Berens Energy Ltd.

January 09, 2008 23:59 ET

Berens Energy Ltd. - 2007 Fourth Quarter Update

CALGARY, ALBERTA--(Marketwire - Jan. 9, 2008) - Berens is pleased to announce that its December, 2007 production was 4,000 boepd, exceeding its forecast exit volume of 3,900 boepd. The 2007 exit volume represents a 13% growth over the 2006 exit volume despite selling 250 boepd in September 2007. Fourth quarter production averaged 3790 boepd, an increase of 5% compared to the third quarter of 2007.

Drilling success continued late in the quarter as the company cased its 12th consecutive successful well in the Pembina area for 2007. The Company's success represents the ongoing successful integration of geology, geophysics, petrophysics, engineering and drilling/completion practices. The first quarter 2008 drilling program is already underway, with 6 wells (3.5 net) planned for Pembina and 3 wells (1.0 net) scheduled for Deep Basin. For the year, Berens expects to spend $30 million and drill 25 wells (17 net) which is expected to be funded by cash flow.

The Company was also active in hedging in the fourth quarter of 2007. A number of natural gas price hedges are now in place, with an average AECO gas price of over $7.15/mmbtu for the 2008 calendar year. Currently the Company has 39% of its estimated 2008 production hedged at prices in excess of the 2008 budget price of $7.00/mmbtu.

The company is pleased with its drilling success and reserve additions for 2007 and expects to release its year-end reserves prior to the end of February 2008.

Berens Energy Ltd is a junior oil and gas company currently trading on the Toronto Stock Exchange. The company currently produces and explores for oil and gas in the Western Canadian Basin with its primary growth areas focused in the Central Alberta and Deep Basin regions. The company's strategy is to focus on profitable growth through a strategic combination of investments in exploration, development and acquisitions in western Canada.

Contact Information

  • Berens Energy Ltd.
    Dell P. Chapman
    V.P. Finance & CFO
    (403) 303-3267

    or

    Berens Energy Ltd.
    Daniel F. Botterill
    President & Chief Executive Officer
    (403) 303-3262