CanArgo Energy Corporation: Shareholder Briefing Update.

OSLO, Norway -- CanArgo Energy Corporation (AMEX:CNR) (OSE:CNR) (`CanArgo`) has provided the Oslo Stock Exchange with a copy of the presentation to be given at a shareholder briefing meeting today in Oslo, Norway, at 10:30 am Central European Time. This can be viewed at the following link under the Company Disclosure section:

http://www.oslobors.no/ob/aksje_kursutvikling?languageID= 1&p_instrid=ticker.ose.CNR&menu2show=1.1.2.1.

(Due to the length of this URL it might be necessary to copy and paste it into your web browser)

The main points to be covered are as follows:

GEORGIA

--On the Manavi M11Z well, total depth was reached at 4,570 metres (14,993 ft) MD. The production liner has been run and the well is currently being prepared for testing. Testing is expected to commence before the end of September 2005 after demobilisation of the Saipem drilling rig.

--The Manavi M12 appraisal well is scheduled to commence in December 2005.

--The Norio MK72 well is planned to re-commence drilling with the Saipem Rig in October 2005, and it is expected that the target zone (prognosed at 4,800 metres (15,748 ft)) will be reached in November 2005. In the event of success, the well will then be deepened through the target zone with a planned total depth of 5,100 metres (16,732 ft).

--The Kumisi gas appraisal well is expected to commence during Q4 2005 subject to confirmation of the terms of the gas sales agreement and rig availability.

--The horizontal development program on the Ninotsminda field is re-starting with the N100H2 scheduled to commence drilling during September 2005.

KAZAKHSTAN

--The first of the shallow gas exploration wells (AKK103) has reached total depth, and electric logs indicate the presence of gas sands. The well has been cased and awaits testing as part of a program - this testing is expected to commence during September 2005.

--The second well (AKK105) is expected to commence within the next few days.

--Testing of the Kyzyloy Field development wells is expected to commence during September, and tenders for pipeline construction are currently being evaluated with a planned first gas date in Q1/2 2005.

CanArgo is an independent oil and gas exploration and production company with its oil and gas operations currently located in the Republic of Georgia and the Caspian area.

The matters discussed in this press release and the stated presentation 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 will be attained.