BPZ Commences Drilling New Well at Peru's Corvina Field

BPZ has announced the spudding of the CX11-15D well in the Corvina field in the Company's offshore Block Z-1 in northwest Peru.

The 15D will target the known oil and gas sands in an up dip position with the main objective of proving up a portion of the probable oil and gas reserves and giving the Company another oil producing well. The 15D is expected to be put on production in the first quarter of 2009.

The Company will likely conduct a drill stem test only on the gas zone, since the targeted oil sands are also producing in other Corvina wells. Accordingly, the well would be dually completed, with the 15D oil sands placed on long-term production testing, while the gas sands will be shut in until the gas-to-power project comes online.

Manolo Zuniga, BPZ Energy's President and CEO, commented, "We continue to develop the Corvina field, and this well is expected to give the Company our fifth oil well. We continue ramping up production and growing reserves in Corvina and we are looking forward to Corvina providing the Company important cash flow in 2009 and beyond. Once we complete the 15D well we will move to Albacora, where we plan to begin its redevelopment by April 2009."