West Announces Year End Reserves



    /NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR DISSEMINATION
    IN THE UNITED STATES/

    CALGARY, March 15 /CNW/ - West Energy Ltd. ("West" or "Company", TSX:
"WTL")
    West Energy Ltd. retained GLJ Petroleum Consultants Ltd., independent
reserve engineers, to evaluate and prepare a report on 100% of the Company's
oil and gas reserves. The Company's reserves as at December 31, 2006, were
determined using the guidelines and definitions set out under National
Instrument 51-101 ("NI 51-101"). Complete reserves disclosure will be
contained in West's Annual Information Form in respect to the year ending
December 31, 2006, to be filed on SEDAR on or before March 31, 2006. Unless
otherwise indicated, all reserves stated herein are gross reserves (before
royalty burdens and without including royalty interests) based on prices and
costs, except where indicated.
    As at December 31, 2006, West's total proved reserves were 5.5 million
Boe, an increase of 1.2 million Boe or 26%, from the 4.4 million Boe at
December 31, 2005. Proved plus probable reserves at December 31, 2006, were
8.6 million Boe, an increase of 2.1 million Boe or 32% from the 6.6 million
Boe reported at December 31, 2005.
    The following table sets forth the Company's reserves as at December 31,
2006:

    
                       SUMMARY OF OIL AND GAS RESERVES
                 AND NET PRESENT VALUE OF FUTURE NET REVENUE
                          FORECAST PRICES AND COSTS

    -------------------------------------------------------------------------
                                               RESERVES
                        -----------------------------------------------------
                          LIGHT &
                          MEDIUM                            NPV 10%   NPV 10%
                           OIL      GAS      NGLs             BIT      AIT
    RESERVES CATEGORY    (Mbbls)   (Mmcf)  (MBbls)  (MBoe)   ($000)   ($000)
    -------------------------------------------------------------------------
    PROVED
    -------------------------------------------------------------------------
      Developed
       producing          3,085    5,908      309    4,379  110,489  108,575
    -------------------------------------------------------------------------
      Developed
       non-producing        725    1,202       70      996   19,704   14,912
    -------------------------------------------------------------------------
      Undeveloped            81      293       29      159    3,291    2,380
    -------------------------------------------------------------------------
    TOTAL PROVED          3,892    7,403      408    5,534  133,483  125,867
    -------------------------------------------------------------------------
    PROBABLE              2,274    3,978      183    3,120   57,082   38,751
    -------------------------------------------------------------------------
    TOTAL PROVED PLUS
     PROBABLE             6,166   11,381      591    8,654  190,565  164,618
    -------------------------------------------------------------------------

    GLJ's January, 2007 price deck forecasts 2007 prices as follows:
        -  WTI oil price of $62.00/Bbl
        -  Edmonton par price of $70.25/Bbl
        -  AECO gas price of $7.00/MBTU
    West's average 2007 wellhead price assigned by GLJ to its proved plus 
probable reserves is $62.65/Boe.
    

    Reserve Life Index

    West's reserve life index for proved developed producing reserves is
4.36 years, 5.51 years for total proved reserves and 8.61 years for total
proved plus probable reserves. The reserve life index calculations are based
on 2006 actual production of 1,005 Mboe.

    Reconciliation of Changes in Reserves

    The following table outlines the changes in the Company's reserves from
December 31, 2005 to December 31, 2006:

    
    -------------------------------------------------------------------------
                                    LIGHT & MEDIUM OIL           GAS
                                   ------------------------------------------
                                     Total    Proved +    Total     Proved +
                                     Proved   Probable    Proved    Probable
    FACTORS                          (Mbbls)   (Mbbls)    (Mmcf)     (Mmcf)
    -------------------------------------------------------------------------
    December 31, 2005                 2,790      4,481      4,490      7,990
    -------------------------------------------------------------------------
    Extensions                           74        104      1,994      3,104
    -------------------------------------------------------------------------
    Improved recovery                     2          2          -          -
    -------------------------------------------------------------------------
    Technical revisions                 876        777      1,179        (80)
    -------------------------------------------------------------------------
    Discoveries                         838      1,490        944      1,571
    -------------------------------------------------------------------------
    Net additions                     1,790      2,373      4,117      4,595
    -------------------------------------------------------------------------
    Production                         (688)      (688)    (1,204)    (1,204)
    -------------------------------------------------------------------------
    December 31, 2006                 3,892      6,166      7,403     11,381
    -------------------------------------------------------------------------


    -------------------------------------------------------------------------
                                           NGLs                 MBoe
                                   ------------------------------------------
                                     Total    Proved +
                                     Proved   Probable    Total     Proved +
    FACTORS                          (Mbbls)   (Mbbls)    Proved    Probable
    -------------------------------------------------------------------------
    December 31, 2005                   457        765      3,996      6,578
    -------------------------------------------------------------------------
    Extensions                           60         82        466        703
    -------------------------------------------------------------------------
    Improved recovery                     -          -          2          2
    -------------------------------------------------------------------------
    Technical revisions                 (54)      (225)     1,018        538
    -------------------------------------------------------------------------
    Discoveries                          38         62      1,034      1,815
    -------------------------------------------------------------------------
    Net additions                        44        (81)     2,520      3,058
    -------------------------------------------------------------------------
    Production                          (93)       (93)      (982)      (982)
    -------------------------------------------------------------------------
    December 31, 2006                   408        591      5,534      8,654
    -------------------------------------------------------------------------
    Note:  The table does not include reserves discovered and subsequently
           sold during the year.
    

    Finding and Development Costs

    The following table sets forth the calculations relating to the Company's
finding and development costs for the year ended December 31, 2006. The
aggregate of the exploration and development costs 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.

    
    -------------------------------------------------------------------------
                                                           Total    Proved +
                                                           Proved   Probable
    -------------------------------------------------------------------------
    Total net capital ($ million)                            72.1       72.1
    -------------------------------------------------------------------------
    Future capital costs to develop reserves ($ million)      9.1       17.1
    -------------------------------------------------------------------------
    Total capital ($ million)                                81.2       89.2
    -------------------------------------------------------------------------
    Reserve additions before revisions (Mboe)               1,502      2,520
    -------------------------------------------------------------------------
      F&D cost, before revisions and future
       capital ($/Boe)                                     $48.00     $28.61
    -------------------------------------------------------------------------
    Reserve additions after revisions                       2,520      3,058
    -------------------------------------------------------------------------
      F&D cost, including revisions and before
       future capital ($/Boe)                              $28.61     $23.58
    -------------------------------------------------------------------------
      F&D cost, including revisions and future
       capital ($/Boe)                                     $32.22     $29.17
    -------------------------------------------------------------------------
    

    The Company has updated its Corporate Presentation for the FirstEnergy
East Coast Canadian Energy Conference and has posted the update on its website
located at www.westenergy.ca.

    Reader's Advisory:
    Certain information regarding West Energy Ltd. in this news release may
constitute forward-looking statements under applicable securities laws and
necessarily involve risks including, without limitation, risks associated with
oil and gas exploration, development, exploitation, production, marketing and
transportation, loss of markets, volatility of commodity prices, currency
fluctuations, imprecision of reserve estimates, environmental risks,
competition from other producers, inability to retain drilling rigs and other
services, incorrect assessment of the value of acquisitions, failure to
realize the anticipated benefits of acquisitions, delays resulting from or
inability to obtain required regulatory approvals and ability to access
sufficient capital from internal and external sources. As a consequence,
actual results may differ materially from those anticipated in the
forward-looking statements. Readers are cautioned that the foregoing list of
factors is not exhaustive. Additional information on these and other factors
that were applied in drawing a conclusion or making a forecast or projection
as reflected in the forward-looking information and that could cause actual
results to differ materially from those anticipated in the forward-looking
statements are included in reports on file with Canadian securities regulatory
authorities and may be accessed through the SEDAR website (www.sedar.com) or
at the Corporation's website (www.westenergy.ca). Furthermore, the
forward-looking statements contained in this news release are made as of the
date of this news release and the Corporation 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.

    BOE's may be misleading, particularly if used in isolation. In accordance
with NI 51-101, a BOE conversion ratio for natural gas of 6 Mcf:1 Bbl has been
used which is based on an energy equivalency conversion method primarily
applicable at the burner tip and does not represent a value equivalence at the
wellhead.

    %SEDAR: 00018134E




For further information:

For further information: Ken McCagherty, President and Chief Executive
Officer, Email: mccagherty@westenergy.ca, Direct Phone: (403) 716-3458; Rick
Jaggard, Vice-President Finance and Chief Financial Officer, Email:
rjaggard@westenergy.ca, Direct Phone: (403) 716-3457

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WEST ENERGY LTD.

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