Niko Increases Proved Reserves by 160%

Niko Increases Proved Reserves by 160% 
CALGARY, ALBERTA -- (Marketwired) -- 06/13/13 -- Niko Resources Ltd.
("Niko" or the "Company") (TSX:NKO) is pleased to provide the
following updates: 
Reserves Update  
The Company has received the final draft of the reserve evaluations
for the D6 and NEC-25 Blocks in India and Block 5(c) in Trinidad and
Tobago, and the final reserve evaluation for Block 9 in Bangladesh
from independent petroleum engineering firms. The evaluations for the
D6 and NEC-25 Blocks in India and Block 5(c) in Trinidad and Tobago
are subject to final review and signoff by the independent reserve
engineering firm. These evaluations have been prepared in accordance
with National Instrument 51-101 - Standards of Disclosure for Oil and
Gas Activities and the Canadian Oil and Gas Evaluation Handbook, with
an effective date of March 31, 2013.   
Highlights of the evaluations are as follows:  
Total Company Reserves 

--  approx. 160% increase to approx. 550 Bcfe of total proved reserves,
    resulting in a proved reserve replacement ratio of over 700%  
--  approx. 110% increase to approx. 800 Bcfe of total proved plus probable
    reserves, resulting in a proved plus probable reserve replacement ratio
    of over 850% 
--  approx. 90% increase to approx. $1.3 billion in estimated aggregate
    after-tax net present value of future net revenue attributable to proved
    plus probable reserves (discounted at 10 percent and estimated using
    forecast prices and costs) 

Producing Fields in D6 Block in India 

--  Virtually no revision to combined proved reserves on a gas equivalent
--  Positive revisions to combined proved plus probable reserves 

Block 9 in Bangladesh 

--  Significant positive proved reserve revisions 

Reclassification of Contingent Resources to Reserves 

--  Significant proved and proved plus probable reserves additions for: 
    --  R-Series and Satellite Area development projects in the D6 Block in
    --  J-Series development project in the NEC-25 Block in India 
    --  Endeavour/Bounty project in Block 5(c) in Trinidad and Tobago  

Complete details of the Company's reserves and future net revenues
attributable thereto will be contained in its Annual Information Form
for the year ended March 31, 2013 which will be available on SEDAR at on or before June 30, 2013. 
"This is a very positive reserve story for Niko. And not reflected in
these reserves is the recently announced MJ-1 gas condensate
discovery in the D6 Block in India, which we feel could add
significantly to future reserves," said Edward Sampson, Chairman,
President and CEO of the Company.  
Exploration Update 
The Pananda-1 exploration well in the North Makassar block, located
offshore Kalimantan in the deepwater Makassar Strait of Indonesia,
was drilled in water depth of 7,433 feet to a total depth of 19,685
feet in 50 days, and an 80 foot gas interval was identified in the
upper section of the well. Drilling confirmed the presence of
hydrocarbons in a previously untested Middle Miocene turbidite
package in a basin floor setting. A thick package of over 700 feet of
very fine grained distal turbidites was drilled, although poor
reservoir properties indicate non-commerciality at this location. The
Pananda-1 well is situated approximately 40 kilometres southeast of
the Chevron-led deepwater development project at Gehem field.  
Additional prospectivity in the Middle Miocene turbidite play remains
to be evaluated in the vicinity of Pananda-1. Niko holds a
significant acreage position in this play trend along with joint
venture partners Statoil, Eni, GDF Suez and Black Platinum Energy.  
The Ocean Monarch drilling rig is mobilizing to the Cendrawasih PSC
in Eastern Indonesia, where it will spud the Elang-1 well in early
July, 2013. The Company has reached an agreement with Repsol SA in
which a Repsol subsidiary company will become a joint venture
participant in the Cendrawasih PSC. As a result of the farmout, Niko
will operate with a 70% interest and Repsol will have a 30% working
interest in the PSC. The transfer of interest is subject to approval
by the Government of Indonesia.  
Forward-Looking Information  
Certain statements in this press release constitute forward-looking
information. Specifically, this press release contains forward
looking information relating to reserves, future net revenues
associated therewith, reserve replacement, exploration potential in
respect of the Middle Miocene turbidite play in the vicinity of
Pananda-1, future drilling activity and the pending farmout with
Repsol SA. These forward looking statements are based on certain key
expectations and assumptions of management, including geological
interpretations of exploratory prospects, access to capital and
timely receipt of governmental approvals and, in the case of reserves
and future net revenues, the expectations and assumptions of
qualified independent reserves evaluators. The reader is cautioned
that the assumptions used in the preparation of such forward looking
information, although considered reasonable at the time of
preparation, may prove to be incorrect. Actual results achieved may
vary from the information provided herein as a result of numerous
known and unknown risks and uncertainties and other factors and such
variations may be material. Such factors include, but are not limited
to: regulatory and government approvals; general economic, market and
business conditions; industry capacity; competitive action by other
companies; fluctuations in oil and gas prices; the results of
exploration and development drilling and related activities; the
uncertainty of estimates and projections relating to production,
costs and expenses; uncertainties as to the availability and cost of
financing; fluctuations in currency exchange rates; the imprecision
in reserve estimates; risks associated with oil and gas operations,
such as operational risks in exploring for, developing and producing
crude oil and natural gas; risks and uncertainties involving geology
of oil and gas deposits; the weather in our area of operations; the
ability of suppliers to meet commitments; changes in environmental
and other regulations; actions by governmental authorities including
changes in laws and increases in taxes; decisions or approvals of
judicial or administrative tribunals; risks in conducting foreign
operations (for example, political and fiscal instability or the
possibility of civil unrest or military action); the effect of acts
of, or actions against international terrorism; and other factors,
many of which are beyond our control. Additional risks and
uncertainties are described in the Company's Annual Information Form
which is filed on SEDAR at Niko makes no
representation that the actual results achieved during the forecast
period will be the same in whole or in part as those forecast. 
Notice Regarding Reserve Disclosures  
Statements relating to "reserves" are deemed to be forward-looking
information, as they involve the implied assessment, based on certain
estimates and assumptions, that the reserves described exist in the
quantities predicted or estimated, and can be profitably produced in
the future. The independent evaluations of our reserves are based on
a number of assumptions relating to factors such as initial
production rates, production decline rates, ultimate recovery of
reserves, timing and amount of capital expenditures, marketability of
production, future prices of crude oil, natural gas liquids and
natural gas, operating costs, anticipated operating costs, well
abandonment and salvage values and government levies that may be
imposed during the producing life of the reserves. Moreover, there is
no assurance that the forecast price and cost assumptions contained
in the evaluations will be attained and variances could be material.
The information with respect to net present values of future net
revenues from reserves presented throughout this press release are
estimated values and do not represent fair market value. 
The reserves replacement ratio is calculated for a specified period
utilizing the applicable proved or proved plus probable
gas-equivalent reserves additions divided by gas-equivalent
Disclosure provided herein in respect of Bcfes may be misleading,
particularly if used in isolation. A Bcfe conversion ratio of 1 Mbbl:
6 MMcf is based on an energy equivalency conversion method primarily
applicable at the burner tip and does not represent a value
equivalency at the wellhead. Given that the value ratio based on the
fixed prices of natural gas currently received by the Company as
compared to the current price of crude oil is significantly different
from the energy equivalency of 1:6, utilizing a conversion ratio of
1:6 may be misleading as an indication of value. 
Niko Resources Ltd.
Edward Sampson
Chairman of the Board, President & CEO
(403) 262-1020 
Niko Resources Ltd.
Glen Valk
VP Finance & CFO
(403) 262-1020
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