NORTH VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 31, 2012) - Cabo Drilling Corp. (TSX VENTURE:CBE) ("Cabo Drilling" or the "Company") announces that BerAlb Sh A, part of the Ekin Maden Group located in Istanbul, Turkey, has awarded Cabo Drilling Corp., Albania Branch, located in Tirana, Albania, a 3,500 meter surface drilling contract at its Karma Mine Project.

The objective of BerAlb Sh A's drilling program is to delineate ore reserves to reactivate the underground mine at Karma. Cabo will utilize a U-6 surface configured core drill for the program and anticipates drilling to commence January 30, 2012.

"We look forward to undertaking this drilling program with BerAlb Sh A, as it is one of the first projects approved by the Albanian government since it changed its mining law two years ago," stated Terry Aimone, Cabo Albania's General Manager. "The surface program also represents an opportunity for Cabo and Ber Alb to visibly demonstrate our respective commitments to workplace health and safety and environmental awareness."

About Ekin Maden group (BerAlb Sh A)

Since its inception as a metal trading company in 1982, Ekin Maden has focused on the trade of non-iron metals and mineral concentrates of copper, zinc and lead. Ekin Maden also started to sell lump chrome ore, chrome concentrates and manganese ore in 2010.

Nesko Metals is part of the Ekin Maden group, and is located at San.A.S., Buyukdere Cad. USO Center Kat:11 Maslak, Istanbul, Turkey.

About Cabo Drilling Corp. (TSX VENTURE:CBE)

Cabo Drilling Corp. is a drilling services company headquartered in North Vancouver, British Columbia, Canada. The Company provides mining specialty drilling services through its Canadian divisions in Surrey, British Columbia; Montréal, Quebec; Kirkland Lake, Ontario; and Springdale, Newfoundland; as well as Cabo Drilling (Nevada) Inc. of the United States; Cabo Drilling (Panama) Corp. of Panama, Republic of Panama; Cabo Drilling Panama-Pacifico Corp. of Panama, Republic of Panama doing business as Cabo Drilling Colombia Corp.; Balkan States Drilling SH.P.K. of Tirana, Albania; and Cabo Drilling (International) Inc. The Company's common shares trade on the Frankfurt Exchange under the symbol: DHL and on the TSX Venture Exchange under the symbol: CBE.

ON BEHALF OF THE BOARD

John A. Versfelt, Chairman, President and CEO

Further information about the Company can be found on the Cabo website ([ http://www.cabo.ca ]) and SEDAR ([ www.sedar.com ]).

This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, potential mineral recovery processes and other business transactions timing. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.