Update

At the Company’s Nordegg exploration well at Goose River 7-9-68-18W5 recorders were installed down-hole prior to spring break-up. In August, 2011 the recorders were retrieved and surface and downhole pressures were taken. Also, a static gradient was carried out on the wellbore to further establish reservoir characteristics. Fluid level in the well was at 336 metres from surface and the formation pressure was 2,002 psig. The Company is currently evaluating this information which will be incorporated when determining the 2011/2012 winter program. The first stage of the winter program will be to finish swabbing the 400 barrels of frac fluid still left in the well bore and production test the Nordegg zone.