Petro Vista Energy Corp.

Petro Vista Energy Corp.

June 19, 2008 09:30 ET

Petro Vista Provides Operations Update for Brazil and Colombia

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 19, 2008) - Petro Vista Energy Corp. (TSX VENTURE:PTV) -

- Petro Vista has accumulated a large asset base of over 230,000 gross acres across 17 blocks in proven hydrocarbon basins of Colombia and Brazil.

- Aggressive operations program underway consisting of 6 planned exploration wells and 2 possible well completions in 2008.

- Work program includes a balanced mix of low-cost, low-risk drilling opportunities as well as several drilling opportunities having significant upside resource potential.

- Regional staff and operations support in place in Colombia and Brazil.

- Long-term technology and operations strategic partnerships established for expertise, local knowledge, increased success and cost efficiencies.

Petro Vista Energy Corp. ("Petro Vista" or the "Company"), an independent oil and gas exploration company, is pleased to provide an operations update on its properties in Colombia and Brazil.

Petro Vista has recently acquired a large land base of over 230,000 gross acres totaling 17 blocks in proven basins in Colombia (2 blocks) and Brazil (15 blocks). A drilling program of up to 8 wells is moving forward and scheduled for Q4 2008. In support of these operations, Petro Vista has recently established a South America regional office, located in Bogota Colombia, led by Petro Vista's Vice President - South America, Steven Benedetti, along with several experienced technical and management local staff. A second operations base is now in place in Aracaju, Brazil in the Sergipe Alagoas area where Petro Vista operates 4 Blocks.

Morichito Block, Llanos Basin, Colombia

On July 2, Petro Vista will complete the acquisition of a 47.42% working interest in the Morichito Block located in the Llanos Basin, Colombia.

Petro Vista has initiated reconnaissance operations, built and repaired roads including bridges and access roads, acquired land rights and environmental permits. Additional operations are underway.

Petro Vista has acquired a significant data base in the area and completed seismic reprocessing and other detailed well log evaluation studies in order to identify optimum drilling locations and reduce risk. Utilizing this integrated approach including 3D seismic interpretations and petrophysical analysis of well logs from nearby wells and existing producing wells including the existing Morichito #2 discovery well on the block. Petro Vista has identified several high potential high-quality reservoir sands along this proven Llanos structural trend. As a reference for the potential of these reservoirs, field analog wells in the area produced 1,350 barrels of oil per day (bopd) of 37 degree API oil (Baraka Petroleum Limited, ASX Quarterly Report January 30 2008).

The plan for the Morichito Block is to drill at least one exploration well and complete in the existing discovery well Morichito #2. The exploration well will be planned to exploit identified reservoir target sands up dip and in closure to the North East of the Morichito #2 discovery well along a NW SE trending proven structural trend. To complete the Morichito #2 discovery well, Petro Vista will perforate a series of logged pay sands in which oil was originally recovered and putting the well on production. The exploration well and the completion well will be conducted during Q3 and Q4 2008 respectively. An independent technical report by Petrotech Engineering Ltd. effective March 31(st), 2008 entitled "Evaluation of Interest of Petro Vista Energy Corp. in the Morichito Block, Llanos Basin, Colombia" has been completed on the La Maye Block and filed on SEDAR (see

The following reserve and resource estimates taken from the Petrotech Engineering Ltd. report based on an oil price of US $87.63/bbl.

Probable Oil Reserves(1)(2) NPV of Future Net Revenue(1)
Gross Net After Tax Discounted (in M$)@
Reserves 100% (Mbbl) (Mbbl) (Mbbl) 0% 10%
Probable 160 76 67 1,781 1,234
Prospective Oil Resources(1) NPV of Future Net Revenue(1)
Gross Net After Tax Discounted (in M$)@
Estimate 100% (Mbbl) (Mbbl) (Mbbl) 0% 10%
Low 1,045 495 436 13,121 6,352
Best 3,945 1,871 1,646 61,160 33,646
High 8,682 4,117 3,623 142,143 75,409

(1) Estimated values disclosed do not represent fair market value.

(2) The Probable Oil Reserves represent Petro Vista's only oil reserves
as at the date of this news release.

Prospective resources are those quantities of oil and gas estimated on a given date to be potentially recoverable from undiscovered accumulations. There is no certainty that any portion of the resources will be discovered. If discovered, there is no certainty that it will be commercially viable to produce any portion of the resources.

La Maye Block, Lower Magdalena Basin, Colombia

In late May 2008, Petro Vista entered into an agreement with New Horizon Exploration Inc. to farm-in to a 25% working interest in the La Maye Block. The La Maye Block consisting of 68,302 acres (27,641 hectares) located within the Lower Magdalena Valley, Colombia. The La Maye Block adjoins the Cicuco Oil Field that has produced over 44.69 million barrels of oil and 181.14 billion cubic feet of gas as of June 2000 from 28 wells (Source: Agencia Nacional de Hydrocarburos "ANH"). Initial production rates from the area ranged from 600-4,000 barrels of oil per day. As of March 2008, the Cicuco Field was producing an average of 293.3 barrels of oil per day. The ANH has reported cumulative production for the Cicuco Oil Field from January 2005 to March 2008 to be 301,867 barrels of oil. Within a ten-mile radius, the Cicuco Oil Field also neighbors the producing Boquete, Zenon and Boquila oil fields. The La Maye Block, along trend with the Cicuco Oil Field, is adjacent to and south of the Occidental, Repsol and Ecopetrol Lucia Blocks. Oil from the Cicuco Oil Field is light sweet crude at 43 to 55 degree API.

New Horizon (Operator) and Petro Vista are in the process of permitting for drilling, with two wells planned for 2008 and, depending on success, two more in Q1 2009. Mobilization of a drilling rig is scheduled for September 2008.

Read B. Taylor, President and CEO of Petro Vista, commented, "The La Maye Block is our second asset strategically acquired in Colombia to obtain a balanced mix of low risk near-term production opportunities like Morichito and exposure to large upside resource plays like La Maye. With the close proximity to the prolific Cicuco Oil Field, we are pleased with our favourable land position."

Steven Benedetti, Vice President - South America of Petro Vista, commented, "Upon drilling in September, our land block will have favourable access to existing oil pipeline for reduced spud-to-production times. This adds credence to our expected short turnaround time. The La Maye Block is significantly beneficial to our strategy for our activities in Colombia."

An independent technical report by Petrotech Engineering Ltd effective May 1(st) 2008 (entitled "Evaluation of Interest of Petro Vista Energy Corp. in the La Maye Block, Lower Magdelena Valley, Colombia") has been completed and filed on SEDAR (see The following best estimates (P50) of the prospective resources on the La Maye Block are taken from the Petrotech Engineering Ltd. Report.

Best Estimate L&M Oil Resources(1) NPV of Future Net Revenue(1)
100% Gross After Tax Discounted (in M$)@
Prospect (Mbbl) (Mbbl) Net (Mbbl) 0% 10%
Prospect #1 9,899 2,475 2,277 143,145 92,793
Prospect #2 7,424 1,856 1,708 109,129 69,453
Prospect #3 2,940 735 676 42,640 25,886
Total 20,264 5,066 4,661 294,914 188,132

(1) Estimated values disclosed do not represent fair market value.

If these resources are discovered, there is no certainty that it will be commercially viable to produce any portion of these resources.

Brazil Operations - Sergipe-Alagoas and Reconcavo Basins

Petro Vista holds between 20-50% working interests in 15 blocks in the prolific Sergipe-Alagoas and Reconcavo Basins in onshore NE Brazil. The assets are held in partnership with WWashington Petroleo Ltda., Brownstone Ventures Inc, and BrazAlta Resources Corp. These blocks lie within proven hydrocarbon rich areas and adjacent to some of the largest onshore fields in Brazil (Carmopolis, Dom Jao, etc.) discovered by Petrobras going back to the 1940's. Petro Vista is working with previously acquired 2D and 3D seismic data to provide advanced reprocessing and state of the art workstation interpretations. Additional new 2D seismic is currently being acquired by the partnership in the Reconcavo Basin in support of optimizing locations for an upcoming drilling program commencing in late Q3 in 2008 as well as fulfilling contractual commitments with the ANP (Brazil's exploration and production governing body).

The Company has identified over 39 prospects and leads on these blocks, of which 6 locations have been determined to have the best chance for success based on geotechnical risk and resource potential. At least 4 of these prospects will be drilled before January 30(th) 2009. Field operations, permitting, and rig contracting is underway. The drilling program is expected to initiate in September 2008.

Strategic Technology Partnerships

Along with the strategic partnership with Rincon Energy for advanced geotechnical seismic reprocessing and interpretation, Petro Vista is currently working with technology partner TDC Engineering, Inc. of Abilene, Texas for operations and drilling services, management and expertise. TDC has over 30 years experience with 8 years expertise specifically in the Sergipe and Reconcavo areas. The Petro Vista TDC partnership provides an established operations base in Brazil, a team of skilled experts in drilling and operations with proven track records in Brazil, Colombia, Venezuela and other South American countries.

About Petro Vista Energy

Headquartered in San Clemente, California, Petro Vista Energy Corp., is an independent exploration company engaged in the acquisition, exploration and development of oil and natural gas properties located in South America. The Company has exploration, development and production rights to over 230,000 acres gross (81,000 net) leasehold acres in Colombia and Brazil. The Company's website at provides additional information about the Company's plans, including photographs and other information with respect to its operations and assets.


Read Taylor, President and CEO

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.

This press release includes "forward-looking statements" including forecasts, estimates, expectations and objectives for future operations that subject to a number of assumptions, risks and uncertainties, many of which are beyond the control of the Company. Statements regarding future production, reserve additions and capital expenditures are subject to all of the risks and uncertainties normally incident to the exploration for and development and production of oil and gas. These risks include, but are not limited to, inflation or lack of availability of goods and services, environmental risks, drilling risks and regulatory changes. Investors are cautioned that any such statements are not guarantees of future performance and that actual results or developments may differ materially from those projected in the forward-looking statements. Such forward-looking information represents management's best judgment based on information currently available. No forward-looking statement can be guaranteed and actual future results may vary materially. The Company does not assume the obligation to update any forward-looking statement, except as required by applicable law.

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

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