CALGARY, ALBERTA — (Marketwire) — 09/19/12 — Donnycreek Energy Inc. (“Donnycreek” or the “Company”) (TSX VENTURE: DCK) reports the results of its reserves evaluation as at July 31, 2012, as evaluated by Fekete Associates Inc. (“Fekete”) in accordance with National Instrument 51-101 – Standards of Disclosure for Oil and Gas Activities. The reserve evaluation covers non-core interests that the Company holds in the Delia and Michichi areas of Alberta. This reserves evaluation by Fekete as at July 31, 2012 does not include an evaluation of the Company–s reserves attributable to the Company–s Kakwa 13-17, Deep Basin well.
A summary of the Company–s reserves volumes according to reserve category as at July 31, 2012 is as provided in the following table. Unless otherwise stated, the reserves information included in this news release is stated on a “company interest” basis, which represents Donnycreek–s working interest (operated and non-operated) share of remaining reserves. Numbers presented in the table may not add exactly due to rounding.
A summary of the Company–s estimated future net revenues associated with Donnycreek–s reserves as at July 31, 2012 based on the Fekete June 30, 2012 price forecast is provided in the following tables. The net present values estimated by Fekete do not represent the fair market value of the reserves. Numbers presented in the table may not add exactly due to rounding.
Relevant portions of the Fekete July 31, 2012 price forecast used in the Company–s reserves evaluation are as follows:
Donnycreek is a Calgary based oil and natural gas production company focused on horizontal, multi-stage frac development in the Deep Basin area of west central Alberta. The Company holds working interests in 22 gross sections (14 net sections) prospective for Montney, Bluesky, Wilrich and Falher liquid rich resource development.
Further information relating to Donnycreek is also available on its website at .
ON BEHALF OF THE BOARD OF DONNYCREEK ENERGY INC.
Malcolm F.W. Todd, Chief Executive Officer
FORWARD-LOOKING STATEMENTS
Certain information set forth in this news release contains forward-looking statements or information (“forward-looking statements”), including the reserves disclosed herein. By their nature, forward-looking statements are subject to numerous risks and uncertainties, some of which are beyond Donnycreek–s control, including the impact of general economic conditions, industry conditions, volatility of commodity prices, currency fluctuations, imprecision of reserve estimates, environmental risks, operational risks in exploration and development, competition from other industry participants, the lack of availability of qualified personnel or management, stock market volatility and the ability to access sufficient capital from internal and external sources. Although Donnycreek believes that the expectations in our forward-looking statements are reasonable, our forward-looking statements have been based on factors and assumptions concerning future events which may prove to be inaccurate. Those factors and assumptions are based upon currently available information. Such statements are subject to known and unknown risks, uncertainties and other factors that could influence actual results or events and cause actual results or events to differ materially from those stated, anticipated or implied in the forward looking information. As such, readers are cautioned not to place undue reliance on the forward looking information, as no assurance can be provided as to future results, levels of activity or achievements. Furthermore, the forward-looking statements contained in this document are made as of the date of this document and, except as required by applicable law, Donnycreek does not undertake any obligation to publicly update or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise. The forward-looking statements contained in this document are expressly qualified by this cautionary statement.
Where amounts are expressed on a barrel of oil equivalent (“BOE”) basis, natural gas volumes have been converted to oil equivalence at six thousand cubic feet per barrel. The term BOE may be misleading, particularly if used in isolation. A BOE conversion ratio of six thousand cubic feet per barrel is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. References to oil in this discussion include crude oil and natural gas liquids (“NGLs”). NGLs include condensate, propane, butane and ethane. References to gas in this discussion include natural gas.
Contacts:
Donnycreek Energy Inc.
Malcolm Todd
President and Chief Executive Officer
(604) 684-2356
(604) 684-4265 (FAX)