CanArgo Energy Announces New Chief Financial Officer.

Business Editors

CALGARY, Alberta & Oslo, NORWAY--(BUSINESS WIRE)--Sept. 29, 2000

CanArgo Energy Corporation (OTCBB:GUSH) (OSLO STOCK EXCHANGE:CNR) is pleased to announce the appointment of Anthony Potter, C.A. as Chief Financial Officer effective immediately.

Mr. Potter was formerly Vice President, Finance & Group Controller for the Company and one of CanArgo's first five Western employees. This promotion recognizes the valuable work Mr. Potter has performed for CanArgo throughout its early development.

Mr. Potter will be based in our London office effective October 2000 where he will also be charged with effecting the transition of administration functions from Calgary.

CanArgo would also like to announce that Michael Binnion has resigned as President and CFO upon Mr. Potter's appointment. In order to independently pursue new business opportunities, Mr. Binnion has decided to resign his position as director effective immediately. He has agreed to remain available to consult on any transition issues should they arise.

Dr. David Robson, Chief Executive Officer, commented, "I am grateful for all the work Michael has done to help build CanArgo including the hiring and development of key personnel. Anthony has done an excellent job for CanArgo and I am sure he will do a great job."

CanArgo Energy Corporation is an independent oil and gas exploration and production company operating in Eastern Europe. CanArgo's principal oil and gas operations are located in the republic of Georgia. The Company's activities at its primary field in Georgia, the Ninotsminda field, are conducted through its wholly owned subsidiary, Ninotsminda Oil Company Limited. In addition, the Company has interests in several other oil and gas prospects and in refining, marketing, independent power production and oilfield technology activities.

The matters discussed in this press release include forward looking statements, which are subject to various risks, uncertainties and other factors that could cause actual results to differ materially from the results anticipated in such forward looking statements. Such risks, uncertainties and other factors include the uncertainties inherent in oil and gas development and production activities, the effect of actions by third parties including government officials, fluctuations in world oil prices and other risks detailed in the Company's reports on Forms 10-K and 10-Q filed with the Securities and Exchange Commission. The forward-looking statements are intended to help shareholders and others assess the Company's business prospects and should be considered together with all information available. They are made in reliance upon the safe harbor provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The Company cannot give assurance that the results anticipated herein will be attained.