Kontrol Energy Appoints Lead Agent on Previously Announced $5 Million Non-brokered Private Placement and Receives $2 Million Lead Order

TORONTO, May 9, 2018  - Kontrol Energy Corp. (CSE:KNR, FSE:1K8) ("Kontrol" or the "Company") announces that it has engaged with STEVLOC Management Inc. (“STEVLOC or “Agent”) to act as lead agent for the previously announced non-brokered private placement (the "Offering"). STEVLOC has committed to a lead order of $2 million. The funds will be allocated primarily to complete new operating business acquisitions that Kontrol has in due diligence.

“STEVLOC previously participated in our initial debenture financing and provided approximately $1.3 million in capital,” says Paul Ghezzi, CEO Kontrol Energy. “STEVLOC is now taking a larger position in our current financing and working with us as lead agent. We appreciate working with the STEVLOC team to continue to grow our revenues and earnings.”

“We are excited to be assisting Kontrol execute on their business plans,” says Josh Will, Executive VP, STEVLOC. “Kontrol has been able to deliver significant revenue growth over the past year and has demonstrated the ability to execute on their business plan. We look forward to helping the Company continue on its growth path.”

The Company may enter into an agreement or agreements (each such agreement, an “Agency Agreement”) with the Agent. In consideration of the Agent and any sub-agent services to be rendered in connection with the Offering, the Company may pay to the Agent or sub-agent, subject to the President’s List, a cash fee in an amount not exceeding 8% of the aggregate Gross Proceeds of the sale of Units attributable to the Agent or sub-agent, and/or the issuance of share purchase warrants of the Company (the “Finder’s Warrants”) not exceeding 10% of the Gross Proceeds in respect to such sales. Each Finder’s Warrant will be exercisable to purchase one additional common shares of the Company (the “Finder’s Warrant Shares”) at a price per share determined by the Company, and/or to the provisions of the Canadian Securities Exchange Policy 6 – Distributions, for a period of 30 months from the closing date. Kontrol will pay the Agent a sales commission in Finder’s Warrants at a discounted rate equal to 3% of the gross proceeds of the Units sold to parties brought into the Offering by Kontrol, each party to be properly set out in the list provided by the Issuer to the Agent and approved by the Agent (the “President’s List”). There will be no cash commission payable to the Agent for Units sold to parties on the President’s List.

The Offering will be made by way of private placement in Canada and may be offered in other jurisdictions where they can be issued, exempt from any prospectus, registration or other similar requirements. The Offering is subject to certain conditions including, but not limited to, the approval of the Canadian Securities Exchange.

The securities offered have not been and will not be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or applicable exemption from the registration requirements. This document shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

About Kontrol Energy Corp.

Kontrol Energy Corp. (CSE:KNR, FSE:1K8) is a leader in energy efficiency solutions and technology. Through a disciplined mergers and acquisition strategy, combined with organic growth, Kontrol Energy Corp. provides market-based energy solutions to our customers designed to reduce their overall cost of energy while providing a corresponding reduction in Green House Gas (GHG) emissions.

Additional information about Kontrol Energy Corp. can be found on its website at www.kontrolenergy.com and by reviewing its profile on SEDAR at www.sedar.com

Neither IIROC nor any stock exchange or other securities regulatory authority accepts responsibility for the adequacy or accuracy of this release.

Caution Regarding Forward Looking Statements:

This press release is for information purposes only and does not constitute an offer to sell or a solicitation to buy the securities referred to herein. The securities referred to herein may only be sold to prospective investors who meet certain eligibility criteria. Prospective investors should consult with their own legal, regulatory, tax, business, investment, financial, accounting or other advisors as deemed necessary, and make their own decision based upon their own judgment and upon any advice from any such advisors. This press release may contain certain information or statements that are forward looking, and, by its nature, such forward-looking information is subject to important risks and uncertainties. The words “anticipate”, “expect”, “may”, “should”, “estimate”, “project”, “outlook”, “forecast” or other similar words are used to identify such forward looking information. Those forward-looking, if any, are given as of the date noted on this presentation and reflect beliefs and assumptions based on information available at the time. Actual results or events may differ from those anticipated or predicted in these forward-looking statements, and the differences may be material. Factors which could cause actual results or events to differ materially from current expectations include, among other things: risks associated with the ownership and operation of businesses, including fluctuations in interest rates, rental rates; general economic conditions; local real estate markets; supply and demand for commodities; competition for available businesses; weather; the price of commodities; changes in legislation and the regulatory environment; and international trade and global political conditions. Although it is believed that the expectations conveyed by any forward-looking statements made (if any) are reasonable based on information available at the date such statements were made, no assurance can be given as to future results or events and so prospective investors are cautioned not to place undue reliance on any forward-looking statements made (if any). All forward-looking information, whether written or oral, are expressly qualified in their entirety by these cautionary statements. No obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise is undertaken.  Accordingly, undue reliance should not be placed on forward-looking statements and the forward-looking statements contained in this press release are expressly qualified in their entirety by this cautionary statement. The forward-looking statements contained herein are made as at the date hereof and the Company does not undertake any obligation to update publicly or revise any such forward-looking statements or any forward-looking statements contained in any other documents whether as a result of new information, future events or otherwise, except as required under applicable securities law.

SOURCE Kontrol Energy Corp.

For further information:

Paul Ghezzi, CEO paul@kontrolenergy.com

Kontrol Energy Corp. 180 Jardin Drive, Unit 9 Vaughan, ON L4K 1X8

Tel: 905.766.0400 Toll free: 1.844.866.8123