Summary of KODIAK ENERGY, INC.

Item 8.01 Other Events

On October 14, 2008, the Company reported that it has entered into an agreement with Clarus Securities Inc. ("Clarus") to act as lead agent and sole book-runner on a reasonable efforts agency basis for a private placement offering (the "Offering") of up to Cdn $5,000,000. The Offering shall consist of up to Cdn $1,000,000 in common shares of the Company (the "Common Shares") and up to Cdn $4,000,000 in common shares of the Company issued on a "flow-through" basis (the "Flow-Through Shares"). Clarus has also been granted an option to increase the size of the Offering by up to Cdn $1,000,000, exercisable at any time up to and including the closing of the Offering. Proceeds from the Flow-Through Share offering will be used by the Company to fund ongoing exploration activities eligible for Canadian Exploration Expense (C.E.E.) and, in respect of the Common Share offering, for general working capital purposes. The agents will receive an aggregate commission equal to 8% of the gross proceeds of the Offering and will be granted a number of compensation options equal to an aggregate of 8% of the total number of securities sold pursuant to the Offering. Each compensation option will entitle the holder thereof to acquire one Common Share at the issue price per security for a period of 24 months from the closing of the Offering. The Offering is subject to standard closing conditions, including the approval of the TSX Venture Exchange in Canada and any other necessary regulatory requirements. The securities will be offered in certain provinces of Canada by way of a private placement and will be subject to a four month hold period in Canada. The Offering will not be offered to or sold in the United States or to any United States persons living outside of the United States.

The Company also announced that a partners' meeting was recently held in the Company's offices and a budget was approved for the first completion operations of the Company's "Lucy" Horn River Basin shale gas program. The approved program will enable the stimulation of the Muskwa/Evie shales in the a-79-A/94-P-4 vertical wellbore, which was cased in Q1 2008. Production and reservoir testing will be completed immediately after the stimulation. Based on a successful well stimulation, the Company believes the well can be tied in for production by the end of the 2008/09 winter work season. Based on the success of this work program and the overall timing, the Company and its partners will review the balance of the planned work program to determine what portions of the second phase can be advanced. The second phase of the work program consists of drilling an horizontal leg in the Evie formation and will include a fracture stimulation program and a flow and build up test to evaluate post fracture deliverability. Kodiak is the operator and 80% working interest owner of B.C. PNG (Petroleum Natural Gas) Lease 44104 situated on the southeast edge of the Horn River Basin and the Muskwa shale gas prospect. This property has the potential to yield short term cash flow or become one of the Company's major capital divestiture opportunities.