CIC Announces an Updated Mineral Resource Estimate for the Mmamabula Energy Project

Road Town, Tortola, British Virgin Islands (April 18, 2007) – CIC Energy Corp. (“CIC” or the “Company”) (TSX:ELC, BSE: CIC Energy) is pleased to announce the results of an updated independent mineral resource estimate for the Mmamabula Energy Project (“Mmamabula” or the “Project”) in Southern Africa. The global mineral resource estimate for the Project now totals approximately 2.3 billion tonnes (“Bt”) in the measured and indicated categories being an increase in the region of 77% from the previously reported 1.3 Bt. An approximate 74 million tonnes (“Mt”) is further reported in the inferred category (see Tables 1 to 5 and Figure 1).

Table 1 – Mmamabula Global Mineral Resource Estimate (D1 + M2 Seams: Mmamabula East incorporating the Mookane, Dovedale and Serorome Blocks and Mmamabula South)

Figure 1: Mmamabula Global Mineral Resource Estimate: 2.3 Bt (measured and indicated) and 74 Mt (inferred) at Mmamabula East and Mmamabula South.

Gregory Kinross, President and CEO of CIC, states “This represents a major increase in the mineral resource estimate for Mmamabula and is extremely encouraging in respect to the long life and potential multiple phases for the Project. Furthermore, ongoing exploration may lead to a further increase in the mineral resource for the Project”.

To date five coal-bearing zones have been defined on the Project, these consist of the Mookane, Serorome, Dovedale and Border blocks (from west to east) at Mmamabula East, as well as a single block at Mmamabula South, herein referred to as “Mmamabula South” (See Figure 1). In CIC news releases dated June 22, 2006 and September 7, 2006, the Company previously announced mineral resource estimates for the Mookane and Dovedale Blocks, respectively, which totaled 1,104 Mt of coal in the measured category, 188 Mt in the indicated category and 78 Mt in the inferred category. The resource estimate in the current release includes an update of the Dovedale Block resource, as well as initial resource estimates for the Serorome Block and Mmamabula South. Drilling is continuing on the Serorome and the Border Blocks with the objective of outlining additional mineral resources.

The mineral resource estimate in this release was prepared by Snowden Mining Industry Consultants (“Snowden”), an international minerals consultancy group independent of CIC.

To date a total of 1258 drill holes have been drilled in both the Mmamabula South and East Blocks, 967 of these drilled directly by CIC (152 in the South and 815 in the East). Due to stringent QA/QC procedures emplaced by Snowden during the process of resource modeling and estimation only select non-CIC drill holes where included.

Due to a relative increase in structural complexity when comparing the South and East all 152 CIC drill holes in addition to 24 non-CIC bores drilled in this area have been utilized in the development of the Mmambula South structural model. Of these 118 CIC bores where utilized in this region for the estimation of coal quality and resource classification.

In the East of the 815 drill holes to date, 505 drill holes drilled by CIC fall within the Serorome and Dovedale Blocks. Estimation of coal quality, structure and associated resources in these blocks is based on a subset of 385 drill holes that comprised the necessary data requirements. The previous estimation in the Mookane Block was made on the basis of 274 CIC drill holes placed within this region, since which time a further 16 drill holes have been drilled. A remaining 20 drill holes have been drilled by CIC in the Border Block.

Drill hole spacing’s are typically for the Mmamabula South and Dovedale Blocks set at 500 metres (“m”) by 500m and varied in the Serorome Block from 500m by 500m to 1,000m by 2,000m.

The current mining method proposed for the mineral resources is conventional underground board and pillar mining using continuous miners (“CMs”). Alternative mining methods aimed at optimizing resource utilization are being investigated.

Snowden has concluded that coal from all the updated and new resource estimate areas are suitable for steam-producing thermal power generation, with raw coal calorific values (“CV”) of approximately 20.5 mega joules per kilogram (“MJ/kg”) for the D1 seam and 23.2 MJ/kg for the M2 seam; these qualities compare favorably with those previously reported for the Mookane Block of 21.7 MJ/kg for the D1 seam and 23.1 MJ/kg for the M2 seam.

Washability studies for the D1 and M2 seams in all the current resource estimate areas (the Dovedale and Serorome Blocks and Mmamabula South) indicate that washing is an effective method of reducing the sulphur content of the coal from between 1.51% and 3.48% to between approximately 0.24% and 0.57%, at a cut point density of 1.8 g/cm3. Washability analysis indicates theoretical yields of between 75.27% and 88.74% at a cut point density of 1.8 g/cm3. Ongoing studies by CIC are examining partially washing sized coal as an alternative method to reduce sulphur contents.

The D1 and M2 coal seams have been identified within all areas modeled to date, as the principal economic targets, based on coal quality and favorable thicknesses. The following structural characteristics have been noted in the three resource areas modeled during the course of the latest resource estimation exercise:

Dovedale Block: The D1 seam mineral resource varies in thickness from 1.5m to 6.9m, with an average thickness of 3.3m and occurs at depths from surface of between 14m to 109m, with an average depth to roof of 65m. The seam dips shallowly at 0.5o to 4.0o, predominantly to the southeast or northwest, on either side of a northeast-trending palaeo high. The M2 seam mineral resource, which occurs approximately 20 m stratigraphically below the D1 seam, varies in thickness from 1.5m to 4.6m, with an average thickness of 3.3m and occurs at depths from surface of between 13m to 137m, with an average depth to roof of 84m. The M2 seam has a comparable dip to the D1 seam. Weathering to an average depth of 30m has affected the D1 and M2 seams in places. Only coal seams where the seam roof is below the weathered horizon are reported in the current mineral resource estimate. A discount of 2% has also been applied to the resource to account for faulting along the southern edge of the resource.

Serorome Block: The D1 seam mineral resource varies in thickness from 1.8m to 4.7m, with an average thickness of 4.4m and occurs at depths from surface of between 14m to 44m, with an average depth to roof of 36m. The seam dips shallowly at 0.5o to 1.4o, predominantly to the southeast or northwest, on either side of a northeast-trending palaeo high. The M2 seam mineral resource, which occurs approximately 20m stratigraphically below the D1 seam, varies in thickness from 2.0m to 5.5m, with an average thickness of 3.5m and occurs at depths from surface of between 20m to 82m, with an average depth to roof of 55m. The M2 seam has a comparable dip to the D1 seam. Weathering to an average depth of 30m has affected the D1 and M2 seams in places. Only coal seams where the seam roof is below the weathered horizon are reported in the current mineral resource estimate. A discount of 5% has been applied to the resource to account for faulting along the southern edge of the resource.

Mmamabula South: The D1 seam mineral resource varies in thickness from 1.6m to 11.8m, with an average thickness of 6.0m and occurs at depths from surface of between 29m to 144m, with an average depth to roof of 89m. The seam dips at 0o to 5o, predominantly to the southwest and northwest. The M2 seam mineral resource, which occurs approximately 20m stratigraphically below the D1 seam, varies in thickness from 1.5m to 4.3m, with an average thickness of 3.2m and occurs at depths from surface of between 33m to 169m, with an average depth to roof of 106m. The M2 seam has a comparable dip to the D1 seam. Weathering to an average depth of 30m has affected the D1 and M2 seams in places. Only coal seams where the seam roof is below the weathered horizon are reported in the current mineral resource estimate. A discount of 20% has been applied to the resource to account for faulting which has split the resource area into 11 separate faulted blocks. Interpretive vertical throws of around 50m separate the faulted blocks.

Table 2 – Updated Mineral Resource Estimate, Dovedale Block, (Mmamabula East)
(effective date: April 18, 2007)
Due to rounding errors summation of measured and indicated resources may not total exactly

D1 + M2 Seams Mineral Resource Estimate1

D1 Seam Mineral Resource Estimate1

M2 Seam Mineral Resource Estimate1

¹ includes a 2% discount for interpreted geological loss due to faulting

Table 3 – Initial Mineral Resource Estimate, Serorome Block, (Mmamabula East)
(effective date: April 18, 2007)
Due to rounding errors summation of measured and indicated resources may not total exactly

D1 + M2 Seams Mineral Resource Estimate1

D1 Seam Mineral Resource Estimate1

M2 Seam Mineral Resource Estimate1

¹ includes a 5% discount for interpreted geological loss due to faulting

Table 4 – Initial Mineral Resource Estimate, Mmamabula South
(effective date: April 18, 2007)
Due to rounding errors summation of measured and indicated resources may not total exactly

D1 + M2 Seams Mineral Resource Estimate1

D1 Seam Mineral Resource Estimate1

M2 Seam Mineral Resource Estimate1

¹ includes a 20% discount for interpreted geological loss due to faulting

Table 5 – Previously Announced Mookane Block: D1 + M2 Seams Mineral Resource Estimate2
(effective date: June 7, 2006)

² no discount was made for interpreted geological loss due to interpreted continuity of ore body

Exploration at Mmamabula is being conducted under the supervision of Mr. Patrick G. Cochran, who is a “Qualified Person”, as such term is defined in Canadian Securities Administrators (CSA) National Instrument 43-101 Standards of Disclosure for Mineral Projects (“NI 43-101”). Mr. Cochran is a self-employed Consulting Geologist, independent of CIC and is a registered Professional Natural Scientist with the South African Council for Natural Scientific Professions.

The “Qualified Person”, as such term is defined in NI 43-101, who supervised the preparation of the mineral resource estimates and other technical information presented in this release, is Mr. David Arnott. Mr. Arnott is an employee of Snowden and is a member of the Australia Institute of Mining and Metallurgy (Aus.IMM) with Chartered Practicing status, and deemed a “Competent Person” under the Aus.IMM JORC Code 2004. Mr. Arnott has reviewed and approved the contents of this release. Snowden is currently preparing a NI 43-101 technical report, which will be filed on SEDAR within 45 days following the date of this release.

All coal analyses were conducted by Witlab (Pty) Limited (“Witlab”) in Witbank, South Africa. Witlab is independent of CIC and specializes in the sampling and analysis of coal. Witlab is in the process of obtaining accreditation through the South African National Accreditation System.

For information with respect to geology, analytical methodology, Quality Assurance/Quality Control, and resource estimate methodology, block model and cut-offs see the Company’s news release dated June 22, 2006. Note that whereas the current resource estimate for the Mookane Block used no geological losses, the current resource estimate for the Dovedale Block, Serorome Block and Mmamabula South uses, respectively, 2%, 5% and 20% interpreted geological loss to account for successively more pronounced faulting within these areas.

About CIC Energy Corp.
CIC is a TSX/BSE-listed company engaged in the advancement of Mmamabula, which includes the Mmamabula East and Mmamabula South prospecting licenses, located in the Mmamabula coal fields of southeastern Botswana, 120 kilometres north of the capital city of Gaborone and adjacent to South Africa’s Waterberg Coal Fields. The Southern Africa region is projected to require significant new baseload power generation capacity over the next several years. To address this shortfall, the Company is currently conducting a Bankable Feasibility Study on an integrated coal mine and mine-mouth power station at Mmamabula.

Additional information with respect to Mmamabula is contained in a technical report of Snowden dated October 19, 2006 and entitled “CIC Energy Corp.: Mmamabula Energy Project, Southeastern Botswana, Project No. J912, Fourth Technical Report”, a copy of which has been filed on SEDAR and may be accessed at www.sedar.com.

CIC has a treasury of approximately CDN$ 58M, and has 47,655,111 shares outstanding and 54,038,611 shares fully diluted. For additional information on CIC and Mmamabula, please visit CIC’s website at www.cicenergycorp.com or contact:

Erica Belling
VP Investor Relations
Tau Capital Corp.
Tel: (416) 361-9636
Email: ebelling@taucapital.com

Forward-Looking Statements

This news release contains certain "forward-looking statements". All statements, other than statements of historical fact that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future are forward-looking statements. These forward-looking statements reflect the current expectations or beliefs of the Company based on information currently available to the Company. Such forward-looking statements include, among other things, statements relating to the Mmamabula Energy Project with respect to estimates and/or assumptions in respect of mineral resources, mineral resource qualities, targets, future production, goals, objectives, plans and future economic, market and other conditions. Forward-looking statements are subject to significant risks and uncertainties and other factors that could cause the actual results to differ materially from those discussed in the forward-looking statements, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on the Company. Factors that could cause actual results or events to differ materially from current expectations include, but are not limited to: failure to complete a positive bankable feasibility study on the Project; the grade, quality and recovery of coal which is mined varying from estimates; inflation; changes in exchange rates; the ability to raise the required debt financing for the Project; Rand liquidity and constraints under applicable South African law and/or practice on the amount that a single lender is able to lend to a single borrower; delays in the development of the Project caused by unavailability of equipment, labour or supplies, limited capacity among engineering, procurement and construction firms, climatic conditions or otherwise; insufficient transportation and transmission capacity, geological and mechanical conditions; delays or failures in obtaining regulatory permits and/or licences respecting mining, power generation and/or power transmission lines; the existence of undetected or unregistered interests or claims, whether in contract or tort, over the properties of the Company; availability of water and sorbent (at cost effective prices); inability to enter into power purchase agreements and/or transmission agreements with Eskom Holdings Limited and (to a lesser extent) Botswana Power Corporation or other requisite agreements, including fixed price contracts with reputable engineering, procurement and construction firm(s) and other agreements required to facilitate the development, operation and financing of the Project, including with International Power plc; failure to raise additional funds on favorable terms to finance such development; inability to obtain tax concessions from the Government of Botswana and requisite credit support from the Government of South Africa and/or the Government of Botswana; political risks arising from operating in Africa; or other factors (including development and operating risks). Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.

The mineral resource figures disclosed in this news release are estimates and no assurances can be given that the indicated levels of coal will be produced. Such estimates are expressions of judgment based on knowledge, mining experience, analysis of drilling results and industry practices. Valid estimates made at a given time may significantly change when new information becomes available. While the Company believes that the resource estimates disclosed in this news release are well established, by their nature resource estimates are imprecise and depend, to a certain extent, upon statistical inferences which may ultimately prove unreliable. If such estimates are inaccurate or are reduced in the future, this could have a material adverse impact on the Company.

Mineral resources are not mineral reserves and do not have demonstrated economic viability. There is no certainty that mineral resources can be upgraded to mineral reserves through continued exploration.