MONTREAL--(MARKET WIRE)--Sep 23, 2008 -- Lotta Coal, Inc. (Other OTC:LCOL.PK - News) today provided a corporate update to its shareholders, partners and other stakeholders on the current status of the corporation.

"There has been significant changes recently, namely to the board of directors and management of the company and its subsidiaries Peaces West Energy Corp. (Alberta); and Lesser Slave Exploration Corp. (Alberta). and our shareholders, partners and other stakeholders should be informed," said Jean-Francois Amyot, President and CEO of Snowy Owl Energy Corp., formerly Lotta Coal Inc. "The new management wants all information to be known to its shareholders, partners and other stakeholders to assure complete transparency," further added Mr. Amyot.

Name Change

The Lotta Coal, Inc. name was change to Lotta Energy Corp., and again to Snowy Owl Energy Corp. along with a reverse stock split of 6 for 1 share. The NASDAQ corporate action division is still reviewing the said name change and reverse split and management expects it to conclude over the next few weeks, but it is out of the direct control of the company.

Board of Directors/ Corporate Structure

The board of directors of the company consist of Jean-Francois Amyot, Chairman, President & CEO, Dr. Simon Phaneuf. Director and Marc Gagnon, Director and CFO.

Snowy Owl Energy (formerly Lotta Coal, Inc.) owns 100% of Lotta Energy Corp. (British Virgin Ilsand) and Lotta Energy Corp (BVI) owns 100% of Peace West Energy Corp., and 100% of Lesser Slave Lake Exploration Corp.

Peace West Energy

Peace West Energy has 8 wells ready to be tied and put into production. The company received a 51-101 reserve and economic evaluation report, which has determined that based on a 28 well program that the net present value of Peace West Energy to be $9,947,000 CAD based on a discount of 10%. The Peace West Energy property can accommodate a total of 80 wells on the current section and many additional wells on the option lands.

Peace West Energy currently has a total of approximately $1,900,000 in trade payables including a deposit of $242,000 to the Energy Resources Conservation Board (ERCB) of Alberta, which is currently in default. Due to this default, the ERCB has requested an immediate abandonment of the 8 wells drilled on the Peace West Energy property as well as the 2 wells drilled on the Lesser Slave Lake Exploration property. Peace West Energy does not have any cash on hand and management is currently working with supplier on a remedial plan to assure that all receive compensation for work performed.

Lesser Slave Lake Exploration

Peace West Energy was the oil and gas operator for Lesser Slave Lake Exploration and proceeded to drill 2 wells of 800 meters depth each in April of this year. The result of the 2 wells exceeded our expectation, whereby an oil discovery was performed. However, the company has not tested the wells at this time and it does not currently have a 51-101 report on the property but expect to be able to put into production the said wells upon obtaining the necessary financing.

Lesser Slave Lake Exploration currently has a total of approximately $900,000 in trade payables including a payment of $50,000 to Indian Oil and Gas Canada (IOGC) to earn the lands as per the agreement. The company is working on a remedial plan with its suppliers to assure that all receive compensation for work performed.

The joint-venture and relationship with both the Beaver First Nation and the Swan River First Nations continue to be strong and positive. However, it should be noted that even with all the good faith in the world, if the companies fail in the implementation of its remedial plan, the joint-venture agreements will most likely be placed in default and if they are not immediately remediated, the agreements will most likely be terminated.

Financing Activities

The company has raise to-date approximately $8,000,000 in addition to the payables of $2,800,000, whereby a total of $10,800,000 was spent on the properties including money spent for the acquisition of land, permits and general administrative expenses.

The company requires a total of approximately $6,000,000 in financing to reduce payables, start production and drill additional wells.

According to the company, several investors and or other companies have demonstrated strong interest in financing and or acquiring the Peace West Energy Corp. and or Lesser Slave Lake Exploration Corp. but the company has been unable to comply with all due-diligence requests due to the fact that a book keeper named Kerry Noon, a Chartered Accountant located in Vancouver, is holding all books and records and will not release any information without full and complete payment. The company has tried several times to agree on payment terms or initial partial payment, but Mrs. Noon is very uncooperative. The company has even been denied drafts, or proof that actual work was ever performed by Mrs. Noon and no proper details and backups ever provided. Mrs. Noon allegedly worked a total of 190 hours on the book keeping of Peace West Energy and Lesser Slave Lake, which she invoiced at $125 per hour, which is approximately $75 per hour over regular book keeping rates. At this time, legal action is being considered by the company and some of its major shareholders.

Litigation

The company continues to be a part of a legal action from shareholders of Synergy Corporation, the former employer of recently removed board members. According to the company, Snowy Owl Energy and or its subsidiaries should not be part of these proceedings and will continue to work on getting withdrawn from the statement of claims.

Potential Transaction

As part of its remedial plan, Snowy Owl Energy is currently reviewing potential investors and buyers for its subsidiaries including Peace West Energy Corp. and Lesser Slave Lake Exploration in an effort to reduce the payables and to fully develop the properties. In the event, the company cannot find an appropriate buyers and or investors for its subsidiaries, it will take measure to close the oil and gas operation and find an appropriate operating company to acquire. The company is currently in discussions with several companies, including but not limited to A.G.S. Taron Technologies Inc. www.agstaron.com, whereby it is in discussion to proceed to a reverse merger with said target company but no formal intent or agreements have been signed or discussed thus far.

About Lotta Coal

Lotta Coal Inc. is a unique oil and gas company with three separate wholly owned operating subsidiaries, each with rights to explore and develop oil and gas resources in partnership with different First Nations commercial entities in Northern Alberta, Canada. The Company is publicly traded on the over-the-counter market under the Ticker symbol: LCOL.

Important Information About Forward-Looking Statements

Statements in this press release may be "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "anticipate," "believe," "estimate," "expect," "intend" and similar expressions, as they relate to the company or its management, identify forward-looking statements. These statements are based on current expectations, estimates and projections about the company's business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may, and probably will, differ materially from what is expressed or forecasted in such forward-looking statements due to numerous factors, including those described above. In addition, such statements could be affected by risks and uncertainties related to the exploration for and development of mineralized material, product demand, market and customer acceptance, competition, pricing and development difficulties, as well as general industry and market conditions and growth rates and general economic conditions. Any forward-looking statements speak only as of the date on which they are made, and the company does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this release. Information on the Company's website does not constitute a part of this release.

     Contact:
     Jean-Francois Amyot
     President
     Tel (514) 334-3131