Overlord Announces First Quarter Results

CALGARY, May 29, 2006 - Overlord Financial Inc. (TSX Venture: OFI) (the “Company”) announces the company has filed its unaudited interim consolidated financial statements for the period ended March 31, 2006 and related Management Discussion and Analysis with Canadian Securities Regulatory Authorities. The Company is listed on the TSX Venture Exchange under the ticker symbol OFI.

During the first quarter of 2006, the Company recorded net income of $680,008 largely due to the gain on sale of marketable securities of approximately $1.2 million. During the second quarter the Company plans to seek approval from Sword Energy Ltd. (“SEL”) shareholders to sell all of the issued and outstanding shares of Sword Management Inc. (“SMI”) to SEL in exchange for the issuance of 1.15 million common shares of SEL. Sword Management Inc. is a wholly owned subsidiary of the Company.

The Company continues to work with a major Canadian underwriter to structure, arrange and market a collateralized fund obligation transaction.

Copies of the unaudited interim consolidated financial statements and Management Discussion and Analysis may be obtained via www.sedar.com or by emailing info@overlordfinancial.com.

Overlord Financial Inc. is a Canadian specialty fund manager focused on providing all classes of investors in Canada and throughout the world with a new generation of investment vehicles offering superior rates of return, preservation of capital, liquidity, and capital appreciation.

For further information concerning this press release, please contact:

Claude Blanchet
President and CEO
Overlord Financial Inc.
(514) 236-360

Larry Titley
Vice President and CFO
Overlord Financial Inc.
(403) 770-4808

The TSX Venture Exchange has neither approved nor disapproved the information contained herein.

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