Torquay Finishes Drilling 4th Bakken Well

Torquay has recently completed the drilling of its fourth Bakken commitment well in the Lake Alma area and as a result has earned a total of 81 gross (49 net) sections of lands.

Torquay has completed two wells thus far in the Lake Alma area. The 13-19-1-17W2 exploratory well was completed using an 11 stage fracture stimulation. Due to a geological fault encountered while drilling, only 600m of Bakken reservoir was completed. Torquay is very encouraged by the well performance given the limited amount of reservoir open. The 13-19 well has produced an average of 80 bbls/d gross (48 bbls/d net) of 39 degrees API oil in the first 22 days of production. Torquay has also recently completed the 13-10-2-18W2 well and has placed the well on production after a successful 16 stage fracture stimulation. Torquay is currently evaluating the production capability of the 13-10 well. The 4-25-2-20W2 well and the 4-4-2-19W2 well are scheduled to be fracture stimulated and evaluated in Q3 of 2010.

Torquay has licensed an additional four development locations and expects to drill one of these locations by the end of Q3 2010. With the planned drilling of the fifth well, Torquay will earn an additional 5 gross (3 net) sections bringing the total lands earned to 86 gross sections (52 net sections) of land in the Lake Alma area.


Torquay is currently drilling its first Bakken development well in the Viewfield (Heward) area at 10-13-8-10W2 and expects to reach total depth in about a week. Pipeline construction is underway to tie-in gas and NGL's from the Company's two producing Bakken wells in this area and is expected to be completed by the end of August. A second Bakken well is scheduled to be spud mid-August and completed in September. Both wells are expected to be on stream by the end of Q3 2010.

Torquay intends to drill its first horizontal well targeting the Frobisher/Alida zones in the Viewfield (Heward) area, in late Q3 or early Q4 2010. With success in the Frobisher/Alida, Torquay has identified up to 12 additional drilling locations on its 100% working interest lands.


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