Berens Energy Ltd. - Releases December 31, 2007 Reserve Information and Operating Update



    /NOT FOR DISTRIBUTION INTO THE UNITED STATES OF AMERICA OR TO U.S.
    NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES./

    Symbol: BEN - TSX

    CALGARY, Feb. 20 /CNW/ - Berens Energy Ltd. ("Berens") is pleased to
report strong year-over-year reserve growth per share of 16 percent and
finding and development costs of $13.00 per boe based on unaudited capital
spending estimates for the year ended December 31, 2007. The update on
drilling in early 2008 is also positive.

    RESERVES

    Berens' oil and gas reserves were independently evaluated by GLJ
Petroleum Consultants ("GLJ"). The evaluation was completed using the reserves
definitions in the Canadian Oil and Gas Evaluation Handbook and the Canadian
Securities Administrators National Instrument 51-101 ("NI 51-101"). Total
working interest proved plus probable reserves as at December 31, 2007 were
9,016,000 boe an increase of 16 percent compared to proved plus probable
reserves at December 31, 2006. On a per share basis proved plus probable
reserves also grew 16 percent to 96.8 boe/1000 shares outstanding from
83.5 boe/1000 shares outstanding. Reserves growth came entirely from the
successful 2007 exploration and development drilling program. The table below
summarizes Berens' working interest reserves on a gross basis (before
deduction for royalties) as at December 31, 2007 using forecast prices and
costs based on the GLJ January 1, 2008 price forecast.

    
                     SUMMARY OF OIL AND GAS RESERVES(1)

    -------------------------------------------------------------------------
                                        OIL                  NATURAL
    WORKING INTEREST RESERVES        and LIQUIDS               GAS
    -------------------------------------------------------------------------
                                2007   2006  Percent    2007   2006  Percent
    RESERVES CATEGORY          (Mbbl) (Mbbl)  Change   (MMcf) (MMcf)  Change
    -------------------------------------------------------------------------

    PROVED
      Developed Producing      1,050    743    +41%   21,855  18,770    +16%
      Developed Non-Producing     82    148    -44%    1,440   4,266    -66%
      Undeveloped                198    100    +98%    4,746   3,381    +40%
    -------------------------------------------------------------------------
    TOTAL PROVED               1,330    991    +34%   28,041  26,417     +6%
    -------------------------------------------------------------------------
    PROBABLE                     665    496    +34%   14,085  11,256    +25%
    -------------------------------------------------------------------------
    TOTAL PROVED PLUS PROBABLE 1,995  1,487    +34%   42,126  37,673    +12%
    -------------------------------------------------------------------------

              ---------------------------------------------------
              WORKING INTEREST RESERVES            BOE
              ---------------------------------------------------
              RESERVES CATEGORY             2007   2006  Percent
                                           (Mbbl) (Mbbl)  Change
              ---------------------------------------------------
              PROVED
                Developed Producing        4,693  3,871    +21%
                Developed Non-Producing      322    858    -62%
                Undeveloped                  989    664    +49%
              ---------------------------------------------------
              TOTAL PROVED                 6,003  5,393    +11%
              ---------------------------------------------------
              PROBABLE                     3,013  2,372    +27%
              ---------------------------------------------------
              TOTAL PROVED PLUS PROBABLE   9,016  7,765    +16%
              ---------------------------------------------------

    -------------------------------------------------------------------------
                                 BEFORE TAX 8%             BEFORE TAX 10%
    WORKING INTEREST            PRESENT VALUE(1)          PRESENT VALUE(1)
    -------------------------------------------------------------------------
    RESERVES               2007     2006  Percent    2007     2006   Percent
     CATEGORY             (Mbbl)   (Mbbl)  Change  ($000's) ($000's)  Change
    -------------------------------------------------------------------------

    PROVED
      Developed
       Producing         91,839   73,824     +24%    86,962   69,432    +25%
      Developed
       Non-Producing      5,316   14,977     -65%     4,842   14,013    -65%
      Undeveloped         7,685    4,626     +66%     6,640    3,731    +78%
    -------------------------------------------------------------------------
    TOTAL PROVED        104,840   93,427     +12%    98,444   87,176    +13%
    -------------------------------------------------------------------------
    PROBABLE             39,020   35,174     +11%    34,215   31,073    +10%
    -------------------------------------------------------------------------
    TOTAL PROVED
     PLUS PROBABLE      143,860  128,601     +12%   132,659  118,249    +12%
    -------------------------------------------------------------------------

    (1) It should not be assumed that the present values of estimated future
        net cash flows shown above are representative of the fair market
        value of the reserves. There is no assurance that such price and cost
        assumptions will be attained and variances could be material. The
        recovery and reserves estimates of crude oil, NGL and natural gas
        reserves provided herein are estimates only and there is no guarantee
        that the estimated reserves will be recovered. Actual crude oil,
        natural gas and NGL reserves may be greater than or less than the
        estimates provided herein.
    

    Based on fourth quarter 2007 average production volume the proved plus
probable reserve life index at December 31, 2007 is 6.5 years, up from 6.0
years compared to December 31, 2006. The majority of reserve growth in 2007
came at Pembina and the Deep Basin where wells typically have long reserve
life. Oil and liquids represent 22 percent of December 31, 2007 reserves, up
from 19 percent at December 31, 2006 as the majority of the reserves added
through 2007 have been from liquids rich natural gas wells in Pembina and the
Deep Basin.
    The following table reconciles the reserve additions from capital
spending, dispositions and revisions to opening estimates.

    
                               RECONCILIATION OF
                           COMPANY INTEREST RESERVES
                          BY BARREL OF OIL EQUIVALENT
              ----------------------------------------------------
                                                  BOE
              ----------------------------------------------------
                                                        Proved
                                          Proved     Plus Probable
                   FACTORS                (Mboe)        (Mboe)
              ----------------------------------------------------

              December 31, 2006            5,393         7,765

              Discoveries                    174           238
              Extensions                   1,691         2,738
              Infill drilling                  -             -
              Technical revisions            191          (259)
              Acquisitions                     -             -
              Dispositions                   (88)         (108)
              Production(1)               (1,358)       (1,358)
              ----------------------------------------------------
              December 31, 2007            6,003         9,016
              ----------------------------------------------------
    

    Berens estimates unaudited 2007 capital spending net of the Marten Hills
disposition ($6.75 million) of $32.9 million including $1.4 million spent on
land. Net future capital as at December 31, 2007 is estimated at $21.2 million
compared to $15.4 million at December 31, 2006. Proved plus probable finding
and development costs for 2007 excluding land capital and including the change
in future development capital of $5.8 million was $13.00 per boe. Including
technical revisions, proved plus probable finding and development costs were
$14.37 per boe in 2007. It should be noted that GLJ did not include 2007
reserve additions for first quarter drilling results in Marten Hills as it was
sold prior to year end. Berens spent $4.6 million in Marten Hills in the first
quarter of 2007 that is included in its 2007 capital spending of
$32.9 million.
    GLJ has also calculated the effects of the Alberta New Royalty Framework
("NRF") on the December 31, 2007 asset value based on low and high case
assumptions as defined by GLJ and other reserve engineering firms in Calgary.
The evaluation established that on a worst case basis, Berens' net asset value
would remain unchanged at $132.7 million on a before tax 10% discount basis.
In the high case, Berens' net asset value would increase by over 3 percent to
$137.0 million. This is consistent with Berens' expectations based on its
current asset mix and GLJ's price assumptions.
    All calculations converting natural gas to crude oil equivalent have been
made using a ratio of six thousand cubic feet ("mcf") of natural gas to one
barrel of crude oil equivalent. Barrels of oil equivalent ("boe") may be
misleading, particularly if used in isolation. A boe conversion ratio of six
mcf of natural gas to one barrel of crude oil equivalent is based on an energy
equivalency conversion method primarily applicable at the burner tip and does
not represent a value equivalency at the wellhead.

    OPERATIONS

    Berens is off to a solid start in 2008 with 3 (1.8 net) successful wells
on three attempts in Pembina and one (0.24 net) cased well on 2 (0.44 wells)
in the Deep Basin. A capital program of $30 million, to be funded from cash
flow is budgeted for 2008. Berens continues to selectively add to its land
position and currently has a land position of 100,000 net undeveloped acres
which will provide all the selected drilling locations for the 2008 capital
program.

    Caution Regarding Forward Looking Information

    This press release contains forward looking information within the
meaning of applicable securities laws. Forward looking statements may include
estimates, plans, expectations, forecasts, guidance or other statements that
are not statements of fact. Forward looking information in this Press Release
includes, but is not limited to, statements with respect to capital
expenditures and related allocations, production volumes, production mix and
commodity prices.
    Forward-looking statements and information are based on current beliefs
as well as assumptions made by and information currently available to Berens
concerning anticipated financial performance, business prospects, strategies
and regulatory developments. Although management considers these assumptions
to be reasonable based on information currently available to it, they may
prove to be incorrect.
    By their very nature, forward-looking statements involve inherent risks
and uncertainties, both general and specific, and risks that predictions,
forecasts, projections and other forward-looking statements will not be
achieved. We caution readers not to place undue reliance on these statements
as a number of important factors could cause the actual results to differ
materially from the beliefs, plans, objectives, expectations and
anticipations, estimates and intentions expressed in such forward-looking
statements. These factors include, but are not limited to: crude oil and
natural gas price volatility, exchange rate and interest rate fluctuations,
availability of services and supplies, market competition, uncertainties in
the estimates of reserves, the timing of development expenditures, production
levels and the timing of achieving such levels, the Company's ability to
replace and increase oil and gas reserves, the sources and adequacy of funding
for capital investments, future growth prospects and current and expected
financial requirements of the Company, the cost of future abandonment and site
restoration, the Company's ability to enter into or renew leases, the
Company's ability to secure adequate product transportation, changes in
environmental and other regulations and general economic conditions.
    The forward-looking statements contained in this press release are made
as of the date of this press release, and Berens does not undertake any
obligation to up-date publicly or to revise any of the included
forward-looking statements, whether as a result of new information, future
events or otherwise. This cautionary statement expressly qualifies the
forward-looking statements contained in this press release.

    %SEDAR: 00020114E




For further information:

For further information: Dell P. Chapman, V.P. Finance & CFO, Ph: (403)
303-3267; Daniel F. Botterill, President & Chief Executive Officer, Ph: (403)
303-3262

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