2009-08-11-2008-01-01-2008-03-01

Acquired co., gaining 3.1 MMBOE 2P, 1,075 BOE/d.

Twin Butte Energy Ltd., Calgary, (Toronto: TBE) has completed its acquisition of E4 Energy Inc., Calgary, (Toronto Venture: EFE) for approximately C$55.6 million in stock and debt assumption. Twin Butte paid 0.3673 or C$0.90 per E4 share based on a weighted average price of C$2.45 for each. Twin Butte issued approximately 15.66 million shares total. The purchase price includes approximately C$19.2 million of assumed debt. Based on the purchase price of $55.6 million and after excluding the undeveloped land value of approximately C$12.9 million, Twin Butte estimates it paid C$13.77 per proven plus probable barrel of oil equivalent and C$39,697 per barrel of oil equivalent per day. Assets include a significant land base in southeastern Alberta and the Fort St. John area of British Columbia. Production is approximately 1,075 barrels of oil equivalent per day (55% gas) with 3.1 million barrels equivalent of proven plus probable reserves and 86,000 net acres of undeveloped land. Upside includes more than 50 drilling opportunities. Following the acquisition, Twin Butte production is more than 3,100 barrels of oil equivalent per day (35% oil) and more than 90% operated. Proved plus probable reserves are 8.9 million barrels of oil equivalent on 147,000 net acres. The reserve-life index is 7.7 years. It has more than 75 low-risk drilling locations.