Cano Petroleum Announces Delay in Filing Its Quarterly Report

On December 1, 2011, Cano Petroleum, Inc. CFW announced that it was unable to file its quarterly report on Form 10-Q for the quarter ended September 30, 2011 within the time frame previously announced in its press release on November 22, 2011 due to unforeseen delays. Cano estimates that it will file its quarterly report on or about December 12, 2011. The preliminary results for the three months ended September 30, 2011 that Cano announced previously are updated as follows: Total assets - $63 million to $64 million as of September 30, 2011 Total liabilities - $115 million to $117 million as of September 30, 2011 Stockholder deficit - $52 million to $54 million as of September 30, 2011 Revenue - $6 million for the three months ended September 30, 2011 Net income - $1 million to $2 million for the three months ended September 30, 2011 Additional details will be provided with the filing of the Form 10-Q for the quarter ended September 30, 2011. Cano cautions that all of these results are preliminary and subject to change, possibly materially, following the completion and analysis of the financial statements for the first quarter, and that the above preliminary and unaudited financial information does not represent all of the information that would normally be included in a quarterly report on Form 10-Q with respect to Cano's financial results.