TriStar Oil & Gas Ltd. announces 2007 year end reserves



    /NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN
    THE UNITED STATES. ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY
    CONSTITUTE A VIOLATION OF U.S. SECURITIES LAW./

    Toronto Stock Exchange Symbol "TOG"

    CALGARY, Feb. 25 /CNW/ - TriStar Oil & Gas Ltd. ("TriStar" or the
"Company") (TSX: TOG) is pleased to provide its 2007 year end reserves
information as evaluated by Sproule Associates Limited ("Sproule"), the
independent reserves evaluator for all of TriStar's oil and natural gas
properties. Sproule prepared the report (the "TriStar Sproule Report") in
accordance with National Instrument 51-101 ("NI 51-101") effective December
31, 2007. As TriStar plans to announce its audited 2007 financial statements
on or about March 11, 2008, certain financial estimates have been made herein
to facilitate discussion of its 2007 capital program. Readers are advised that
these financial estimates are subject to audit and may be revised as
necessary. The results described below do not include the reserves acquired in
the acquisitions of Kinwest Corporation, Bulldog Resources Inc. and Arista
Energy Limited, all of which were announced in the fourth quarter of 2007 but
closed in the first quarter of 2008 (the "2008 Acquisitions").

    
    2007 Highlights

    -   Company interest total proved reserves increased 247 percent to
        31.9 mmboe
    -   Company interest total proved plus probable reserves increased
        240 percent to 51.3 mmboe
    -   Drilled 87 (60.7 net) wells resulting in 73 (48.7 net) crude oil
        wells, 7 (6.1 net) natural gas wells and 1 (1.0 net) stratigraphic
        test well for an overall success rate of 93 percent resulting in the
        addition of 7.9 mmboe of proved plus probable reserves at a cost of
        approximately $109 million, including capitalized G&A
    -   Finding and development ("F&D") costs, excluding future development
        costs ("FDC"), of $13.80 per boe of proved plus probable reserves
        resulting in a recycle ratio of 2.6 times
    -   Completed the acquisition (net of non core dispositions) of
        31.4 mmboe of proved plus probable reserves in 2007, including the
        acquisition of Real Resources Inc. in August 2007
    -   Total finding, development and acquisition ("FD&A") costs, excluding
        FDC, of $19.27 per boe of proved plus probable reserves resulting in
        a recycle ratio of 1.9 times
    -   The before tax net present value (10 percent discount rate) of
        TriStar's reserves grew to $1.0 billion, a 259 percent increase over
        year end 2006

    The efficiency of TriStar's 2007 capital program is summarized as follows:

                                                                    Two Year
                                                                    Average
                                                                    2006 -
                                                   2007      2006      2007
                                                --------- --------- ---------
    Excluding Future Development Costs ("FDC")
    ------------------------------------------
    (unaudited)
    FD&A Costs - Proved ($/boe)(1)
      Exploration and development                 20.22     29.40     22.93
      Acquisitions (net of dispositions)          31.75     32.06     31.84
                                                --------- --------- ---------
      Total                                       29.35     31.47     29.95
                                                --------- --------- ---------
                                                --------- --------- ---------

    FD&A Costs - Proved plus Probable ($/boe)(1)
      Exploration and development                 13.80     17.96     15.13
      Acquisitions (net of dispositions)          20.64     20.55     20.62
                                                --------- --------- ---------
      Total                                       19.27     19.96     19.47
                                                --------- --------- ---------
                                                --------- --------- ---------

    Operating Netback ($/boe)                     36.36     37.63     36.65

    Recycle Ratio - Proved plus Probable           1.9x      1.9x      1.9x


    Including Future Development Costs(2)
    -------------------------------------
    (unaudited)
    FD&A Costs - Proved ($/boe)(1)
      Exploration and development                 26.70     30.88     27.93
      Acquisitions (net of dispositions)          34.59     34.41     34.54
                                                --------- --------- ---------
      Total                                       32.95     33.63     33.14
                                                --------- --------- ---------
                                                --------- --------- ---------

    FD&A Costs - Proved plus Probable ($/boe)(1)
      Exploration and development                 18.79     20.66     19.39
      Acquisitions (net of dispositions)          23.45     23.19     23.38
                                                --------- --------- ---------
      Total                                       22.52     22.61     22.55
                                                --------- --------- ---------
                                                --------- --------- ---------

    Recycle Ratio - Proved plus Probable           1.6x      1.7x      1.6x

    (1.) Includes capitalized G&A of $4.9 million.
    (2.) FDC discounted by 10 percent.
    

    TriStar 2007 Reserves Information

    Sproule prepared the TriStar Sproule Report in accordance with NI 51-101.
This report evaluated 100 percent of TriStar's oil, natural gas, and natural
gas liquids reserves as at December 31, 2007. The tables below disclose in the
aggregate, TriStar's gross and net proved and proved plus probable reserves
and before tax net present value ("NPV") of future net revenue attributable to
such reserves as estimated in the TriStar Sproule Report. These estimates were
calculated using forecast prices and costs.
    "Forecast prices and costs" means future prices and costs used by Sproule
in the TriStar Sproule Report that are generally accepted as being a
reasonable outlook of the future, or, fixed or currently determinable future
prices or costs to which the Company is bound.
    "Company Interest" reserves represent those reserves which are the
Company's working interest (operating or non-operating) share before deduction
of royalties and including any royalty interests of the Company.
    "Working Interest" reserves represent those reserves that are referred to
as "Gross" reserves by the Canadian Securities Administrators ("CSA") in NI
51-101, which are the Company's working interest (operating or non-operating)
share before deduction of royalties and without including any royalty
interests of the Company.
    "Total Net" reserves represent those reserves that are referred to as
"Net" reserves by the CSA in NI 51-101, which are the Company's working
interest (operating or non-operating) share after deduction of royalty
obligations plus the Company's royalty interests in reserves.
    The before tax net present value of future net revenue attributable to
TriStar's reserves is stated without provision for interest costs and general
and administrative costs, but after providing for estimated royalties,
production costs, development costs, other income, future capital
expenditures, and well abandonment costs for only those wells assigned
reserves by Sproule. It should not be assumed that the undiscounted or
discounted before tax net present value of future net revenue attributable to
TriStar's reserves estimated by Sproule represent the fair market value of
those reserves. The estimates of reserves and future net revenue for
individual properties may not reflect the same confidence level as estimates
of reserves and future net revenue for all properties, due to effects of
aggregations. The recovery and reserve estimates of TriStar's oil, natural
gas, and NGL reserves provided herein are estimates only and there is no
guarantee that the estimated reserves will be recovered. Actual reserves may
be greater than or less than the estimates provided herein. The tables below
do not include the reserves acquired in the 2008 Acquisitions.

    
    Summary of Reserves and Values
                                                                       Total
                                                                      Proved
                                 Proved        Total      Total         plus
                              Producing       Proved   Probable     Probable
    -------------------------------------------------------------------------

    -------------------------------------------------------------------------
    Light/Medium Oil (mbbls)
    Company Interest           13,717.0     18,432.0   12,161.8     30,593.9
    Working Interest           13,701.7     18,414.2   12,154.2     30,568.4
    Total Net                  11,985.3     16,015.2   10,624.1     26,639.3

    Natural Gas (mmcf)
    Company Interest           47,396.5     66,372.4   36,995.9    103,368.3
    Working Interest           47,033.2     65,929.2   36,758.0    102,687.2
    Total Net                  37,872.2     53,488.3   29,596.4     83,084.7

    Natural Gas Liquids (mbbls)
    Company Interest            1,842.4      2,390.8    1,049.9      3,440.7
    Working Interest            1,823.8      2,370.4    1,039.0      3,409.4
    Total Net                   1,491.3      1,934.9      782.0      2,717.0

    Oil Equivalent (mboe)
    Company Interest           23,458.8     31,885.0   19,377.7     51,262.6
    Working Interest           23,364.4     31,772.8   19,319.5     51,092.3
    Total Net                  19,788.6     26,864.9   16,338.8     43,203.7
    -------------------------------------------------------------------------

    -------------------------------------------------------------------------
    Before Tax Net Present
     Value ($M)
    -------------------------------------------------------------------------
    Discounted @
    0%                        800,951.7  1,017,983.2  736,945.4  1,754,928.5
    5%                        653,135.9    815,004.1  460,375.4  1,275,379.5
    10%                       558,170.8    683,804.1  322,992.6  1,006,796.7
    15%                       491,638.5    591,937.7  243,643.0    835,580.6
    -------------------------------------------------------------------------

    The above summary of reserves and values was based on the following price
and cost assumptions:

    Summary of Pricing and Inflation Rate Assumptions (Forecast Prices and
Costs) Sproule (December 31, 2007)



                      Edmonton     Cromer
             WTI     Par Price     Medium    Natural Gas
           Cushing   40 degree  29.3 degree   AECO Spot  Inflation  Exchange
          Oklahoma      API         API         Price      Rate      Rate
    Year  ($US/bbl)  ($Cdn/bbl)  ($Cdn/bbl) ($Cdn/mmbtu) (%/year) ($US/$Cdn)
    -------------------------------------------------------------------------
    2008    $89.61      $88.17      $75.83      $6.51      2.0%     $1.000
    2009    $86.01      $84.54      $72.71      $7.22      2.0%     $1.000
    2010    $84.65      $83.16      $71.52      $7.69      2.0%     $1.000
    2011    $82.77      $81.26      $69.89      $7.70      2.0%     $1.000
    2012    $82.26      $80.73      $69.43      $7.61      2.0%     $1.000
    2013    $82.81      $81.25      $69.88      $7.78      2.0%     $1.000
    2014    $84.46      $82.88      $71.28      $7.96      2.0%     $1.000
    2015    $86.15      $84.55      $72.71      $8.14      2.0%     $1.000
    2016    $87.87      $86.25      $74.17      $8.32      2.0%     $1.000
    2017    $89.63      $87.98      $75.66      $8.51      2.0%     $1.000
    There-    +2%/        +2%/        +2%/       +2%/      +2%/     $1.000
    after     year        year        year       year      year
    -------------------------------------------------------------------------
    

    Impact of Royalty Review

    On October 25, 2007, the Government of Alberta announced a "New Royalty
Framework" for oil and natural gas royalties in the province of Alberta. New
royalty rates will apply to all production effective January 1, 2009. TriStar
has requested that Sproule estimate the impact to the reserve evaluation based
upon the currently released information on the new royalty regime. As of
December 31, 2007, the province had not introduced the enabling legislation
nor had they provided enough clarity on a number of issues for Sproule to
provide a precise calculation of net reserves and before tax net present value
under the new regime. It is possible that the announced changes may be amended
before coming into force. Under the forecast price assumptions, Sproule has
estimated that the change to the before tax net present value, discounted at
10 percent, of the net future net revenue from proved plus probable reserves
would be a reduction of approximately 2.9 percent, as at December 31, 2007. As
the assets acquired in 2008 Acquisitions are primarily located in southeast
Saskatchewan, they will not be impacted by the New Royalty Framework.

    TriStar Oil & Gas Ltd. is a Calgary based company active in the
acquisition, exploration, development and production of crude oil and natural
gas in Western Canada.

    -------------------------------------------------------------------------
    Meaning of Boe and Boepd

    When used in this press release, boe means a barrel of oil equivalent on
    the basis of 1 boe to 6 thousand cubic feet of natural gas. Boepd means
    a barrel of oil equivalent per day.

    Boe's may be misleading, particularly if used in isolation. A boe
    conversion ratio of 1 boe for 6 thousand cubic feet of natural gas is
    based on an energy equivalency conversion method primarily applicable at
    the burner tip and does not represent a value equivalency at the
    wellhead.

    This press release shall not constitute an offer to sell or the
    solicitation of an offer to buy the securities in any jurisdiction. The
    common shares offered have not and will not be registered under the
    United States Securities Act of 1933, as amended (the "U.S. Securities
    Act") or any state securities laws and many not be offered or sold in the
    United States except in certain transactions exempt from the registration
    requirements of the U.S. Securities Act and applicable states securities
    laws.
    -------------------------------------------------------------------------

    THE TORONTO STOCK EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT
    RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

    %SEDAR: 00025796E




For further information:

For further information: Brett Herman, President and Chief Executive
Officer, TriStar Oil & Gas Ltd., Telephone: (403) 268-7800, Facsimile: (403)
218-6075; Jason J. Zabinsky, Vice President, Finance and Chief Financial
Officer, TriStar Oil & Gas Ltd., Telephone: (403) 268-7800, Facsimile: (403)
218-6075

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