QuamTel Inks Letter Of Intent To Acquire Australian Pre-Paid Mobile Provider

QuamTel, Inc. (OTCBB: QUMI) announced today that it has signed a letter of intent to acquire SavvyTel Communications PTY/LTD. The definitive agreement is expected to be signed in April 2011.

Under the purchase agreement, QuamTel, Inc. will acquire 100% of the stock of SavvyTel Communications, Inc. in exchange for the issuance of 5.5 million common shares of QuamTel, Inc. SavvyTel will be a wholly owned subsidiary of QuamTel, Inc.

“The combined strengths of our two companies will provide us with strategic reach internationally,” said QuamTel CEO, Stuart Ehrlich. “This acquisition provides us with a large subscriber base to market other synergistic QuamTel products to, such as global calling direct from the Australian subscriber handsets, by interconnecting the 'QAN', Quamtel Application Network, in the United States with the SavvyTel communications network in Australia.”

"It is one thing to have the carrier grade network to support growth, but it is something else to have the engineering and development talent to help you grow and become an industry leader. Our team now consists of some of the industry’s best and most forward thinking minds,” said Krishan Deegalla, technical director at SavvyTel Communications.

About QuamTel, Inc. www.QuamTel.com

QuamTel, Inc. is an emerging global service provider of superior quality Voice Over IP based solutions offering residential and business customers more user friendly and affordable ways to communicate. QuamTel, Inc., through its subsidiaries, provides a comprehensive portfolio of M2M integrated data services and wireless broadband technologies with a focus on device management, infrastructure design and deployment, as well as engineering design, manufacturing and distribution of wireless broadband technology.

About SavvyTel Communications: http://www.savvytel.com.au/

SavvyTel Communications was founded in 2005 and built its business on sound fundamentals and great products, offering customers convenient recharge options, no contracts, low rates, reliable service and number portability. SavvyTel operates on one of the largest and most reliable networks in Australia, The OPTUS Network.

Safe Harbor

Statements about the Company's future expectations and all other statements in this press release other than historical facts, are 'forward-looking statements' within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in the Private Securities Litigation Reform Act of 1995. The Company intends that such forward-looking statements be subject to the safe harbors created thereby.

The above information contains information relating to the Company that is based on the beliefs of the Company and/or its management as well as assumptions made by and information currently available to the Company or its management. When used in this document, the words 'anticipate,' 'estimate,' 'expect,' 'intend,' 'plans,' 'projects,' and similar expressions, as they relate to the Company or its management, are intended to identify forward-looking statements. Such statements reflect the current view of the Company regarding future events and are subject to certain risks, uncertainties and assumptions, including the risks and uncertainties noted. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove to be incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated, expected, intended or projected. In each instance, forward-looking information should be considered in light of the accompanying meaningful cautionary statements herein. Factors that could cause results to differ include, but are not limited to, successful performance of internal plans, the impact of competitive services and pricing and general economic risks and uncertainties.

Copyright Business Wire 2010

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