News Releases

Date: June 18, 2009

Shares Outstanding:  16,096,084

TSX: “ISR”                                                                                            

Forfeiture of Sukkur Block, Sind Province, Pakistan

International Sovereign Energy Corp. ("ISR" or the "Company") reports that as of June 3, 2009 Mari Gas Company Limited ("MGCL"), the operator of the Sukkur Block with a 50% working interest ("WI"), considered that ISR was in default of non-payment of cash calls of its 15% WI in the Sukkur Block. Under the Joint Operating Agreement ("JOA"), ISR has the right to remedy the default during a period of 60 days by making payment of all its share of the cash calls with interest at 3% over LIBOR or forfeit its WI. In the event of forfeiture, ISR will not be entitled to receive any consideration for such forfeited WI.

ISR had taken a provision of $2.8 million in 2008 against international expenditures in Pakistan. ISR anticipates that similar action will be forthcoming from MGCL for the Sujawal Block where it has a 15% WI. ISR will respond in a similar manner, and will look for parties to take over the obligation. ISR estimates that there will be a charge to operations in the region of $1,000,000 if MCGL has a claim on the bank guarantee issued with respective to Sukkur and Sujawal Blocks.

ISR is of the opinion that capital is presently better spent on its domestic drilling program that currently has a high success rate coupled with substantially shorter payback periods. The Company has thus elected not to remedy the default, but to seek out parties that would take over its obligations. Although the Koonj Well, in the Sukkur Block, drilled in July 2008 has proven reserves, the operator has yet to start production despite assurances going back to November 2008. The Company is not confident that the production will commence in a timely manner, and the initial reserve estimates subsequent to drilling have been downgraded substantially.

At the recent Annual General Meeting, management advised that ISR's $10 million line of credit with National Bank was reviewed and extended under like terms and conditions. While many oil and gas companies have seen a reduction in their credit lines, ISR is pleased that its asset base and stable balance sheet continue to support the Company's borrowing line. ISR is currently planning to spud at least two wells in the Berwyn, AB area which currently produces approximately 30% of the Company's total production. The wells are expected to spud in late July or early August.

For further information, please contact:

Eugene Hretzay
President & CEO
T: [403] 263 - 2472
F: [403] 264 - 7035
E: ehretzay@isove.com

Reader Advisories

Forward-Looking Statements: This news release contains certain forward-looking statements, including management's assessment of future plans and operations, and capital expenditures and the timing thereof, that involve substantial known and unknown risks and uncertainties, certain of which are beyond the Company's control. Such risks and uncertainties include, without limitation, risks associated with oil and gas exploration, development, exploitation, production, marketing and transportation, loss of markets, volatility of commodity prices, currency fluctuations, imprecision of reserve estimates, environmental risks, competition from other producers, inability to retain drilling rigs and other services, delays resulting from or inability to obtain required regulatory approvals and ability to access sufficient capital from internal and external sources, the impact of general economic conditions in Canada, the United States and overseas, industry conditions, changes in laws and regulations (including the adoption of new environmental laws and regulations) and changes in how they are interpreted and enforced, increased competition, the lack of availability of qualified personnel or management, fluctuations in foreign exchange or interest rates, stock market volatility and market valuations of companies with respect to announced transactions and the final valuations thereof, and obtaining required approvals of regulatory authorities. The Company's actual results, performance or achievements could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurances can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits, including the amount of proceeds, that the Company will derive there from. Readers are cautioned that the foregoing list of factors is not exhaustive. Additional information on these and other factors that could affect the Company's operations and financial results are included in reports on file with Canadian securities regulatory authorities and may be accessed through the SEDAR website (www.sedar.com). All subsequent forward-looking statements, whether written or oral, attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these cautionary statements. Furthermore, the forward-looking statements contained in this news release are made as at the date of this news release and the Company does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.

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