PRD Energy Announces Preliminary Boerger 7A Results

PRD Energy Inc. ("PRD" or the "Company") (TSX VENTURE:PRD) announced initial
flow rates from the Boerger 7A horizontal well.


The Boerger 7A well began producing at 5:30 a.m. (Calgary time) on February 24,
2014 to clean the wellbore and commission the early production facilities. From
5:30 a.m. on February 24, 2014 to 10:00 p.m. (Calgary time) on March 3, 2014,
the well produced a field estimated total of 2,258 barrels of oil (or 294
barrels of oil per day, based on 184.5 hours of actual production time). In the
24 hour period ended 10:00 p.m. (Calgary time) on March 3, 2014, the well
produced 285 barrels of oil with a 3% water cut (which is subject to ongoing
analysis). To date, 84% of the 250 barrels of load water has been recovered. The
average gas-oil-ratio is estimated to be 245 standard cubic feet of gas per
barrel of oil.  


Since the commencement of production, the operator has controlled and restricted
the flow of the well until the production facilities are commissioned and
operating in a safe and reliable manner whereafter the operator will be able to
determine the unrestricted production capability of the well. The operator is
continuing to commission the production facilities and it is uncertain when
production testing will commence. These initial results are not necessarily
indicative of long-term performance or ultimate recovery. The capability of this
well should be assessed on more mature initial production data which will be
released in due course. 


The well was drilled to a horizontal length of 485 meters of which approximately
200 meters was cased with the remainder of the horizontal section being open
hole. The well penetrated the targeted Jurassic Obermalm zone which is a highly
fractured dolomitic sandstone interbedded with shales and anhydrites. The
Boerger 7A well was completed without the use of stimulation techniques.
Production is being trucked off site, treated and then sold to a local refinery.
 


This is the first well PRD has drilled in Germany. The experience acquired by
the Company in this development, along with interpretation of 3D seismic over
the field and adjacent areas, will assist in optimizing the development of the
Boerger field. We believe there are a number of other potential locations for
Obermalm production, in addition to several other potentially productive zones
which may provide additional upside. 


The Boerger oil pool will be the focus of the Company's development activity in
2014 and early 2015. In addition, the Company is continuing to evaluate and rank
its 2,413,300 acres of other petroleum lands in Germany and is moving forward
with exploration and development activities on certain of its most prospective
lands.


About PRD Energy 

PRD Energy Inc. is a Calgary based oil and gas company engaged in the
exploration, development and acquisition of, natural gas and crude oil, in
Germany. All activities of the Company, in Germany, are undertaken by its
wholly-owned subsidiary, PRD Energy GmbH. PRD's common shares are listed on the
TSX Venture Exchange with the symbol "PRD".


Forward looking information 

This news release contains forward-looking information relating to the timing of
commencement of production testing, the ability to use the experience gained to
optimize the development of the Boerger field, the success of drilling on other
locations and targeting other zones in the Boerger field, the focus of the
Company's operations over the course of 2014 and 2015, the oil to gas ratio of
the well once on production, the ability to test production rates and other
statements that are not historical facts. Such forward-looking information is
subject to important risks, uncertainties and assumptions. The results or events
predicated in this forward-looking information may differ materially from actual
results or events. As a result, you are cautioned not to place undue reliance on
this forward-looking information. 


Forward-looking information is based on certain factors and assumptions
regarding, among other things, the future performance of the Boerger 7A well,
the success of future exploration and development activities in the Boerger
field, the impact of increasing competition; the general stability of the
economic and political environments in which the Company operates or owns
interests; the timely receipt of any required regulatory approvals; the ability
of the Company to obtain qualified staff, equipment and services in a timely and
cost efficient manner; drilling results; the ability to operate in a safe,
efficient and effective manner; the ability of the Company to obtain financing
to fund its operations on acceptable terms; field production rates and decline
rates; the ability to replace and expand oil and natural gas reserves through
acquisition, development of exploration; the timing and costs of pipeline,
storage and facility construction and expansion and the ability of the Company
to secure adequate product transportation; future oil and natural gas prices;
currency, exchange and interest rates; the regulatory framework regarding
royalties, taxes and environmental matters in the jurisdictions in which the
Company operates; and the ability of the Company to successfully market its oil
and natural gas products, and other similar matters. While the Company considers
these assumptions to be reasonable based on information currently available to
it, they may prove to be incorrect. 


Forward looking-information is subject to certain factors, including risks and
uncertainties that could cause actual results to differ materially from what is
currently expected. These factors include risks associated with the failure to
identify economic operations in the Boerger pool following the interpretation of
seismic data, declining production from the Boerger 7A well, instability of the
economic and political environments in which the Company operates or owns
interests, ability to manage water production and disposal, oil and gas
exploration, development, exploitation, production, marketing and
transportation, loss of markets, volatility of commodity prices, currency
fluctuations, environmental risks, competition from other producers, inability
to retain drilling rigs and other services, incorrect assessment of the value of
acquisitions, the inability to settle the definitive terms of the farmout
arrangements, failure to realize the anticipated benefits of acquisitions,
delays resulting from or inability to obtain required regulatory approvals,
inability to obtain approvals from the Company's partners in operations, and
ability to access sufficient capital from internal and external sources,
reliance on key personnel, regulatory risks and delays, including risks relating
to the acquisition of necessary licenses and permits, environmental risks and
insurance risks. 


Certain information contained herein may be considered to be "anticipated
results" as defined in National Instrument 51-101. In particular, this news
release discloses details regarding the flow rates from the Boerger 7A well from
which it expects to produce light oil. Risks associated with recovery include
decreases in reservoir pressure, increases in water production as well as
operational and mechanical failure. 


You should not place undue importance on forward-looking information and should
not rely upon this information as of any other date. While the Company may elect
to, the Company is under no obligation and does not undertake to update this
information at any particular time, except as required by law. 


Neither the TSX Venture Exchange nor its Regulation Services Provider (as that
term is defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.


FOR FURTHER INFORMATION PLEASE CONTACT: 
PRD Energy Inc.
Michael Greenwood
Chairman and Chief Executive Officer
(403) 234-0501
(403) 234-0511 (FAX)


PRD Energy Inc.
Mark Hornett
President and Chief Operating Officer
(403) 234-0501
(403) 234-0511 (FAX)


PRD Energy Inc.
Jeff Scott
Vice President Finance and Chief Financial Officer
(403) 234-0501
(403) 234-0511 (FAX)
PRD Energy Inc. (TSXV:PRD)
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