Crew Energy Inc. Announces Strong 2014 Reserves Additions

CALGARY, ALBERTA--(Marketwired - Feb. 18, 2015) -

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE U.S.

Crew Energy Inc. (TSX:CR) of Calgary, Alberta ("Crew" or the "Company") is very pleased to announce the results of its independent reserve evaluation for the year ended December 31, 2014 as prepared by Sproule Associates Ltd. ("Sproule"), which is outlined in more detail below.

2014 HIGHLIGHTS

• Through an active and successful drilling program, the Company added 108.4 mmboe of proved plus probable ("2P") reserves, which contributed to a reserve replacement ratio after net dispositions of 362%;
• We realized particularly strong results in our Tower light oil area in the Montney, where 2P reserves increased significantly from 0.8 mmboe in 2013 to 14.2 mmboe in 2014;
• Crew has experienced a consistent improvement in estimated ultimate recoveries ("EURs") at Septimus, with our average 2P reserves per booked location increasing from 2.6 bcf in 2011, to 3.2 bcf in 2012, to 4.3 bcf in 2013 and now to 5.0 bcf in 2014;
• Crew achieved finding and development ("F&D") costs of $9.64 per boe on 2P reserves, including changes in future development capital ("FDC"), resulting in a recycle ratio of 2.5 times;
• All-in finding, development and acquisition ("FD&A") costs were $11.09 per boe on a 2P basis, including changes in FDC, resulting in a recycle ratio of 2.2 times;
• Crew increased 2P reserves to 220.4 mmboe, net of 8.8 mmboe of production, and net dispositions of 76.4 mmboe, an increase of 12% over 2013. Our 2P reserves per share increased by 10% and by 25% on a debt-adjusted per share basis;
• Total proved ("1P") reserves of 106.5 mmboe reflect a slight reduction relative to 2013, attributable to the sale of Crew's Princess and Alberta Gas assets, which collectively represented 40% of our 2013 1P reserves. A very successful Montney drilling program led to Crew achieving 1P F&D costs of $14.82 including changes in FDC, resulting in a recycle ratio of 1.6 times;
• Over the past three years, Crew has achieved strong capital efficiencies while transitioning the Company to focus on the Montney. Through efficient operations and capital deployment, our average 2P F&D costs were $9.88 per boe and FD&A costs (both including FDC) were $9.72 per boe over the past three years; and
• Our three year average 1P F&D and FD&A costs, including FDC, were $14.45 per boe and $14.79 per boe, respectively, which validate the potential and prospectivity of our assets.

The past twelve months were a transformational period for Crew, as we took deliberate steps to sharpen our focus on the continued delineation and development of our high-quality Montney acreage in northeast British Columbia ("BC"). We completed two strategic dispositions of developed assets (Alberta Gas and Princess), resulting in the sale of 46.5 mmboe of 1P reserves, which included 19.5 mmboe of proved developed producing ("PDP") reserves. We increased our land position in the Montney to 487 net sections, which is in the preliminary stages of development, and have begun the process of converting that resource to probable and proved reserves through our exploration and development program. Although our Septimus area is the most developed, representing 73% of our overall corporate PDP reserves, the developed land base at Septimus represents only 2% of our total Montney acreage. This reserves update has begun to reflect the significance of our undeveloped land base in our 2P reserves.

Through the successful execution of our strategy in 2014, we grew 2P reserves by more than 12% to 220 mmboe, and replaced 362% of our production on a 2P basis, despite disposing of a net 76.4 mmboe of the prior year's closing 2P reserves. Of the net increase in our 2P reserves, pool extensions and improved recoveries accounted for 77 mmboe, the vast majority of which was attributable to our Montney development. Year over year, our 1P reserves remained relatively constant, even after taking into account the disposition of the two producing properties that represented over 40% of our 1P and 45% of our PDP reserves in 2013.

Our 2014 F&D costs were $9.64 per boe on a 2P basis, including changes in FDC, which resulted in a recycle ratio of 2.5 times. These metrics reflect the high-quality nature of our Montney resource base that is still in its early stages of development, and which offers Crew significant long-term growth potential. Approximately 340 undeveloped locations (187 proved undeveloped and 153 probable undeveloped) have been assigned reserves in the Sproule Report, 77% of which are in our Montney areas, with the balance in Lloydminster.

We are very pleased with our progress which is clearly reflected in Crew's 2014 reserves evaluation. With a transitional year behind us, our efforts in 2015 and beyond will be directed to development of our properties in the massive Montney resource play. We believe we are very well positioned to further enhance recoveries and reserves, increase production and provide shareholders with long-term, profitable growth.

RESERVES

The detailed reserves data set forth below is based upon an independent reserves assessment and evaluation prepared by Sproule with an effective date of December 31, 2014 (the "Sproule Report"). The following presentation summarizes the Company's crude oil, natural gas liquids and natural gas reserves and the net present values before income tax of future net revenue for the Company's reserves using forecast prices and costs based on the Sproule Report. The Sproule Report has been prepared in accordance with definitions, standards, and procedures contained in the COGE Handbook and NI 51-101. The reserves evaluation was based on Sproule forecast escalated pricing and foreign exchange rates at December 31, 2014 as outlined in the table herein entitled "Price Forecast".

All evaluations and summaries of future net revenue are stated prior to any provisions for interest costs or general and administrative costs and after the deduction of estimated future capital expenditures for wells to which reserves have been assigned. It should not be assumed that the estimates of future net revenues presented in the tables below represent the fair market value of the reserves. There is no assurance that the forecast prices and cost assumptions will be attained and variances could be material. The recovery and reserve estimates of our crude oil, natural gas liquids and natural gas reserves provided herein are estimates only and there is no guarantee that the estimated reserves will be recovered. Actual crude oil, natural gas and natural gas liquids reserves may be greater than or less than the estimates provided herein. Reserves included herein are stated on a company gross basis (working interest before deduction of royalties without including any royalty interests) unless noted otherwise. In addition to the detailed information disclosed in this news release, more detailed information will be included in the Company's Annual Information Form (the "AIF") which will be filed on the Company's profile at www.sedar.com in March 2015.

See "Information Regarding Disclosure on Oil and Gas Reserves and Operational Information" for additional cautionary language, explanations and discussions and "Forward Looking Information and Statements" for a statement of principal assumptions and risks that may apply.

The preparation and audit of Crew's 2014 annual consolidated financial statements is not yet complete, and accordingly all financial amounts referred to in this news release are unaudited and represent management's estimates. Readers are advised that these financial estimates may be subject to change.

Corporate Reserves^(1,2):

		Light and Medium Oil		Heavy Oil		Natural Gas Liquids		Natural gas		Barrels of oil equivalent(3)
		(mbbl	)	(mbbl	)	(mbbl	)	(mmcf	)	(mboe	)
Proved
	Producing	529		3,304		4,225		143,389		31,956
	Non-producing	2		1,804		268		12,743		4,198
	Undeveloped	2,638		1,753		11,747		325,508		70,390
Total proved		3,169		6,861		16,241		481,640		106,544
Probable		2,829		5,682		17,222		528,955		113,891
Total proved plus probable		5,998		12,543		33,463		1,010,595		220,435

Notes:
(1)	Reserves have been presented on a "gross" basis which is defined as Crew's working interest (operating and non-operating) share before deduction of royalties and without including any royalty interest of the Company.
(2)	Based on Sproule's December 31, 2014 escalated price forecast
(3)	Oil equivalent amounts have been calculated using a conversion rate of six thousand cubic feet of natural gas to one barrel of oil.
(4)	Columns may not add due to rounding.

Reserves Values

The estimated before tax future net revenues associated with Crew's reserves effective December 31, 2014 and based on the Sproule Report and the published Sproule (December 31, 2014) future price forecast are summarized in the following table:

(MM$)		0%		5%		10%		15%		20%
Proved
	Producing	592,295		448,378		363,221		307,680		268,744
	Non-producing	95,755		69,993		54,588		44,352		37,074
	Undeveloped	1,070,773		585,666		337,747		195,708		107,547
Total proved		1,758,823		1,104,037		755,556		547,740		413,365
Probable		2,500,402		1,236,061		725,830		470,813		324,927
Total proved plus probable		4,259,225		2,340,098		1,481,386		1,018,553		738,292

Notes:
(1)	The estimated future net revenues are stated before deducting future estimated site restoration costs and are reduced for estimated future abandonment costs and estimated capital for future development associated with the reserves. It should not be assumed that such estimates represent the fair market value of the reserves.
(2)	See the Company's AIF for the after-tax present values of future net revenue attributed to Crew's reserves.
(3)	Columns may not add due to rounding.

Price Forecast

The Sproule (December 31, 2014) price forecast is summarized as follows:

Year	$US/$Cdn Exchange Rate		WTI @ Cushing		Edmonton light crude oil		Western Canada Select		Natural gas AECO/NIT spot		Westcoast Station 2
			(US$/bbl	)	(C$/bbl	)	(C$/bbl	)	(C$/mmbtu	)	(C$/mmbtu	)
2015	0.850		65.00		70.35		60.50		3.32		3.27
2016	0.870		80.00		87.36		75.13		3.71		3.66
2017	0.870		90.00		98.28		84.52		3.90		3.85
2018	0.870		91.35		99.75		85.79		4.47		4.42
2019	0.870		92.72		101.25		87.07		5.05		5.00
2020	0.870		94.11		103.85		89.31		5.13		5.08
2021	0.870		95.52		105.40		90.65		5.22		5.17
2022	0.870		96.96		106.99		92.01		5.31		5.26
2023	0.870		98.41		108.59		93.39		5.40		5.35
2024	0.870		99.89		110.22		94.79		5.49		5.44
2025	0.870		101.38		111.87		96.21		5.58		5.53
2026+	0.87		1.5%/yr		1.5%/yr		1.5%/yr		1.5%/yr		1.5%/yr

Notes:
(1)	Inflation is accounted for at 1.5% per year.

Reserves Reconciliation

The following summary reconciliation of Crew's gross reserves compares changes in the Company's reserves as at December 31, 2014 to the reserves as at December 31, 2013 based on the Sproule (December 31, 2014) future price forecast.

TOTAL PROVED	Light & Medium Oil (mbbl)		Heavy Oil (mbbl)		NGL's (mbbl)		Natural Gas (mmcf)		Oil Equivalent (mboe)
Opening Balance	1,573		18,417		18,155		462,474		115,224
Extensions & Improved Recovery(1)	705		1,418		4,218		84,067		20,352
Infill Drilling	1,973		468		2,458		66,699		16,016
Technical Revisions(2)	846		(1,310	)	1,406		31,059		6,119
Discoveries	0		65		0		0		65
Acquisitions	11		389		137		22,012		4,206
Dispositions(3)	(956	)	(10,408	)	(9,250	)	(155,469	)	(46,525	)
Economic Factors	(2	)	(27	)	(16	)	(205	)	(79	)
Production	(982	)	(2,153	)	(868	)	(28,999	)	(8,835	)
Closing Balance	3,169		6,861		16,241		481,639		106,544
PROVED PLUS PROBABLE	Light & Medium Oil (mbbl)		Heavy Oil (mbbl)		NGL's (mbbl)		Natural Gas (mmcf)		Oil Equivalent (mboe)
Opening Balance	2,527		31,893		31,350		789,198		197,302
Extensions & Improved Recovery(1)	1,995		3,226		13,030		352,225		76,955
Infill Drilling	3,049		607		3,759		100,285		24,129
Technical Revisions(2)	825		(2,284	)	2,305		38,643		7,286
Discoveries	0		100		0		0		100
Acquisitions	11		605		184		35,560		6,727
Dispositions(3)	(1,410	)	(19,441	)	(16,263	)	(276,032	)	(83,118	)
Economic Factors	(19	)	(9	)	(34	)	(286	)	(110	)
Production	(982	)	(2,153	)	(868	)	(28,999	)	(8,835	)
Closing Balance	5,998		12,543		33,463		1,010,594		220,435

Notes:
(1)	Increases to Extensions and Improved Recovery are the result of step-out locations drilled by Crew and other operators on and near Company-owned lands.
(2)	Negative Technical Revisions are the result of performance at our Lloydminster heavy oil property.
(3)	Dispositions reflect reserves sold through the Alberta Gas and Princess dispositions, which closed May 30, 2014 and September 30, 2014, respectively.
(4)	Columns may not add due to rounding.

Capital Program Efficiency

As a result of Crew's Montney-focused capital program during 2014, our estimated capital expenditures, net of acquisitions and dispositions, contributed to 2P reserve additions of 32.0 mmboe, at a net FD&A cost of $11.09 per boe, including changes in FDC. Crew's 1P reserve additions in 2014 were significantly impacted by the dispositions of our Alberta Gas and Princess assets, and as such, net 1P reserve additions totaled only 155 mboe, leading to a 1P FD&A cost that is not relevantly calculable, as indicated in the table below.

The following table provides an overview of Crew's ability to invest capital efficiently, and generate positive returns from our assets. Details regarding the Company's capital program for the year ended December 31, 2014 and 2013, along with three year averages are provided below:

			2014				2013				Three Year 2014-2012
			Proved		Proved plus Probable		Proved		Proved plus Probable		Proved		Proved plus Probable
Exploration and Development expenditures(1,2) ($ thousands)			283,972		283,972		220,034		220,034		762,797		762,797
Acquisitions/ (Dispositions)(2) ($ thousands)			(229,676	)	(229,676	)	40,218		40,218		(286,015	)	(286,015	)
Change in future development capital(1)($ thousands)
	-	Exploration and Development	345,569		760,353		211,741		215,403		725,242		1,144,571
	-	Acquisitions/ Dispositions	(300,723	)	(459,970	)	21,101		48,815		(314,562	)	(530,335	)
Reserves additions with revisions and economic factors (mboe)
	-	Exploration and Development	42,474		108,359		37,736		48,124		102,987		192,987
	-	Acquisitions/ Dispositions	(42,319	)	(76,391	)	2,412		6,213		(42,997	)	(80,757	)
			155		31,968		40,148		54,337		59,990		112,230
Finding & Development Costs(3) ($ per boe)
	-	with revisions and economic factors	14.82		9.64		11.44		9.05		14.45		9.88
Finding, Development & Acquisition Costs(3,4) ($per boe)
	-	with revisions and economic factors	n/a		11.09		12.28		9.65		14.79		9.72
Recycle Ratio(5)(F&D)			1.6		2.5		1.9		2.4
Reserves Replacement			2	%	362	%	401	%	543	%
Reserve Life Index based on annualized 2014 fourth quarter production (years)			14.0		28.9		11.0		18.9

Notes:
(1)	The aggregate of the exploration and development costs incurred in the most recent financial year and the change during that year in estimated future development capital generally will not reflect total finding and development costs related to reserve additions for that year.
(2)	Capital incurred during 2014 on disposed properties has been included in acquisition and dispositions.
(3)	Calculation includes changes in future development capital.
(4)	Due to the significant dispositions of 1P reserves associated with the Alberta Gas and Princess transactions in 2014, the FD&A costs are rendered not applicable in that year.
(5)	The 2014 recycle ratio is calculated by dividing the Company's 2014 average annual operating netback of $23.87 per boe (unaudited), which includes commodity related hedging gains and losses, by F&D costs on a per boe basis.

Future Development Capital

The following table provides a summary of FDC based upon the Sproule Report.

	Total		Total Proved
Future Development Capital ($millions)	Proved		plus Probable
2015	110		144
2016	290		349
2017	144		295
2018	88		189
2019	46		189
Remainder	53		130
Total FDC undiscounted	731		1,296
Total FDC discounted at 10%	597		1,006

Area Summaries

Septimus / West Septimus - Montney, NE BC

At our Septimus / West Septimus properties, we increased our 2P reserves by 60% to 134.4 mmboe with an F&D cost including FDC of $8.73 per boe. Consistent with the last four years, our type well performance at Septimus has improved due to enhanced completion techniques and infrastructure optimization. At Septimus, our average 2P reserves per booked location increased by 16% to 5.0 bcf per well from 4.3 bcf per well in 2013, which was a further improvement from 3.2 and 2.6 bcf per well in 2012 and 2011, respectively. Crew has 143 undeveloped locations (98 proved plus 45 probable) which have been assigned reserves in the Sproule Report at Septimus and West Septimus, which is an increase of 66% over 2013.

Groundbirch / Attachie - Montney, NE BC

We achieved significant increases in 2P reserves at Groundbirch and Attachie in 2014 relative to the prior year. Our 2P reserves at Groundbirch increased from 1.1 mmboe last year to 26.2 mmboe in 2014, with F&D costs including FDC of $7.29 per boe. We have 47 locations at Groundbirch which have been assigned reserves in the Sproule Report, including 11 proved and 36 probable undeveloped. At Attachie, 2P reserves increased over 100% from 13.2 mmboe to 26.7 mmboe, with F&D costs including FDC of $6.20. At Attachie, there are 30 undeveloped locations which have been assigned reserves in the Sproule Report, 6 of which are proved and 24 are probable.

Tower Oil - Montney, NE BC

Development at our light oil property at Tower focused on drilling five wells in 2014, primarily from pad locations, resulting in Crew adding 13.7 mmboe of 2P reserves at Tower, at an F&D cost of $15.79 per boe, including FDC. Production at Tower is light, sweet oil, and as such commands an attractive price. As a result of the ongoing development at Tower, and continued evolution in both drilling and completions practices, Crew booked average 2P reserves per well of 440 mboe (60% liquids) from 42 gross (28.5 net) locations, which is an increase of 203% over the reserves per well booked in 2013, and is evidence of the improving recoveries at Tower. Of the 42 undeveloped locations at Tower which have been assigned reserves in the Sproule Report, 34 are proved and an additional 8 are probable. Crew continues to view Tower as providing significant opportunity to accelerate oil and condensate development as commodity prices and project economics warrant.

Lloydminster Oil - Alberta/Saskatchewan

Consistent with Crew's maintenance strategy for our Lloydminster heavy oil assets, 2P reserves remained stable at 12,606 mboe, compared to 12,551 mmboe in 2013. Crew currently has 78 undeveloped locations (38 proved and 40 probable) at Lloydminster which have been assigned reserves in the Sproule Report, including 33 horizontal locations.

OPERATIONS UPDATE

During the first quarter of 2015, Crew's operational focus has continued to be directed to our projects in the Montney, particularly in Septimus, West Septimus and Tower. The Company plans to complete twelve wells in West Septimus that were pre-drilled in 2014, which will supply gas to the new West Septimus facility. Construction on the facility is proceeding on budget and on schedule to be commissioned in the third quarter of 2015. Crew expects to be reimbursed for 50% of the cost of the facility, estimated to be $32.5 million, by our infrastructure partner upon completion and commissioning.

Crew recently completed the drilling of the last two wells of a four well pad at Tower and is currently drilling the third of eight planned wells at Septimus. We will continue to monitor the broader pricing environment and have the flexibility to defer completion of wells until the commodity market strengthens and project economics justify further investment.

In response to the weaker commodity price environment, Crew has been working with our service providers to achieve cost reductions across many areas of our business. We are pleased to have secured reductions in field costs that range between 10% and 20% from various service providers and will continue to seek additional opportunities to lower costs and enhance efficiencies. Further, we continue to constantly review our operations and capital projects to ensure they meet economic hurdles and positively contribute to cash flow. Finally, the Company has protected cash flow with hedges on approximately 39% of the 2015 projected natural gas production at C$3.92 per mcf, and approximately 27% of projected liquids production at C$103 per bbl. Crew has opted to shut-in approximately 1,000 boe per day of heavy oil and non-Montney gas production which is not economic to produce in the current environment, and is expected to remain off-line until we see a strengthening of commodity prices. Despite the volumes being shut-in since November 2014, production for the fourth quarter of 2014 averaged 20,850 boe per day. We remain committed to investing in projects that generate positive returns from our assets and will not sacrifice economics to achieve production growth.

On February 9, 2015, Crew announced that it had entered into a $100 million bought deal equity financing with a syndicate of underwriters (the "Offering"), the proceeds from which will be used to temporarily repay bank indebtedness, increase working capital, and fund our ongoing capital program. Upon completion of the Offering, Crew will have an enhanced working capital position, and with the effect of improved well and service costs, expect to be able to pursue a greater level of activity while expending the same amount of capital.

CAUTIONARY STATEMENTS

Unaudited financial information

Certain financial and operating information included in this press release for the quarter and year ended December 31, 2014, including finding and development costs are based on estimated unaudited financial results for the quarter and year then ended, and are subject to the same limitations as discussed under Forward Looking Information set out below. These estimated amounts may change upon the completion of audited financial statements for the year ended December 31, 2014 and changes could be material.

Information Regarding Disclosure on Oil and Gas Reserves and Operational Information

Our oil and gas reserves statement for the year ended December 31, 2014, which will include complete disclosure of our oil and gas reserves and other oil and gas information in accordance with NI 51-101, will be contained within our Annual Information Form which will be available on our SEDAR profile at www.sedar.com. The recovery and reserve estimates contained herein are estimates only and there is no guarantee that the estimated reserves will be recovered. In relation to the disclosure of estimates for individual properties, such estimates may not reflect the same confidence level as estimates of reserves and future net revenue for all properties, due to the effects of aggregation. The Company's belief that it will establish additional reserves over time with conversion of probable undeveloped reserves into proved reserves is a forward-looking statement and is based on certain assumptions and is subject to certain risks, as discussed below under the heading "Forward-Looking Information and Statements".

Forward-looking information and statements

This news release contains certain forward-looking information and statements within the meaning of applicable securities laws. The use of any of the words "expect", "anticipate", "continue", "estimate", "may", "will", "project", "should", "believe", "plans", "intends" and similar expressions are intended to identify forward-looking information or statements. In particular, but without limiting the foregoing, this news release contains forward-looking information and statements pertaining to the following: the recognition of significant additional reserves under the heading "Reserves", the volumes and estimated value of Crew's oil and gas reserves; the life of Crew's reserves; the volume and product mix of Crew's oil and gas production; future oil and natural gas prices and Crew's commodity risk management program; future results from operations and operating metrics, potential for lower costs and efficiencies going forward, future development, exploration, acquisition and disposition activities (including drilling, completion and infrastructure plans and associated timing and costs, and reimbursement thereof in respect of the West Septimus facility), related production expectations and completion of the Offering and intended use of proceeds therefrom.

The recovery and reserve estimates of Crew's reserves and resources provided herein are estimates only and there is no guarantee that the estimated reserves or resources with be recovered. In addition, forward-looking statements or information are based on a number of material factors, expectations or assumptions of Crew which have been used to develop such statements and information but which may prove to be incorrect. Although Crew believes that the expectations reflected in such forward-looking statements or information are reasonable, undue reliance should not be placed on forward-looking statements because Crew can give no assurance that such expectations will prove to be correct. In addition to other factors and assumptions which may be identified herein, assumptions have been made regarding, among other things: that Crew will continue to conduct its operations in a manner consistent with past operations; results from drilling and development activities consistent with past operations; the quality of the reservoirs in which Crew operates and continued performance from existing wells; the continued and timely development of infrastructure in areas of new production; the accuracy of the estimates of Crew's reserve volumes; continued availability of debt and equity financing and cash flow to fund Crew's current and future plans and expenditures; completion of the Offering; the impact of increasing competition; the general stability of the economic and political environment in which Crew operates; the general continuance of current industry conditions; the timely receipt of any required regulatory approvals; the ability of Crew to obtain qualified staff, equipment and services in a timely and cost efficient manner; drilling results; the ability of the operator of the projects in which Crew has an interest in to operate the field in a safe, efficient and effective manner; the ability of Crew to obtain financing on acceptable terms; field production rates and decline rates; the ability to replace and expand oil and natural gas reserves through acquisition, development and exploration; the timing and cost of pipeline, storage and facility construction and expansion and the ability of Crew to secure adequate product transportation; future commodity prices; currency, exchange and interest rates; regulatory framework regarding royalties, taxes and environmental matters in the jurisdictions in which Crew operates; and the ability of Crew to successfully market its oil and natural gas products.

The forward-looking information and statements included in this news release are not guarantees of future performance and should not be unduly relied upon. Such information and statement, including the assumptions made in respect thereof, involve known and unknown risks, uncertainties and other factors that may cause actual results or events to defer materially from those anticipated in such forward-looking information or statements including, without limitation: changes in commodity prices; changes in the demand for or supply of Crew's products, the early stage of development of some of the evaluated areas; the potential for variation in the quality of the Montney formation; unanticipated operating results or production declines; changes in tax or environmental laws, royalty rates or other regulatory matters; changes in development plans of Crew or by third party operators of Crew's properties, increased debt levels or debt service requirements; inaccurate estimation of Crew's oil and gas reserve and resource volumes; limited, unfavourable or a lack of access to capital markets; increased costs; a lack of adequate insurance coverage; the impact of competitors; and certain other risks detailed from time-to-time in Crew's public disclosure documents, (including, without limitation, those risks identified in this news release and Crew's Annual Information Form).

The forward-looking information and statements contained in this news release speak only as of the date of this news release, and Crew does not assume any obligation to publicly update or revise any of the included forward-looking statements or information, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.

BOE equivalent

Barrel of oil equivalents or BOEs may be misleading, particularly if used in isolation. A BOE conversion ratio of 6 mcf: 1 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. Given that the value ration based on the current price of crude oil as compared to natural gas is significantly different than the energy equivalency of the 6:1 conversion ratio, utilizing the 6:1 ratio may be misleading as an indication of value.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

Crew is a Calgary, Alberta based oil and gas exploration, development and production company whose shares are traded on The Toronto Stock Exchange under the trading symbol "CR".