Beard Co. Grows O&G Reserves in Oklahoma

The Beard Company provided investors with the following estimate of oil and gas reserves in the Dilworth Field in northern Oklahoma.

The consulting petroleum engineer engaged by the Company has completed a year-end 2009 reserve report for the Dilworth Field, estimating proven producing and probable undeveloped reserves totaling 2,892,200 and 3,479,800 barrels of oil and 11,611,200 and 16,972,800 thousand cubic feet (MCF) of gas, respectively. On a combined basis, the Field's estimated proven producing and probable undeveloped reserves total 6,372,000 barrels of oil and 28,584,000 MCF of gas.

It is estimated that the Field's proven reserves will generate net revenues of approximately $282,932,000, resulting in a discounted present value (PV10) of approximately $115,269,000, over the anticipated 12-year life of the project. If probable undeveloped reserves are added, the estimated net revenues increase to $639,984,000, with a PV10 of approximately $311,561,000, over the anticipated 15-year life of the project.

"The year-end reserves estimated by the independent petroleum engineer are more than double the reserves that the Company had estimated internally when it initially became involved with the project," stated Herb Mee, Jr., President of The Beard Company.

The Company's shares of the estimated proven producing and probable undeveloped reserves total 384,460 and 490,870 barrels of oil and 1,571,090 and 2,404,020 MCF of gas, respectively. On a combined basis, estimated reserves to Beard's interest (proven producing and probable undeveloped) total 875,330 barrels of oil and 3,975,110 MCF of gas.

It is estimated that the Company's share of the Field's proven reserves will generate net revenues of approximately $37,765,000, resulting in a PV10 of approximately $15,333,000, over the anticipated 12-year life of the project. If probable undeveloped reserves are added, the Company's share of the estimated net revenues increases to approximately $88,184,000, with a PV10 of approximately $42,734,000, over the anticipated 15-year life of the project.