Twin Butte Energy Ltd., Calgary, (TSX: TBE) says its 2009 capital expenditures will be between C$17 and C$19 million and will concentrate on northeast British Columbia, Jayar and Thunder Alberta.

The company says its capital program will be entirely funded from cash flow, citing the current economic slowdown. Its net debt at the end of 2008 was C$49 million.

Twin Butte says its 2009 program will include the drilling of 11 gross (9.5 net) wells, numerous recompletions and tie-ins of standing well operations, and 2D and 3D seismic programs. It expects to average production of 3,000 barrels of oil equivalent per day, slightly higher than its production in 2008.

The company says it has made a new pool gas discovery at the Oak well in northeast British Columbia, the first of a three-well program in the area. Production optimization is ongoing at Jayar, while Twin Butte's second horizontal well has been delayed for financial reasons. Seismic programs are ongoing at the company's Thunder property.