EDG.L Regulatory News (EDG)

FOR IMMEDIATE RELEASE

TSX Venture Exchange Symbol: EDE

AIM Exchange Symbol: EDG 3 September, 2013

EDGE RESOURCES INC. Calgary, Alberta

Edge Resources Inc. Announces First Quarter Results, Debt Restructuring and Production Update

Edge Resources Inc. ("Edge" or the "Company"), is pleased to announce its unaudited first quarter results for the three month period ended 30 June 2013 ("Q1 2013"), which represent a record quarter for the Company. Additionally, the Company is very pleased to announce excellent production results and a significant improvement in terms from one of its lenders.

Period Highlights

· Financial

Ø Revenue of C$2.3m for the three months to 30 June 2013 (2012: C$2.2m) - a record quarter for the Company

Ø Cash generated from operating activities of C$1.0m for the three months to 30 June 2013 - also a record quarter

Ø Netbacks on oil production improved by 120 per cent. from the previous quarter to C$37.46/bbl

Ø Netbacks on natural gas production improved from C$0.00/mcf in the previous quarter to C$0.92/mcf in Q1 2013

Ø Approaching breakeven with a small net loss for the period of C$0.03m (2012: C$0.11m)

Ø Average daily production remained flat of 577 boe/d compared to 585 boe/d in the previous quarter

Operational

Ø Vertical oil well drilled in late March 2013 at Eye Hill (formerly known as Primate) is producing over 100 boe/d (up to 114 boe/d)

Ø Water to oil ratios are below 50 per cent. which is significantly lower than the average for the area and much better than the Company's initial expectations

Ø Production capacity is currently being restricted to maximize reservoir life and maintain lower water to oil ratios

· Balance Sheet

Ø Subsequent to the Quarter end, the Company substantially reduced its working capital deficit by renegotiating the terms of the $8 million shareholder loan - in view of the fact that the Canadian bank lending environment is tightening the Company thought it would be prudent to improve the terms of the shareholder loan in order to reduce reliance on its overdraft facility

Ø Accordingly, the Company has agreed with the lender that the term of the loan be extended by more than three years, to January 2017 and the rate of interest be reduced from 12 per cent. to 10 per cent. per annum

Ø Neither the interest nor the principal are payable until the end of the term and the Company has the option to pay out the loan, or a portion thereof, at any time, without penalty

Ø The restructuring of the shareholder loan has strengthened the Company's balance sheet and reduced its annual interest cost; the Company is appreciative of the lender's ongoing support to the Company

· Reserves  

Ø As previously announced, the Company's updated reserves report, prepared in June 2013 by Deloitte with an effective date of March 31st 2013, showed a major increase in reserves and net present value

Ø In the Company's core area of Eye Hill, the net present value of Proved (NPV10%) reserves increased by 225 per cent. to C$24.15 million

Ø In the Company's core area of Eye Hill, the net present value of Proved + Probable (NPV10%) reserves increased by 173 per cent. to C$60.1 million

Ø In total the net present value of the Company's Proved + Probable (NPV10%) reserves increased 37 per cent. to C$89.4m

Brad Nichol, President and CEO of Edge commented, "We are extremely pleased to have produced a record quarter for the Company. The record quarter, combined with excellent production results and very significant reserves increase in Eye Hill has verified our intentions to finance and drill the first 25 of up to 100 wells in Eye Hill. The runway is tremendous and we own 100% of the rights, with no partners, and we have 3D seismic coverage on the entire property." Nichol added, "During the production test, the vertical well we drilled in March, 2013 produced up to 114 bopd and is now comfortably above 100 bopd, still with plenty of room for improvement. Also in Eye Hill, a 225 per cent. increase in Proved Reserves and a 173 per cent. increase in Proved Plus Probable Reserves demonstrates the confidence of Deloitte, our reserve evaluation engineers. We're obviously very excited about moving ahead with development of this project."

Competent Person's Statement

The preparation of the technical information contained herein was supervised by Brad Nichol, President and CEO of Edge Resources, who is recognized as a Qualified Person for the purposes of National Instrument 51-101, and who has reviewed and approved the findings in this press release.

To view Edge Resources' full Q1 2013 statements, please go to the company website (www.edgeres.com).

For more information, visit the company website: www.edgeres.com or contact:

About Edge Resources Inc.

Edge Resources is focused on developing a balanced portfolio of oil and natural gas assets from properties in Alberta and Saskatchewan, Canada. Management has consistently focused on:

1. Targeting shallow, conventional development programs that typically offer reduced capital, operational and geological risks

2. High working interests and fully operated assets

3. Pools and horizons with exceptionally high remaining reserves in place

The management team's drilling success rate is based on the safe, efficient deployment of capital and a proven ability to efficiently execute in shallow formations, which gives Edge Resources a low-cost, competitive advantage.