Blue Parrot Energy Inc.
TSX VENTURE : BPA

Blue Parrot Energy Inc.

January 29, 2007 08:00 ET

Blue Parrot Energy Announces Significant Production Increase

CALGARY, ALBERTA--(CCNMatthews - Jan. 29, 2007) - Blue Parrot Energy Inc. (TSX VENTURE:BPA) ("Blue Parrot" or the "Company") is pleased to report the Company has commenced production from both its Campbell location and also at Antelope.

The Campbell well tested at 1.7MMCF/D of gas and 145 barrels of oil per day for a total of 428 BOED, with Blue Parrot holding 47.5% before payout (203 BOED at full production) and a 30% working interest (128 BOED at full production) after payout. The well is being brought onto full production slowly commencing at approximately 160 BOED and gradually increasing to its optimum level.

The Company has also commenced production from its 10 new Antelope wells which in total tested at approximately 8 MMCF/D (1,333 BOED). BLUE PARROT has a 50% working in this field and initial production is expected to be in the area of 6 MMCF/D (1,000 BOED). Blue Parrot's 50% interest equates to 500 BOED.

An eleventh well has been drilled and cased with further development planned this year.

When combined with existing production Blue Parrot's production is expected to be in the range of 650 BOED to 750 BOED.

CAUTION REGARDING FORWARD LOOKING STATEMENTS

Certain statements contained herein constitute forward-looking statements. The use of any of the words "anticipate", "continue", "estimate", "expect", "may", "will", "project", "should", "believe", and similar expressions are intended to identify forward-looking statements. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. The Corporation believes the expectations reflected in those forward-looking statements are reasonable but no assurance can be given that these expectations will prove to be correct and such forward-looking statements included in this report should not be unduly relied upon. The Corporation does not undertake any obligation to publicly update or revise any forward-looking statements. The Corporation has adopted the standard of 6 Mcf:1 BOE when converting natural gas to BOE. BOEs may be misleading, particularly if used in isolation. A BOE conversion ratio of 6 Mcf:1 BOE is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

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