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Petrobakken Announces Q1 2013 Operations Update With Average Production of 49,100 Boepd

Petrobakken Announces Q1 2013 Operations Update With Average Production of 
49,100 Boepd 
CALGARY, ALBERTA -- (Marketwired) -- 04/15/13 -- PetroBakken Energy
Ltd.  ("PetroBakken" or the "Company") (TSX:PBN) is pleased to
provide an update on our first quarter operations. Note that all well
counts contained in this press release are net numbers. 
Consistent with our capital plan, the first quarter of 2013 was very
active as we drilled 53 wells, placed 40 wells on production and
exited the quarter with an inventory of 30 wells waiting to be
brought on-stream. Although well activity decreased from the fourth
quarter of 2012, production continued to grow and averaged 49,079
barrels of oil equivalent per day ("boepd") (82% light oil and
liquids weighted) during the first quarter. This represents a 4%
increase over our Q4 2012 average production of 47,192 boepd and a 5%
increase over Q1 2012. Current production, based on field estimates
for the first week of April, is approximately 48,300 boepd, with over
1,600 boepd of production currently restricted due to third party
processing capacity limitations.  
The majority of our drilling activity occurred in our Bakken and
Cardium business units. In the Bakken business unit we drilled 15
wells, placed 14 wells on production and continued to optimize our
extensive inventory of existing wells. Production for the quarter
averaged approximately 19,000 boepd, which was relatively flat to our
fourth quarter 2012 production of 19,700 boepd. Production in the
first week of April, based on field estimates, is approximately
19,000 boepd.  
In the Cardium business unit we drilled 23 wells and placed 17 wells
on production, with the majority of the activity occurring in the
West Pembina area of the business unit. At the end of the quarter we
had 22 wells waiting to be brought on production and we expect to
bring on 10 of these wells prior to activities being restricted by
spring break-up conditions. Production for the first quarter averaged
approximately 20,600 boepd, an 8% increase over the fourth quarter of
2012. We still have approximately 600 boepd of production restricted
in the Lochend region and expect to have it on-stream by the end of
the second quarter as facility expansions in the area are completed.
Production in the first 
week of April is approximately 19,300 boepd
with more than 1,000 boepd of production in the Brazeau region
recently restricted due to increasing line pressures as a result of
overall growth in the area. We expect to have this production
restored in the third quarter of 2013.  
First quarter 2013 production in the southeast Saskatchewan
Conventional business unit increased 7% over the fourth quarter of
2012 to approximately 6,100 boepd. We drilled 7 wells in this
business unit in the first quarter and placed 8 wells on production.
We continued to be active in our new resource play area, particularly
in the Swan Hills region where we drilled 5 wells and brought 2 wells
on production this quarter. Building on activity initiated in the
fourth quarter of 2012, production from the business unit in the
first quarter of 2013 grew 21% over the prior quarter to average
approximately 3,350 boepd, with 4 wells in inventory waiting to come
on-stream. Consistent with our light oil-focused activity, the
liquids weighting in this business unit has increased from 40% in the
fourth quarter of 2012 to 47% in the first quarter of 2013.  
The industry is now entering spring break-up, which is a period of
reduced activity in the Western Canadian Sedimentary Basin due to
road bans and weather related conditions. While the impact of
break-up on our operations is weather dependent, and can sometimes be
prolonged by early summer rains, we anticipate seasonal downtime due
to restricted operations and we forecast second quarter production
will fall from current levels. Our annual forecasts include higher
downtime factors for this period. Compared to previous years, we
expect the impact of spring break-up to be reduced as our production
base is more mature and more wells have been tied-in to
infrastructure. In addition, new wells and the de-bottlenecking of
restricted production in the Cardium business unit in the second
quarter will help mitigate the impact of spring break-up.  
The results of our Q1 capital program, combined with our planned
activities for the remainder of the year have put us on pace to drill
129 wells in 2013 and achieve our year-over-year average production
growth of 8% to 12%. The 2013 capital plan of $675 million is
expected to deliver an average daily production rate of 46,000 to
48,000 boepd with an estimated 2013 production exit rate of
approximately 49,000 to 52,000 boepd. 
PetroBakken Energy Ltd. is an oil and gas exploration and production
company combining light oil Bakken and Cardium resource plays with
conventional light oil assets, delivering industry leading operating
netbacks, strong cash flows and production growth. PetroBakken is
applying leading edge technology to a multi-year inventory of Bakken
and Cardium light oil development locations, along with a significant
inventory of opportunities in the Horn River and Montney gas resource
plays in northeast BC. Our strategy is to deliver accretive
production and reserves growth, along with an attractive dividend
yield. 
BOEs. Natural gas volumes have been converted to barrels of oil
equivalent ("boe"). Six thousand cubic feet ("Mcf") of natural gas is
equal to one barrel of oil equivalent based on an energy equivalency
conversion method primarily attributable at the burner tip and does
not represent a value equivalency at the wellhead. Boes may be
misleading, especially if used in isolation. 
Well Counts. All references to well counts are on a net basis. 
Forward Looking Statements. Certain information provided in this
press release constitutes forward-looking statements. Specifically,
this press release contains forward-looking statements relating to
future results from operations, future production rates and, proposed
exploration and development activities (including the number of wells
to be drilled, completed and put on production). The forward-looking
statements are based on certain key expectations and assumptions,
including expectations and assumptions concerning the success of
future drilling, completion, recompletion and development activities,
the performance of new and existing wells, prevailing commodity
prices and economic conditions, the availability and cost of labour
and services, timing of pipeline and facilities construction, access
to third party facilities and weather and access to drilling
locations. Although we believe that the expectations and assumptions
on which the forward-looking statements are based are reasonable,
undue reliance should not be placed on the forward-looking statements
because we can give no assurance that they will prove to be correct.
Since forward-looking statements address future events and
conditions, by their very nature they involve inherent risks and
uncertainties. Actual results could differ materially from those
currently anticipated due to a number of factors and risks. These
include, but are not limited to, risks associated with the oil and
gas industry in general (e.g., operational risks in development,
exploration and production; delays or changes in plans with respect
to exploration or development projects or capital expenditures; the
uncertainty of reserve estimates; the uncertainty of estimates and
projections relating to production, costs and expenses, reliance on
i
ndustry partners, availability of equipment and personnel,
uncertainty surrounding timing for drilling and completion activities
resulting from weather and other factors, changes in applicable
regulatory regimes and health, safety and environmental risks),
commodity price and exchange rate fluctuations and general economic
conditions. Certain of these risks are set out in more detail in our
Annual Information Form which has been filed on SEDAR and can be
accessed at www.sedar.com. Except as may be required by applicable
securities laws, PetroBakken assumes no obligation to publicly update
or revise any forward-looking statements made herein or otherwise,
whether as a result of new information, future events or otherwise.
Contacts:
PetroBakken Energy Ltd.
John D. Wright
President and Chief Executive Officer
403.268.7800 
PetroBakken Energy Ltd.
Peter D. Scott
Senior Vice President and Chief Financial Officer
403.268.7800 
PetroBakken Energy Ltd.
William A. Kanters
Vice President, Capital Markets
403.268.7800
ir@petrobakken.com
www.petrobakken.com
 
 
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