True Energy reports year-end reserves, net asset value and land holdings



    TSX: TUI.UN

    CALGARY, March 6 /CNW/ - True Energy Trust ("True" or the "Trust")
announces the results of its 2007 year-end reserves as evaluated by GLJ
Petroleum Consultants Ltd. ("GLJ"), the independent reserves evaluator, for
100% of True's oil and gas properties in accordance with National Instrument
51-101 ("NI 51-101").

    HIGHLIGHTS

    True reports the following highlights of the Trust's reserves and
undeveloped land at December 31, 2007 in comparison to the prior year end,
including:

    
    -   Replaced 99% of annual production, after dispositions
    -   Finding and development costs excluding acquisitions and future
        development costs of $17.40/boe
    -   Finding and development costs of $21.10/boe including future
        development costs and acquisitions net of dispositions
    -   Undeveloped land holdings of 537,800 net acres at December 31, 2007
    

    RESERVES

    Reserves, at December 31, 2007, as evaluated by GLJ, are summarized below
and in the following tables. The Trust believes, as its assets continue to
mature, as steam assisted gravity drainage ("SAGD") at Kerrobert is further
implemented and as the tight gas in west central Alberta begins to demonstrate
harmonic decline behaviour, that positive revisions to the reserve base could
occur.
    True reduced its 2007 capital program in Western Canada in response to
high costs and weak prices. 2007 capital expenditures excluding acquisitions
are estimated to have been $56.3 million net of minor dispositions.
    At December 31, 2007 the Trust's proved and probable working interest
reserves, using forecast prices and costs, were 45,405 mboe, a decrease of
6.7% compared to 48,665 mboe at December 31, 2006. By commodity type, natural
gas makes up 58%, heavy oil 30%, and light oil and natural gas liquids 12%. At
December 31, 2007, True's total proved working interest reserves were
27,587 mboe, a decrease of 11% compared to 31,085 mboe at December 31, 2006.
Proved producing reserves declined 6% to 22,905 mboe over the year.
    True's average production for 2007 is estimated to be 16,139 boe/d,
weighted 67% toward natural gas, 21% toward heavy oil with the 12% balance
being light oil and natural gas liquids. After giving recognition to property
dispositions in 2007, proved and probable working interest reserve additions
in 2007 replaced approximately 99% of production.

    
    Summary of Oil and Gas Company Interest(1) Reserves(2) (Gross + Royalties
    Receivable)

    Forecast Prices and Costs
    -------------------------------------------------------------------------
                                  As At December 31, 2007              As at
                                                                     Dec. 31,
                                                                        2006
                       Natural    Heavy    Light              Total    Total
                         Gas(3)     Oil      and  Natural
                                          Medium      Gas
                                             Oil  Liquids
                                                             (mboe,    (mboe,
                         (mmcf)   (mbbl)   (mbbl)   (mbbl)     6:1)      6:1)
    -------------------------------------------------------------------------
    Proved
      Developed
       producing         84,798    6,212    1,487    1,247   23,079   24,553
      Developed
       non-producing      9,258        0       29       85    1,656    1,552
      Undeveloped         7,387    1,411      249      135    3,027    5,167
    -------------------------------------------------------------------------
    Total proved        101,443    7,623    1,765    1,467   27,762   31,271
    Probable             58,640    6,195      893    1,012   17,873   17,642
    -------------------------------------------------------------------------
    Proved plus
     probable,
     producing          113,290    8,183    1,959    1,682   30,706   32,230
    -------------------------------------------------------------------------
    Total proved plus
     probable           160,083   13,817    2,659    2,479   45,635   48,913
    -------------------------------------------------------------------------
    (1) "Company Interest" means True's working interest (operated or non
        operated) share before deduction of royalties but after including any
        royalty interests of True.
    (2) May not add due to rounding
    (3) Includes 1,812 MMcf of total proved and 2,398 Gross MMcf total proved
        plus probable assigned to natural gas from coal reserves.


    Summary of Oil and Gas Working Interest(1) Reserves(2) (Gross)

    Forecast Prices and Costs
    -------------------------------------------------------------------------
                                  As At December 31, 2007              As at
                                                                     Dec. 31,
                                                                        2006
                       Natural    Heavy    Light              Total    Total
                         Gas(3)     Oil      and  Natural
                                          Medium      Gas
                                             Oil  Liquids
                                                             (mboe,    (mboe,
                         (mmcf)   (mbbl)   (mbbl)   (mbbl)     6:1)      6:1)
    -------------------------------------------------------------------------
    Proved
      Developed
       producing         84,208    6,190    1,443    1,237   22,905   24,368
      Developed
       non-producing      9,256        0       29       85    1,656    1,551
      Undeveloped         7,384    1,411      249      135    3,026    5,166
    -------------------------------------------------------------------------
    Total proved        100,848    7,601    1,721    1,456   27,587   31,085
    Probable             58,416    6,191      885    1,007   17,819   17,580
    -------------------------------------------------------------------------
    Proved plus
     probable,
     producing          112,528    8,158    1,906    1,669   30,488   31,995
    -------------------------------------------------------------------------
    Total proved plus
     probable           159,264   13,792    2,606    2,464   45,405   48,665
    -------------------------------------------------------------------------
    (1) "Working Interest" means True's working interest (operated or non
        operated) share before deduction of royalties and without including
        any royalty interests of True. Also referred to as "Gross" reserves
        under NI 51-101.
    (2) May not add due to rounding
    (3) Includes 1,812 MMcf of total proved and 2,398 Gross MMcf total proved
        plus probable assigned to natural gas from coal reserves



    Summary of Oil and Gas Net Reserves(1),(2) (Net)

    Forecast Prices and Costs
    -------------------------------------------------------------------------
                                  As At December 31, 2007              As at
                                                                     Dec. 31,
                                                                        2006
                       Natural    Heavy    Light              Total    Total
                         Gas(3)     Oil      and  Natural
                                          Medium      Gas
                                             Oil  Liquids
                                                             (mboe,    (mboe,
                         (mmcf)   (mbbl)   (mbbl)   (mbbl)     6:1)      6:1)
    -------------------------------------------------------------------------
    Proved
      Developed
       producing         68,186    5,231    1,326      821   18,742   19,796
      Developed
       non-producing      7,504        0       26       55    1,332    1,204
      Undeveloped         5,983    1,208      223       89    2,517    4,280
    -------------------------------------------------------------------------
    Total proved         81,672    6,439    1,575      965   22,591   25,279
    Probable             47,262    5,316      776      663   14,631   14,273
    -------------------------------------------------------------------------
    Proved plus
     probable,
     producing           91,317    6,889    1,736    1,105   24,949   26,020
    -------------------------------------------------------------------------
    Total proved plus
     probable           128,934   11,755    2,350    1,628   37,222   39,552
    -------------------------------------------------------------------------
    (1) "Net" means True's working interest (operated or non operated) share
        after deduction of royalty obligations, plus True's royalty interests
        in reserves.
    (2) May not add due to rounding
    (3) Includes 1,485 MMcf of total proved and 1,969 Gross MMcf total proved
        plus probable assigned to natural gas from coal reserves


    RESERVES RECONCILIATION
    COMPANY INTEREST(1),(2) (Gross + Royalties Receivable)

                                  Light and
                                     Medium      Heavy      Total
                                  Crude Oil  Crude Oil  Crude Oil       NGLs
                                      (mbbl)     (mbbl)     (mbbl)     (mbbl)
    -------------------------------------------------------------------------
    PROVED PRODUCING
    Opening Balance                   1,639      4,308      5,948      1,382
      Discoveries                        10          0         10          1
      Extensions                        202        470        673         34
      Infill Drilling                     0          0          0         44
      Improved Recovery                   0      2,915      2,915          0
      Technical Revisions               190        (79)       111        214
      Acquisitions                        0         73         73          0
      Dispositions                     (257)      (218)      (475)      (121)
      Economic Factors                   25         34         59         23
      Production                       (323)    (1,292)    (1,615)      (330)
    Closing Balance                   1,487      6,212      7,699      1,247
    -------------------------------------------------------------------------
    TOTAL PROVED
    Opening Balance                   2,001      8,241     10,242      1,576
      Discoveries                        10          0         10          1
      Extensions                        241        542        783         99
      Infill Drilling                     0          0          0         87
      Improved Recovery                   0          0          0          0
      Technical Revisions               179        284        463        143
      Acquisitions                        0         73         73          0
      Dispositions                     (372)      (249)      (621)      (137)
      Economic Factors                   30         23         53         28
      Production                       (323)    (1,292)    (1,615)      (330)
    Closing Balance                   1,765      7,623      9,388      1,467
    -------------------------------------------------------------------------
    PROBABLE
    Opening Balance                   1,071      4,810      5,880        944
      Discoveries                         4          0          4          1
      Extensions                         99         94        194        143
      Infill Drilling                     0          0          0        111
      Improved Recovery                   0      1,669      1,669          0
      Technical Revisions               (80)      (315)      (395)      (149)
      Acquisitions                        0         57         57          4
      Dispositions                     (201)      (128)      (329)       (53)
      Economic Factors                    1          8          9         12
      Production                          0          0          0          0
    Closing Balance                     893      6,195      7,088      1,012
    -------------------------------------------------------------------------
    PROVED PLUS PROBABLE
    Opening Balance                   3,071     13,051     16,122      2,519
      Discoveries                        14          0         14          2
      Extensions                        340        636        976        242
      Infill Drilling                     0          0          0        198
      Improved Recovery                   0      1,669      1,669          0
      Technical Revisions                99        (31)        68         (6)
      Acquisitions                        0        130        130          4
      Dispositions                     (574)      (377)      (950)      (190)
      Economic Factors                   31         31         62         40
      Production                       (323)    (1,292)    (1,615)      (330)
    Closing Balance                   2,659     13,817     16,476      2,479
    -------------------------------------------------------------------------

                               Conventional    Natural      Total
                                    Natural   Gas from    Natural        Oil
                                        Gas       Coal        Gas  Equivalent
                                      (mmcf)     (mmcf)     (mmcf)     (mboe)
    -------------------------------------------------------------------------
    PROVED PRODUCING
    Opening Balance                 101,831      1,505    103,336     24,552
      Discoveries                        36          0         36         17
      Extensions                      1,667        235      1,902      1,024
      Infill Drilling                 1,360          0      1,360        270
      Improved Recovery                 129        167        296      2,964
      Technical Revisions             6,677        160      6,838      1,467
      Acquisitions                      132          0        132         95
      Dispositions                   (5,400)         0     (5,400)    (1,496)
      Economic Factors                  (31)         0        (31)        77
      Production                    (23,416)      (255)   (23,671)    (5,891)
    Closing Balance                  82,986      1,812     84,798     23,079
    -------------------------------------------------------------------------
    TOTAL PROVED
    Opening Balance                 115,049      1,673    116,722     31,271
      Discoveries                        36          0         36         17
      Extensions                      3,690        235      3,925      1,536
      Infill Drilling                 2,428          0      2,428        491
      Improved Recovery                  65          0         65         11
      Technical Revisions             7,782        159      7,941      1,931
      Acquisitions                      132          0        132         95
      Dispositions                   (6,107)         0     (6,107)    (1,776)
      Economic Factors                  (28)         0        (28)        77
      Production                    (23,416)      (255)   (23,671)    (5,891)
    Closing Balance                  99,631      1,812    101,443     27,762
    -------------------------------------------------------------------------
    PROBABLE
    Opening Balance                  64,014        891     64,905     17,642
      Discoveries                        16          0         16          7
      Extensions                      4,643       (235)     4,408      1,071
      Infill Drilling                 2,930          0      2,930        600
      Improved Recovery                  15          0         15      1,671
      Technical Revisions           (11,369)       (70)   (11,439)    (2,451)
      Acquisitions                      402          0        402        128
      Dispositions                   (2,579)         0     (2,579)      (812)
      Economic Factors                  (18)         0        (18)        17
      Production                          0          0          0          0
    Closing Balance                  58,054        586     58,640     17,873
    -------------------------------------------------------------------------
    PROVED PLUS PROBABLE
    Opening Balance                 179,063      2,564    181,627     48,913
      Discoveries                        52          0         52         24
      Extensions                      8,332          0      8,332      2,607
      Infill Drilling                 5,358          0      5,358      1,091
      Improved Recovery                  80          0         80      1,682
      Technical Revisions            (3,587)        90     (3,497)      (520)
      Acquisitions                      534          0        534        223
      Dispositions                   (8,686)         0     (8,686)    (2,588)
      Economic Factors                  (46)         0        (46)        94
      Production                    (23,416)      (255)   (23,671)    (5,891)
    Closing Balance                 157,685      2,398    160,083     45,635
    -------------------------------------------------------------------------
    (1) "Company Interest" means True's working interest (operated or non
        operated) share before deduction of royalties but after including any
        royalty interests of True.
    (2) Based on forecast prices and costs.


    RESERVES RECONCILIATION
    WORKING INTEREST(1) (Gross)
                                  Light and
                                     Medium      Heavy      Total
                                  Crude Oil  Crude Oil  Crude Oil       NGLs
                                      (mbbl)     (mbbl)     (mbbl)     (mbbl)
    -------------------------------------------------------------------------
    PROVED PRODUCING
    Opening Balance                   1,601      4,282      5,883      1,375
      Discoveries                        10          0         10          1
      Extensions                        202        470        673         34
      Infill Drilling                     0          0          0         43
      Improved Recovery                   0      2,915      2,915          0
      Technical Revisions               182        (79)       104        211
      Acquisitions                        0         73         73          0
      Dispositions                     (256)      (218)      (473)      (121)
      Economic Factors                   25         34         59         23
      Production                       (322)    (1,288)    (1,610)      (328)
    Closing Balance                   1,443      6,190      7,633      1,237
    -------------------------------------------------------------------------
    TOTAL PROVED
    Opening Balance                   1,963      8,214     10,177      1,568
      Discoveries                        10          0         10          1
      Extensions                        241        542        783         99
      Infill Drilling                     0          0          0         87
      Improved Recovery                   0          0          0          0
      Technical Revisions               171        284        456        138
      Acquisitions                        0         73         73          0
      Dispositions                     (372)      (248)      (620)      (137)
      Economic Factors                   30         23         53         28
      Production                       (322)    (1,288)    (1,610)      (328)
    Closing Balance                   1,721      7,601      9,322      1,456
    -------------------------------------------------------------------------
    PROBABLE
    Opening Balance                   1,063      4,805      5,868        940
      Discoveries                         4          0          4          0
      Extensions                         99         94        194        143
      Infill Drilling                     0          0          0        111
      Improved Recovery                   0      1,669      1,669          0
      Technical Revisions               (82)      (314)      (395)      (150)
      Acquisitions                        0         57         57          4
      Dispositions                     (201)      (128)      (329)       (53)
      Economic Factors                    1          8          9         12
      Production                          0          0          0          0
    Closing Balance                     885      6,191      7,075      1,007
    -------------------------------------------------------------------------
    PROVED PLUS PROBABLE
    Opening Balance                   3,026     13,019     16,045      2,508
      Discoveries                        14          0         14          1
      Extensions                        340        636        976        242
      Infill Drilling                     0          0          0        198
      Improved Recovery                   0      1,669      1,669          0
      Technical Revisions                90        (29)        60        (11)
      Acquisitions                        0        130        130          4
      Dispositions                     (573)      (376)      (949)      (190)
      Economic Factors                   31         31         62         40
      Production                       (322)    (1,288)    (1,610)      (328)
    Closing Balance                   2,606     13,792     16,398      2,464
    -------------------------------------------------------------------------


                               Conventional    Natural      Total
                                    Natural   Gas from    Natural        Oil
                                        Gas       Coal        Gas  Equivalent
                                      (mmcf)     (mmcf)     (mmcf)     (mboe)
    -------------------------------------------------------------------------
    PROVED PRODUCING
    Opening Balance                 101,155      1,505    102,660     24,387
      Discoveries                        29          0         29         16
      Extensions                      1,667        235      1,902      1,024
      Infill Drilling                 1,323          0      1,323        263
      Improved Recovery                 129        167        296      2,964
      Technical Revisions             6,650        160      6,810      1,450
      Acquisitions                      132          0        132         95
      Dispositions                   (5,389)         0     (5,389)    (1,493)
      Economic Factors                  (31)         0        (31)        77
      Production                    (23,270)      (255)   (23,526)    (5,858)
    Closing Balance                  82,396      1,812     84,208     22,905
    -------------------------------------------------------------------------
    TOTAL PROVED
    Opening Balance                 114,365      1,673    116,038     31,085
      Discoveries                        29          0         29         16
      Extensions                      3,690        235      3,925      1,536
      Infill Drilling                 2,428          0      2,428        491
      Improved Recovery                  65          0         65         11
      Technical Revisions             7,722        159      7,881      1,907
      Acquisitions                      132          0        132         95
      Dispositions                   (6,096)         0     (6,096)    (1,773)
      Economic Factors                  (28)         0        (28)        77
      Production                    (23,270)      (255)   (23,526)    (5,858)
    Closing Balance                  99,036      1,812    100,848     27,587
    -------------------------------------------------------------------------
    PROBABLE
    Opening Balance                  63,741        891     64,632     17,580
      Discoveries                        13          0         13          7
      Extensions                      4,638       (235)     4,403      1,070
      Infill Drilling                 2,930          0      2,930        600
      Improved Recovery                  15          0         15      1,671
      Technical Revisions           (11,330)       (70)   (11,399)    (2,446)
      Acquisitions                      402          0        402        128
      Dispositions                   (2,561)         0     (2,561)      (809)
      Economic Factors                  (18)         0        (18)        17
      Production                          0          0          0          0
    Closing Balance                  57,830        586     58,416     17,818
    -------------------------------------------------------------------------
    PROVED PLUS PROBABLE
    Opening Balance                 178,106      2,564    180,670     48,665
      Discoveries                        42          0         42         23
      Extensions                      8,327          0      8,327      2,606
      Infill Drilling                 5,358          0      5,358      1,091
      Improved Recovery                  80          0         80      1,682
      Technical Revisions            (3,608)        90     (3,518)      (539)
      Acquisitions                      534          0        534        223
      Dispositions                   (8,658)         0     (8,658)    (2,582)
      Economic Factors                  (46)         0        (46)        94
      Production                    (23,270)      (255)   (23,526)    (5,858)
    Closing Balance                 156,866      2,398    159,264     45,405
    -------------------------------------------------------------------------
    (1) "Working Interest" means True's working interest (operated or non
        operated) share before deduction of royalties and without including
        any royalty interest of True. Also referred to as "Gross" reserves
        under NI 51-101.
    

    NET PRESENT VALUE OF FUTURE NET REVENUE

    The forecast prices used in GLJ's reserve report effective December 31,
2007 (the "GLJ Report") were an average of the forecast prices published by
GLJ, Sproule Associates Limited and McDaniel & Associates Consultants Ltd. as
at January 1, 2008 (the "Consultants' Average Forecast Prices"). In the GLJ
Report the forecast prices used were the average of the same firms' published
forecast prices and costs as at January 1, 2008 prior to provision for
interest, debt service charges and general and administrative expenses. It
should not be assumed that the net present values of future net production
revenues estimated by GLJ represent the fair market value of the reserves.
    The estimated future net revenues are stated before deducting future
estimated site restoration costs but reduced for estimated future abandonment
costs, the Saskatchewan Capital Tax and estimated capital for future
development associated with the reserves. In the GLJ Report, the net total
future capital over the life of the reserves associated with the proved
reserves is $56.58 million ($48.55 million discounted at 10%) and
$125.30 million ($105.55 million discounted at 10%) for the total proved plus
probable reserves.

    
    Summary of Net Present Values of Future Net Revenue(1),(2)
    Forecast Prices and Costs ($000s)
    Before Income Taxes, Discounted at (%/year)
    -------------------------------------------------------------------------
    As at December 31, 2007           0%       5%      10%      15%      20%
    -------------------------------------------------------------------------
    Proved
      Developed producing        505,596  420,656  362,958  321,103  289,284
      Developed non-producing     38,419   25,824   19,223   15,319   12,750
      Undeveloped                 43,603   32,295   24,273   18,416   14,029
                                 --------------------------------------------
    Total proved                 587,618  478,775  406,454  354,849  316,063
    Probable                     386,812  259,441  189,666  146,550  117,616
                                 --------------------------------------------
    Proved Plus Probable
     Producing                   700,851  547,111  454,135  391,715  346,732
                                 --------------------------------------------
    Total proved plus probable   974,431  738,216  596,120  501,389  433,679
    -------------------------------------------------------------------------
    (1) May not add due to rounding.
    (2) The net present values reflected in the above table have been
        determined using the existing Alberta royalty regime, as the New
        Royalty Framework as announced by the Alberta Government has not yet
        been enacted. See "Alberta Royalty Framework".
    

    The following table provides an estimate of the net present value of
future net revenue on an after tax basis assuming that True would be subject
to the equivalent of corporate income tax on its income beginning in 2011 and
assumes that True continues to distribute all of its trust level income to its
unitholders and continues to operate in its current structure. It should be
noted that this estimate does not take into account any corporate tax
deductions such as interest and general and administrative expenses or for any
tax pools generated by capital expenditures beyond what exists in the GLJ
forecast. Details of True's tax pools at year-end 2007 are presented in the
MD&A section of the year-end financial results news release dated March 6,
2008.

    
    Summary of Net Present Values of Future Net Revenue(1),(2)
    Forecast Prices and Costs ($000s)
    After Income Taxes, Discounted at (%/year)
    -------------------------------------------------------------------------
    As at December 31, 2007           0%       5%      10%      15%      20%
    -------------------------------------------------------------------------
    Proved
      Developed producing        505,596  420,656  362,958  321,103  289,284
      Developed non-producing     38,419   25,824   19,223   15,319   12,750
      Undeveloped                 43,603   32,295   24,273   18,416   14,029
                                 --------------------------------------------
    Total proved                 587,618  478,775  406,454  354,839  316,063
    Probable                     379,084  256,890  188,732  146,180  117,460
                                 --------------------------------------------
    Proved Plus Probable
     Producing                   700,851  547,111  454,135  391,715  346,732
                                 --------------------------------------------
    Total proved plus probable   966,702  735,664  595,186  501,019  433,522
    -------------------------------------------------------------------------
    (1) May not add due to rounding.
    (2) The net present values reflected in the above table have been
        determined using the existing Alberta royalty regime, as the New
        Royalty Framework as announced by the Alberta Government has not yet
        been enacted. See "Alberta Royalty Framework".

    The following is a summary of the Consultants' Average Forecast Prices as
at December 31, 2007:

                        OIL
           -----------------------------
                     Edmonton  Hardisty  NATURAL   NATURAL
                    Par Price     Heavy      GAS       GAS
                WTI        40        12     AECO   LIQUIDS
    Year    Cushing   degrees   degrees    Price        at INFLATION EXCHANGE
    Fore-  Oklahoma       API       API   ($Cdn/  Edmonton  RATES(1)  RATE(2)
    cast   ($US/Bbl)($Cdn/Bbl)($Cdn/Bbl)   MMBtu)($Cdn/Bbl) %/Year ($US/$Cdn)
    -------------------------------------------------------------------------
    2008      90.54     89.42     54.66     6.69     91.41       0     1.000
    2009      86.90     85.78     52.41     7.38     87.71       2     1.000
    2010      83.95     82.82     50.42     7.56     84.74       2     1.000
    2011      81.46     80.29     49.02     7.56     82.18       2     1.000
    2012      80.92     79.74     48.68     7.57     81.67       2     1.000
    2013      80.70     79.52     48.87     7.69     81.44       2     1.000
    2014      81.75     80.56     49.86     7.91     82.54       2     1.000
    2015      82.85     81.65     50.89     8.11     83.64       2     1.000
    2016      83.96     82.72     51.93     8.30     84.72       2     1.000
    2017      85.66     84.41     52.98     8.51     86.47       2     1.000
    2018      87.35     86.09     54.03     8.69     88.17       2     1.000
    2019      89.10     87.81     55.10     8.89     89.96       2     1.000
    2020      90.90     89.56     56.21     9.10     91.73       2     1.000
    2021      92.73     91.37     57.34     9.30     93.60       2     1.000
    2022      94.58     93.20     58.49     9.50     95.46       2     1.000
    There-
    after  +2%/year  +2%/year  +2%/year  +2%/year  +2%/year      2     1.000
    -------------------------------------------------------------------------
    (1) Inflation rates for forecasting prices and costs
    (2) Exchange rates used to generate the benchmark reference prices in
        this table
    (3) Natural Gas Liquids is represented by the pentanes plus price.
    

    Weighted average historical prices realized by True (before hedging) for
the year ended December 31, 2007, were $6.73/Mcf for natural gas, $72.11/Bbl
for light and medium gravity crude oil, $40.05/Bbl for heavy oil and
$48.20/Bbl for natural gas liquids.

    ALBERTA ROYALTY FRAMEWORK

    On October 25, 2007, the Alberta Government announced its intention to
increase royalty rates commencing on January 1, 2009. 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 GLJ to provide a precise calculation
of reserves and net present value of future net revenues under the New Royalty
Framework ("NRF"). However, GLJ did provide analysis of the proposed royalty
regime, based on a high and low sensitivity to the NRF utilizing the
Consultants' Consensus Methodology recommended by the Society of Petroleum
Engineers, Calgary Chapter (the "Consensus Methodology"). Based on currently
available public information, the net present value of future net revenue of
proved and probable reserves based on the high scenario at a 10% discount rate
using the Consultants' Average Forecast Prices would be $8.9 million or 1.5
percent higher and $1.9 million or 0.33% percent higher based on the NRF for
the low scenario, in each case than stated in the previous tables. The
proposed royalty changes are very sensitive to production rate and natural gas
prices. The majority of True's current Alberta wells are in the 500m to 1,000m
depth range and typically produce at lower rates. The overall impact of the
new Alberta royalty regime, as currently announced, is mitigated by the
Trust's current Saskatchewan properties and the lower shallow gas Alberta
natural gas rate royalty production in True's Alberta conventional oil and gas
production portfolio. The NRF will impact future drilling decisions in order
for the Trust to maintain acceptable rates of return on its capital deployed.
The Alberta Government has stated that they are reviewing with industry the
proposed royalty changes to ensure that there are no unintended consequences
resulting from the royalty changes. It is not known at this time whether any
further revisions to the proposals will be made nor what their impact may be.

    NET ASSET VALUE

    The following table of net asset value is based on the GLJ evaluation of
future net revenue, which does not represent fair market value and does not
take into account possible reserve additions from reinvestment of cash flow in
existing properties.

    
    Net Asset Value
    Proved plus Probable
    ($000's except acre, unit and per unit amounts)
    -------------------------------------------------------------------------
                                   PW 0%    PW 5%   PW 10%   PW 15%   PW 20%
    -------------------------------------------------------------------------
    Reserves(1)                  974,400  738,200  596,100  501,400  433,700

    Undeveloped Lands(2)          59,700   59,700   59,700   59,700   59,700
    Effect of New Alberta
     Royalty Framework(3)         16,000   11,900    8,900    6,700    5,200

    Net Debt(4)                 (251,200)(251,200)(251,200)(251,200)(251,200)
                                ---------------------------------------------
    Net asset value              798,900  558,600  413,500  316,600  274,400
    -------------------------------------------------------------------------

    No. units 79.216 million

    $ / unit                       10.09     7.05     5.22     4.00     3.12
    Fully diluted with
     exchangeables(5)              10.04     7.02     5.20     3.98     3.11
    -------------------------------------------------------------------------
    (1) As evaluated by GLJ as at December 31, 2007 based on forecast prices
        and costs
    (2) As estimated by True as at December 31, 2007 on 537,879 net acres of
        undeveloped land at $111/acre. Based on an independent land
        evaluation.
    (3) Based on a high sensitivity to the NRF utilizing the Consensus
        Methodology.
    (4) Long term debt net of working capital excluding unrealized commodity
        contract losses as at December 31, 2007, including debt portion of
        convertible debentures.
    (5) Based on 79.552 million units outstanding, after giving effect to
        exchange of all exchangeable shares for units based on the exchange
        ratio in effect on December 31, 2007 of 0.8604 units for each
        exchangeable share. The number of units issuable on conversion of
        exchangeable shares is adjusted for accumulated distributions on
        units.
    -------------------------------------------------------------------------


    FINDING, DEVELOPMENT AND ACQUISITION COSTS(1)
    PROVED PLUS PROBABLE
    -------------------------------------------------------------------------
                                                                        2005
                                                                      - 2007
                                             2007     2006     2005      Avg.
    -------------------------------------------------------------------------
    Excluding Future Development Costs
    FD&A Costs Proved plus Probable
     ($/boe)
      Exploration and development(2)        17.40    17.30    20.60    18.50
      Acquisitions (net of
       dispositions)(3)                    (12.70)   27.00    32.30    30.70
                                           ----------------------------------
      Total (after deducting dispositions)  21.60    24.60    29.00    26.30
                                           ----------------------------------
    Including Future Development Costs(2)
    FD&A costs - Proved plus Probable
     ($/boe)
      Exploration and development           17.10    26.80    30.00    25.00
      Acquisitions (net of
       dispositions)(3)                    (12.70)   27.00    32.30    30.70
                                           ----------------------------------
      Total (after deducting dispositions)  21.10    26.90    31.70    28.60
    -------------------------------------------------------------------------


    FINDING, DEVELOPMENT AND ACQUISITION COSTS(1)
    PROVED
    -------------------------------------------------------------------------
                                                                        2005
                                                                      - 2007
                                             2007     2006     2005      Avg.
    -------------------------------------------------------------------------
    Excluding Future Development Costs
    FD&A Costs Proved ($/boe)
      Exploration and development(2)        21.40    20.70    31.90    24.20
      Acquisitions (net of
       dispositions)(3)                    (17.90)   37.30    53.90    46.10
                                           ----------------------------------
      Total (after deducting dispositions)  23.90    32.80    47.20    37.50
                                           ----------------------------------
    Including Future Development Costs(2)
    FD&A costs - Proved ($/boe)
      Exploration and development           19.80    25.90    39.20    27.80
      Acquisitions (net of
       dispositions)(3)                    (17.90)   37.30    53.90    46.10
                                           ----------------------------------
      Total (after deducting dispositions)  21.10    34.20    49.50    39.00
    -------------------------------------------------------------------------

    (1) NI 51-101 specifies how finding and development costs should be
        calculated if they are reported. Essentially NI 51-101 requires that
        the exploration and development costs incurred in the year along with
        the change in estimated future development costs be aggregated and
        then divided by the applicable reserve additions. The calculation
        specifically excludes the effects of acquisitions and dispositions on
        both reserves and costs. By excluding the effects of acquisitions and
        dispositions True believes that the provisions of the NI 51-101 do
        not fully reflect True's ongoing reserve replacement costs. Since
        acquisitions can have a significant impact on True's annual reserve
        replacement costs, excluding these amounts could result in an
        inaccurate portrayal of True's cost structure. Accordingly, True also
        provides finding, development and acquisition costs that incorporate
        all acquisitions net of any dispositions during the year. The
        foregoing calculation is based on working interest reserves.

    (2) The aggregate of the exploration and development costs incurred in
        the most recent financial year and the change during that year in
        estimated future development costs generally will not reflect total
        finding and development costs related to reserve additions for that
        year.

    (3) Net dispositions in 2007; net effect was acquisitions in prior years;
        FDC is not included in acquisitions/dispositions.
    

    RESERVE LIFE INDEX

    The Trust's reserve life index has been determined for proved plus
probable working interest reserves using forecast prices and costs. The
reserve life index is calculated by dividing reserves as at the effective date
of the GLJ Report, December 31, 2007, by the production as set forth in the
GLJ Report, representing a measure of the amount of time production could be
sustained at the production rates based on the reserves at the applicable
point in time.

    
    Reserve Life Index
    -------------------------------------------------------------------------
                                             2007     2006     2005     2004
    -------------------------------------------------------------------------
    Proved                                    5.6      4.7      4.4      3.6
    Proved plus probable                      7.9      6.4      6.2      4.5
    -------------------------------------------------------------------------
    

    METHOD OF PREPARATION

    In this press release both "Working Interest" reserves (being working
interest reserves, excluding royalty interest reserves, before deduction of
royalty burdens payable) and "Net Interest" reserves (being working interest
reserves and royalty interests less royalty burdens payable) are disclosed.
Working Interest reserves are also referred to as "Gross" reserves under NI
51-101. In addition "Company Interest" reserves are disclosed (being working
interest reserves and royalty interests, before deduction of royalty burdens
payable). The GLJ Report was prepared utilizing definitions as set out under
National Instrument 51-101.

    LAND

    As at December 31, 2007, True had over 537,800 net undeveloped acres in
Alberta, British Columbia and Saskatchewan.

    
    Land Statistics
    -------------------------------------------------------------------------
                                                               2007     2006
    -------------------------------------------------------------------------
    Average working interest
      Developed                                                 62%      60%
      Undeveloped                                               67%      67%
    -------------------------------------------------------------------------
    Total                                                       65%      64%
    -------------------------------------------------------------------------



    Land Holdings(1)
    -------------------------------------------------------------------------
                                            2007                  2006
                                      Gross        Net      Gross        Net
    -------------------------------------------------------------------------
    Developed
      British Columbia               36,973     11,310     45,727     22,109
      Alberta                       485,119    283,417    524,159    292,909
      Saskatchewan                  123,714    103,770    131,635    107,451
                                  -------------------------------------------
      Total                         645,806    398,497    701,522    422,469
                                  -------------------------------------------
    Undeveloped
      British Columbia              161,432     71,236    189,871     92,711
      Alberta                       450,687    296,860    690,450    456,579
      Saskatchewan                  188,879    169,783    212,628    180,617
                                  -------------------------------------------
      Total                         800,998    537,879  1,092,949    730,906
                                  -------------------------------------------
    Developed and Undeveloped
      British Columbia              197,551     82,546    235,598    115,820
      Alberta                       924,124    580,277  1,214,610    749,488
      Saskatchewan                  315,530    273,553    344,263    288,068
                                  -------------------------------------------
    Total                         1,437,205    936,376    978,744    554,957
    -------------------------------------------------------------------------

    (1) May not add due to rounding
    

    True Energy Trust is an exploration and production oil and gas trust
based in Calgary, Alberta, Canada.

    READER ADVISORY: BOEs may be misleading, particularly if used in
isolation. A BOE conversion ratio of 6 Mcf:1 bbl is based on an energy
equivalency conversion method primarily applicable at the burner tip and does
not represent a value equivalency at the wellhead.

    Statements in this document may contain forward-looking information
including management's assessment of future plans and operations, reserve
estimates, capital expenditures, expected increases to reserves and the timing
thereof and the total future capital required to bring undeveloped proved and
probable reserves onto production. The reader is cautioned that assumptions
used in the preparation of such information may prove to be incorrect. Events
or circumstances may cause actual results to differ materially from those
predicted, a result of numerous known and unknown risks, uncertainties, and
other factors, many of which are beyond the control of the Trust. The reader
is cautioned not to place undue reliance on this forward looking information.
These risks include, but are not limited to: the risks associated with the oil
and gas industry; commodity prices, and; exchange rate changes. Industry
related risks could include, but are not limited to: operational risks in
exploration; development and production; delays or changes in plans; risks
associated to the uncertainty of reserve estimates; health and safety risks,
and; the uncertainty of estimates and projections of production, costs and
expenses. Readers are cautioned that the foregoing list of factors is not
exhaustive. Additional information on these and other factors that could
effect the Trust's operations and financial results are included in reports on
file with Canadian securities regulatory authorities and may be accessed
through the SEDAR website (www.sedar.com), at the Trust's website
(www.trueenergytrust.com). Furthermore, the forward-looking statements
contained in this news release are made as at the date of this news release
and the Trust does not undertake any obligation to update publicly or to
revise any of the included forward-looking statements, whether as a result of
new information, future events or otherwise, except as may be required by
applicable securities laws.
    The reader is further cautioned that the preparation of financial
statements in accordance with Generally Accepted Accounting Principles
("GAAP") requires management to make certain judgements and estimates that
affect the reported amounts of assets, liabilities, revenues and expenses.
Estimating reserves is also critical to several accounting estimates and
requires judgments and decisions based upon available geological, geophysical,
engineering and economic data. These estimates may change, having either a
negative or positive effect on net earnings as further information becomes
available, and as the economic environment changes.
    The reader is also cautioned that this document contains the term reserve
life index, which is not a recognized measure under GAAP. Management believes
that this measure is a useful supplemental measure of the length of time the
reserves would be produced over at the rate used in the calculation. Readers
are cautioned, however, that this measure should not be construed as an
alternative to other terms such as net income determined in accordance with
GAAP as a measure of performance. True's method of calculating this measure
may differ from other companies or trusts, and accordingly, they may not be
comparable to measures used by other entities.

    %SEDAR: 00021401E




For further information:

For further information: Wayne M. Chorney, President, CEO & COO, (403)
750-2420; Edward Brown, Vice President, Finance & CFO, (403) 750-2655; Sacha
Ravelli, Manager, Investor Relations, (403) 750-7085; Scott Koyich, Investor
Relations Consultant, (403) 750-2428; Troy Winsor, Investor Relations
Consultant, (800) 663-8072


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