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To: Goose94 who wrote (14507)

1/28/2016 10:45:48 AM

From: Goose94

Read Replies (1) | Respond to of 202367

Blackbird Energy (BBI-V) Announces Top-Tier 1,768 Boe/d Elmworth Middle Montney Production Test Results

Jan 28, '16 - NR

Blackbird Energy is very pleased to announce production test results from its 2-20-70-7W6 ("2-20") Middle Montney well at Elmworth. The production test result of 1,768 Boe/d ranks the 2-20 well in the top tier of well results in the Montney.

Results from the final 24 hour test are as follows:


Well	Average Flowing Casing Pressure (kPa) (1)	Raw Gas (MMcf/d) (2)	Liquid Hydrocarbons (Bbls/d) (2) (3)	Total Combined Production (Boe/d) (2)	Liquids to Gas Ratio (Bbls/MMcf)
2-20	7,973	6.8	641	1,768	94
Type Curve (4)		3.25	439	981	135

(1) The 2-20 well produced through a 19.05 millimeter choke at the beginning of the final 24 hour test period and a 21.30 millimeter choke at the end of the final 24 hour test period.

(2) The 2-20 well average rates over the final 24 hours of the test.

(3) The 2-20 well total liquid hydrocarbons are comprised of 316 Bbls of free condensate and 325 Bbls of natural gas liquids based on the composition from the 6-26 gas analysis.

(4) Blackbird's Elmworth Middle Montney type curve based on internal best estimates and publicly available data.

Results Summary & Strategic Update

The test results for the 2-20 well exceeded Blackbird's gas rate and total Boe/d type curve by 109% and 80% respectively. The 2-20 well is a top-tier Elmworth Middle Montney well due to the combination of its natural gas test rates and its premier liquids to gas ratio. Blackbird is highly encouraged by the 2-20 well results and has now de-risked and delineated both the Upper and Middle Montney across 25 sections of its Elmworth Montney lands.

Completion Methodology

The 2-20 well was drilled into the Middle Montney formation to a total measured depth of 4,660 meters, including a 2,008 meter horizontal leg. Blackbird completed the well using sliding sleeve frac technology and an innovative energized CO2 foam frac with 70 individual stages. A total of 10,531 m3 (88,317 Bbls) of load fluid and 9,226 m3 of CO2 distributed an average of 31.75 tonnes of proppant per stage over the 70 stages.

Load Fluid Recovery and Pressure Data

The 2-20 well flowed on clean-up for a total of 751 hours and recovered approximately 43% of its load fluid, in addition to 3,027 Bbls (481.4 m3) of condensate and 2,150 e3m3 of CO2. During the final 24 hour test the casing pressure averaged 7,973 kpa. Blackbird fully expects that the 2-20 well is continuing to clean up and that productivity will increase as additional load fluid is recovered.

Choke Size

During the final 24 hour test, the flow rate of the 2-20 well was restricted in order to limit production to 275 103m3 of total gas per day (combined raw gas, CO2 and N2), in accordance with the Company's flare permit. Based on the flowing casing pressure recorded during this time, management believes the 2-20 well is capable of significantly higher rates, with capability estimated to be greater than 9 mmcf/d plus correlated liquids.

Innovation

Blackbird's operational success was achieved through innovation on multiple fronts, including drilling the first Montney monobore well at Elmworth, utilizing a sliding sleeve completion system with the highest number of individual fracs in the area, and successfully implementing the largest CO2 completion in Canada.

About Blackbird

Blackbird Energy Inc. is a highly innovative oil and gas exploration and development company focused on the liquids-rich Montney fairway at Elmworth, near Grande Prairie, Alberta.

For more information please view our Corporate Presentation at www.blackbirdenergyinc.com.

Blackbird Energy Inc.
Garth Braun
Chairman, CEO and President
(403) 500-5550
gbraun@blackbirdenergyinc.com

Blackbird Energy Inc.
Joshua Mann
Vice President, Business Development
(403) 390-2144
josh@blackbirdenergyinc.com