Equal Energy Ltd. (EQU) SEC Filing 10-Q Quarterly report for the period ending Monday, March 31, 2014

Exhibit 99.1

EQUAL ENERGY ANNOUNCES FIRST QUARTER 2014 RESULTS

OKLAHOMA CITY, May 8, 2014 – Equal Energy Ltd. (“Equal”, “the Company”, “we” or “our”) (NYSE: EQU; TSX: EQU) is pleased to announce our operating and financial results for the three months ended March 31, 2014. All dollar amounts are in U.S. dollars unless otherwise indicated and volumes are net of royalty payments.

“Equal’s first quarter results benefited from both increased production rates and higher commodity prices. The impact of the cold winter this year created both positives and negatives for Equal. We experienced increased demand for natural gas and propane, but the extreme cold also hindered production and forced downtime which resulted in higher workover expenses during the quarter,” said Don Klapko, President and Chief Executive Officer. Mr. Klapko further stated that “On May 1st, we announced that an amendment extending the original Arrangement Agreement with Petroflow had been signed after documentation that Petroflow had secured financing commitments was provided to our Board. The amendment provides for two $0.05 dividend payments by Equal to our shareholders, an updated capital expenditure program, anticipated incremental general and administrative costs and an extension of the outside termination date of the agreement to July 31, 2014.”

Solid Operating Results

It is important to note that our operating covenants in the Arrangement Agreement (as defined below) influenced our operational activities for the quarter. As per terms of the Arrangement Agreement, and at the request of Petroflow, we reduced our capital expenditure program through April 2014. Our Arrangement Agreement with Petroflow is the result of a process officially undertaken in March 2013 by a committee of three independent directors (the “Special Committee”) and resulted in the Arrangement Agreement announced by Equal at the end of 2013 and the Amendment (as defined below) announced by Equal on May 1, 2014.

Arrangement Agreement and Amendment

On December 9, 2013, Equal announced that it had entered into a definitive agreement (“Arrangement Agreement”) with Petroflow Energy Corporation and Petroflow Canada Acquisition Corp. (collectively “Petroflow”) for the cash purchase of all of the issued and outstanding common shares of Equal at a price of $5.43 per share, on a fully-diluted basis. The transaction will be completed by way of a plan of arrangement under the Business Corporations Act (Alberta) (the “Arrangement”). Equal’s Board of Directors unanimously resolved to recommend that Equal’s shareholders vote in favor of the Arrangement.

On May 1, 2014, the Arrangement Agreement was amended (the “Amendment”) subsequent to Petroflow securing debt financing commitment letters in order to (a) extend the outside termination date contained therein from May 1, 2014 to July 31, 2014, (b) permit Equal to declare and pay a cash dividend of $0.05 per common share to shareholders on May 28, 2014, (c) permit Equal to pay a cash dividend of $0.05 cents per common share to its common shareholders who are entitled to receive Arrangement consideration upon the completion of the Arrangement and (d) amend an approved budget for Equal, agreed to by all the parties to the Arrangement Agreement.

The Arrangement Agreement is the result of a strategic review process undertaken by the Special Committee at the beginning of 2013 in response to the unsolicited expression of interest by a third party. The Special Committee was formed to consider a full range of strategic alternatives in order to maximize shareholder value. Alternatives considered by Equal included continuing as an independent public company, the acceleration of capital deployed in developing assets, a corporate sale, a return of capital to shareholders via dividend distribution or share buyback, a master limited partnership, and an acquisition by an outside party.