic or foreign); changes in administrative practices;
changes in exploration plans or budgets; and availability of personnel and
equipment. Accordingly, readers should not place undue reliance upon the
forward-looking statements contained in this news release and such
forward-looking statements should not be interpreted or regarded as guarantees
of future outcomes. 


The forward-looking statements of the Company contained in this news release are
expressly qualified, in their entirety, by this cautionary statement. Various
risks to which Gallic and its affiliates are exposed in the conduct of their
business are described in detail in the Company's Management Discussion and
Analysis for the quarter ended September 30, 2011, which has been filed on SEDAR
www.SEDAR.com. Subject to applicable securities laws, the Company does not
undertake any obligation to publicly revise the forward-looking statements
included in this news release to reflect subsequent events or circumstances,
except as required by law.

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