Enterra Energy Trust
TSX : ENT.UN
NYSE : ENT

Enterra Energy Trust

March 30, 2006 19:17 ET

CORRECTING and REPLACING Enterra Reports Record Levels of Production and Revenues

CALGARY, ALBERTA--(CCNMatthews - March 30, 2006) - The following corrects and replaces the release sent on March 30, 2006 at 0830 ET, due to multiple revisions. The complete and corrected release follows.

ENTERRA REPORTS RECORD LEVELS OF PRODUCTION AND REVENUES

Enterra Energy Trust (NYSE:ENT)(TSX:ENT.UN) today announces its financial results for the year ended December 31, 2005.

"Enterra's second full year as an oil and gas income trust has been a year of growth and changes," stated Keith Conrad, President and CEO of Enterra. "During the year, Enterra completed a significant corporate acquisition that led to the growth in production and the change in the relative sales mix between oil and natural gas. Additionally, a new management team has been assembled to guide Enterra on its journey from a small growth-oriented trust to a more substantial long-term trust that is capable of providing a sustainable income stream to its investors."

The acquisition of High Point Resources Ltd. ("High Point"), effective August 17, 2005 was the primary reason for the 101% growth in natural gas sales volumes and the 11% overall growth in sales volumes on a boe basis as compared to 2004. This acquisition helped balance Enterra's sales mix, which stood at 58% oil and 42% natural gas for the fourth quarter of 2005.

Revenues were up 50% for the fourth quarter and 46% for the year as compared to 2004 due to the higher sales volumes and the higher overall commodity prices in 2005. Funds from operations increased by 38% for the fourth quarter and 40% for the year. The higher revenues were partially offset by higher production expenses and general and administrative expenses.

Net earnings for 2005 were dampened by the higher depletion and depreciation charges and a non-cash write-down of the assets ($13.8 million) and goodwill ($9.3 million) associated with the acquisition of Rocky Mountain Gas, Inc. The write-downs within Rocky Mountain Gas, Inc. were mainly due to a reduction in the probable reserves and the expiry of land leases within the company.

Total distributions paid to unitholders increased by 64% during 2005 due to the 29% increase in distributions per unit and the 31% increase in the average number of units outstanding during the year. Distributions as a percentage of funds from operations for 2005 increased to 94% from 80% in the prior year.

Total proved and probable reserves doubled to 19.0 million boe, from 9.4 million boe in 2004. The reserve life index (based on total proved and probable reserves divided by exit production rates) increased to 5.6 years for 2005 as compared to 3.6 years for 2004.

With the addition of the High Point assets and the drilling opportunities on its associated undeveloped lands, Enterra has strengthened its asset base for years to come. This strength has been solidified with the addition of the Oklahoma assets, which were acquired in early 2006. Enterra has positioned itself well for future production growth to ensure the long-term sustainability of distributions for its unitholders. Enterra will continue to develop its sizeable undeveloped land base, with JED Oil Inc. developing the High Point lands and Petroflow Energy Ltd. developing the Oklahoma lands, neither at any cost to Enterra.



Summarized financial and operational data
----------------------------------------------------------------------
Three months
Three months ended
ended December 31,
December 31, 2004
2005 Restated (1) % Change

Financial information
(in CDN$ 000's except for per
unit amounts)
----------------------------------------------------------------------
Revenues before royalties $ 50,248 $ 33,593 50%
----------------------------------------------------------------------
Net earnings (loss) $ (12,937) $ 3,256 (497)%
----------------------------------------------------------------------
Net earnings (loss) per unit $ (0.37) $ 0.13 (385)%
----------------------------------------------------------------------
Cash provided by operating
activities $ 19,575 $ 14,192 38%
----------------------------------------------------------------------
Funds from operations (3) $ 19,519 $ 14,103 38%
----------------------------------------------------------------------
Cash distributions paid to
unitholders $ 21,067 $ 12,076 74%
----------------------------------------------------------------------
Cash distributions as a
percentage of funds from
operations 108% 86% 26%
----------------------------------------------------------------------
Average exchange rate: US$1.00
to $CDN equals $ 1.17 $ 1.22 (4)%
----------------------------------------------------------------------

----------------------------------------------------------------------
Sales volume information
----------------------------------------------------------------------
Oil sales (bbls per day) 5,762 6,766 (15)%
----------------------------------------------------------------------
Natural gas sales (mcf per day) 24,727 6,954 256%
----------------------------------------------------------------------
Total sales (boe per day) (2) 9,883 7,925 25%
----------------------------------------------------------------------
Exit rate (boe per day) 9,282 7,258 28%
----------------------------------------------------------------------

----------------------------------------------------------------------
Operating information
----------------------------------------------------------------------
Average price received per bbl
of oil $ 56.83 $ 49.90 14%
----------------------------------------------------------------------
Average price received per mcf
of natural gas $ 8.82 $ 6.87 28%
----------------------------------------------------------------------
Average price received per boe $ 55.26 $ 47.33 17%
----------------------------------------------------------------------
Production expenses per boe $ 12.11 $ 10.98 10%
----------------------------------------------------------------------
Royalties expense per boe $ 14.21 $ 10.91 30%
----------------------------------------------------------------------
G&A expenses per boe $ 3.29 $ 1.78 84%
----------------------------------------------------------------------



Year ended
December
Year ended 31, 2004
December 31, Restated
2005 (1) % Change
----------------------------------------------------------------------
Financial information
(in CDN$ 000's except for per
unit amounts)
----------------------------------------------------------------------
Revenues before royalties $ 157,743 $ 108,293 46%
----------------------------------------------------------------------
Net earnings (loss) $ 970 $ 14,027 (93)%
----------------------------------------------------------------------
Net earnings (loss) per unit $ 0.03 $ 0.62 (95)%
----------------------------------------------------------------------
Cash provided by operating
activities $ 68,120 $ 42,345 61%
----------------------------------------------------------------------
Funds from operations (3) $ 70,545 $ 50,242 40%
----------------------------------------------------------------------
Cash distributions paid to
unitholders $ 66,195 $ 40,414 64%
----------------------------------------------------------------------
Cash distributions as a
percentage of funds from
operations 94% 80% 17%
----------------------------------------------------------------------
Average exchange rate: US$1.00 to
$CDN equals $ 1.21 $ 1.30 (7)%
----------------------------------------------------------------------

----------------------------------------------------------------------
Sales volume information
----------------------------------------------------------------------
Oil sales (bbls per day) 5,453 5,821 (6)%
----------------------------------------------------------------------
Natural gas sales (mcf per day) 13,729 6,817 101%
----------------------------------------------------------------------
Total sales (boe per day) (2) 7,741 6,957 11%
----------------------------------------------------------------------
Exit rate (boe per day) 9,282 7,258 28%
----------------------------------------------------------------------

----------------------------------------------------------------------
Operating information
----------------------------------------------------------------------
Average price received per bbl of
oil $ 58.47 $ 43.00 36%
----------------------------------------------------------------------
Average price received per mcf of
natural gas $ 8.40 $ 6.69 26%
----------------------------------------------------------------------
Average price received per boe $ 55.83 $ 42.53 31%
----------------------------------------------------------------------
Production expenses per boe $ 11.55 $ 9.25 25%
----------------------------------------------------------------------
Royalties expense per boe $ 12.77 $ 9.63 33%
----------------------------------------------------------------------
G&A expenses per boe $ 3.66 $ 1.75 109%
----------------------------------------------------------------------


(1) The summarized financial and operating data has been extracted
from the complete 2005 annual financial report which will be
available on Enterra's website at www.enterraenergy.com, as well
as on the financial databases of SEDAR at www.sedar.com, and EDGAR
at http://www.sec.gov/edgar.shtml. The prior year figures have
been restated to reflect adoption of the new accounting standard
with respect to exchangeable shares. See note 3 to the 2005 annual
consolidated financial statements for additional information.

(2) "Boe" may be misleading, particularly if used in isolation. A boe
conversion ratio of six mcf: one bbl is based on an energy
equivalency conversion method primarily applicable at the burner
tip and does not represent a value equivalency at the wellhead.

(3) Management uses funds from operations to analyze operating
performance and leverage. Funds from operations as presented does
not have any standardized meaning prescribed by Canadian generally
accepted accounting principles, ("GAAP") and therefore it may not
be comparable with the calculation of similar measures for other
entities. Funds from operations as presented is not intended to
represent cash provided by operating activities nor should it be
viewed as an alternative to net earnings or other measures of
financial performance calculated in accordance with Canadian GAAP.
All references to funds from operations throughout this document
are based on cash provided by operating activities before changes
in non-cash working capital. This measure is the same as the
measure previously referred to as non-GAAP "cash flow from
operations".


Forward-Looking Statements

This news release contains statements about anticipated completion of acquisitions, the benefits of such acquisitions, the ability of management to facilitate growth, anticipated oil and gas production and other oil and gas operating activities, including the costs and timing of those activities, cash flow per unit or other expectations, beliefs, plans, goals, objectives, assumptions and statements about future events or performance that constitute "forward-looking statements" or "forward-looking information" within the meaning of applicable securities legislation.

Statements concerning oil and gas reserves contained in this report may be deemed to be forward-looking statements as they involve the implied assessment that the resources described can be profitably produced in the future, based on certain estimates and assumptions.

Forward-looking statements are based on current expectations, estimates and projections that involve a number of risks, uncertainties and other factors, that could cause actual results to differ materially from those anticipated by Enterra and described in the forward-looking statements. These risks, uncertainties and other factors include, but are not limited to, completion by Enterra of its acquisition of the remaining Oklahoma assets, the anticipated benefits of the acquisitions, the ability to integrate the operations of the acquired entities, the ability of management to achieve the anticipated benefits, the ability to refinance the bridge facilities through the issuance of debt or equity on terms favorable to Enterra or at all, adverse general economic conditions, operating hazards, drilling risks, inherent uncertainties in interpreting engineering and geologic data, competition, reduced availability of drilling and other well services, fluctuations in oil and gas prices and prices for drilling and other well services, government regulation and foreign political risks, fluctuations in the exchange rate between Canadian and US dollars and other currencies, as well as other risks commonly associated with the exploration and development of oil and gas properties.

Enterra cautions that the foregoing list of risks and uncertainties is not exhaustive. Additional information on these and other factors, which could affect Enterra's operations or financial results, are included in Enterra's reports on file with Canadian securities regulatory authorities and the United States Securities and Exchange Commission.

Enterra assumes no obligation to update forward-looking statements should circumstances or management's estimates or opinions change.  Enterra calculates its proven and probable reserves in accordance with Canadian National Instrument 51-101. Canadian disclosure standards concerning oil and gas reserves and options differ from those of the SEC. Enterra is subject to the reporting requirements of the US Securities Exchange Act of 1934 and, consequently, files reports with and furnishes other information to the SEC. The SEC normally permits oil and gas companies to disclose in their filings with the SEC only proved reserves that have been demonstrated by actual production or conclusive formation tests to be economically and legally producible under existing economic and operating conditions. Accordingly, any probable reserves and the calculations with respect thereto included in this release do not meet the SEC's standards for inclusion in documents filed with the SEC. (In addition, throughout this news release, Enterra makes reference to production volumes. Where not otherwise indicated, such production volumes are stated on a gross basis, which means they are stated prior to the deduction of royalties and similar payments. In the United States, net production volumes are reported after the deduction of these amounts.)

This press release shall not constitute an offer to sell or the solicitation of an offer to buy the securities of Enterra in any jurisdiction.

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