Celtic Exploration L : Celtic Reports an Increase in its Bank Credit Facility

PRESS RELEASE

(Stock Symbol "CLT" - TSX) April 27, 2012
Calgary, Alberta

CELTIC REPORTS AN INCREASE IN ITS BANK CREDIT FACILITY

Celtic Exploration Ltd.'s ("Celtic" or the "Company") banking syndicate, led by National Bank of Canada, has increased the amount of the Company's credit facilities to $335.0 million, up from the previous amount of $275.0 million. In the current environment of low natural gas prices, the increase provides Celtic with significant financial flexibility to execute its 2012 and 2013 capital expenditure programs.
Celtic estimates 2012 year-end bank debt, net of working capital, to be approximately
$162.0 million, which provides the Company with approximately $173.0 million of unused and available bank credit at year-end.

ANNUAL GENERAL MEETING OF SHAREHOLDERS

Celtic's Annual General Meeting of Shareholders will be held at 3:00 PM (MST) on Friday, April 27, 2012 at the Metropolitan Conference Centre, 333 - 4th Avenue SW, Calgary, Alberta, in the Grand Lecture Theatre.

ADVISORY REGARDING FORWARD-LOOKING STATEMENTS

This document contains expectations, beliefs, plans, goals, objectives, assumptions, information and statements about future events, conditions, results of operations or performance that constitute "forward-looking information" or "forward-looking statements" (collectively, "forward-looking statements") under applicable securities laws. These
forward-looking statements include the amount of the Company's estimated year-end bank debt. Undue reliance should not be placed on forward-looking statements. Forward-looking statements are based on current expectations, estimates and projections that involve a number of risks and uncertainties, which could cause actual results to differ materially from those anticipated by the Company and described in the forward-looking statements. We caution that the foregoing list of risks and uncertainties is not exhaustive. Events or circumstances could cause actual dates to differ materially from those estimated or projected and expressed in, or implied by, these forward-looking statements. The forward- looking statements contained in this document are made as of the date hereof and the Company does not intend, and does not assume any obligation, to update or revise any
forward-looking statements, whether as a result of new information, future events or otherwise unless expressly required by applicable securities laws.

For further information, please contact:

CELTIC EXPLORATION LTD., Suite 600, 321 - 6th Avenue SW, Calgary, Alberta, Canada T2P 3H3 David J. Wilson, President and Chief Executive Officer [phone], or

Sadiq H. Lalani, Vice President, Finance and Chief Financial Officer [phone]. Or visit our website site at www.celticex.com.