PetroGlobe Inc.

PetroGlobe Inc.

May 29, 2009 13:01 ET

PetroGlobe Announces First Quarter 2009 Results

CALGARY, ALBERTA--(Marketwire - May 29, 2009) - PetroGlobe Inc. (TSX VENTURE:PGB) ("PetroGlobe" or the "Corporation") announces it has filed its interim consolidated financial statements for the quarter ended March 31, 2009 and accompanying Management's Discussion and Analysis with Canadian securities regulatory authorities. These filings are available for review under the Corporation's SEDAR profile at

2009 First Quarter Highlights Include

- Achieving record sales volumes with first quarter 2009 average sales volumes of 370 BOE/d which represents a 68% increase over the fourth quarter 2008 and 131% over the first quarter 2008

- Lowering operating costs 26% compared to the first quarter 2008

- Preparing surface lease for drilling the Company's first oil well, which is expected to be spud in by the end of May 2009

- Purchasing an additional 217,000 common shares at an average price of $0.07 per share under normal course issuer bid and returned to treasury and cancelled 367,000 common shares

- Building its team through the addition of an experienced VP of Land

- Subsequent to March 31, 2009, as a result of the Company's annual review with its lender the demand revolving credit facility was increased to $3,000,000 of which $2,700,000 is available at the present time

Forward-Looking Information

This PetroGlobe Inc. news release may contain forward-looking information relating to business strategy, geographic areas of activity, capital expenditures, future drilling, drilling costs, production rates, cash flow, investment payouts and other matters. This information is based on PetroGlobe's current expectations and assumptions as to a number of factors, including access to capital, availability of drilling rigs, weather conditions, drilling success, resulting reserves production, ability to tie-in production, decline rates, commodity prices, exchange rates, interest rates and general economic and industry conditions.

The material assumptions applied were that PetroGlobe Inc. continues its exploration and development focus in Alberta and Texas, sufficient cash is available to fund capital programs, through existing cash balances and future capital raises on acceptable terms, drilling costs are maintained at expected levels, drilling results, reserves and production are within expectations and there is sufficient access to transportation, processing facilities, commodity prices and sales markets. If those expectations and assumptions prove to be incorrect, or factors change, then actual results could differ materially from the forward-looking information contained in this news release.

BOEs may be misleading, particularly if used in isolation. A BOE conversion ratio of 6 Mcf: 1bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.


PetroGlobe Inc. is listed on the TSX Venture Exchange and trades under the symbol PGB. PetroGlobe Inc. carries on business directly in Canada. It conducts business indirectly in the United States through PetroGlobe Energy USA Ltd. Major properties are in the Palo Duro basin of West Texas, Drayton Valley, Breton, Warburg and Leduc areas of west-central Alberta.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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