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News Releases

Petroamerica Announces the Commencement of Drilling of the Torodoi 1-X Exploration Well in the Llanos Basin, Colombia

July 11, 2011

Petroamerica Oil Corp. (“the Company”) (TSX-V:PTA)is pleased to announce the July 3, 2011 spud of the Torodoi 1-X exploration well, targeting Tertiary and Cretaceous reservoir formations in the Arauca Block situated in the Llanos Basin of Colombia.  The operator on the block, Pacific Rubiales Energy Corp. (‘Pacific Rubiales’), who holds a 95% participating interest in the block, will drill the well using the Petrex 22 drilling rig and is expecting to reach a total depth of 7,198 feet (measured depth) by early August, 2011. Shortly after completion of this well, it is expected that a second well on the Arauca Block will be spudded using the same rig.

Petroamerica, pursuant to a Farm-in Agreement with Pacific Rubiales, holds a 5% participating interest in the Arauca Block, but will be fully carried by Pacific Rubiales for the costs of both this and the second well.

Petroamerica is a junior oil and gas company operating in Colombia and listed on the TSX Venture Exchange.

ON BEHALF OF PETROAMERICA OIL CORP.

“Nelson Navarrete”

President and CEO

Forward-Looking Statement

This news release includes forward-looking statements related to the expected occurrences in relation to the properties identified.  A multitude of factors can cause actual events to differ significantly from any anticipated development and although Petroamerica believes that the expectations represented by such forward-looking statements are reasonable; there can be no assurance that such expectations will be realized.  These forward looking statements are based upon assumptions that Petroamerica has made concerning the oil and gas industry in Colombia, the reliability of available data regarding the properties, and the continuing market for oil and gas.  Risk factors may include the uncertainty of conducting operations under a foreign regime, the availability of labour and equipment, the fluctuating price of oil and gas, and Petroamerica’s dependence upon other participants in the property areas.  Neither Petroamerica nor any of its subsidiaries nor any of its officers or employees guarantees that the assumptions underlying such forward-looking statements are free from errors, nor do any of the foregoing accept any responsibility for the future accuracy of the opinions expressed in this document or the actual occurrence of the forecasted developments.

Although the Company believes that the expectations represented by the forward-looking statements contained herein are reasonable, undue reliance should not be placed on the forward-looking statements because there can be no assurance that such expectations will be realized. The forward-looking statements contained in this document are made as of the date hereof and the Company undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

FOR FURTHER INFORMATION PLEASE CONTACT:

Nelson Navarrete                                                                 Colin Wagner

President and CEO                                                              CFO

Petroamerica Oil Corp.                                                       Petroamerica Oil Corp.

Tel: 57-1-629-3534                                                             Tel: 403-237-8300

Email: investorrelations@pta-oil.com                            Email: investorrelations@pta-oil.com