Questerre expands acreage in liquids-rich Montney fairway

1/21/2013 9:51 PM EST

Calgary, Alberta -- Questerre Energy Corporation 
("Questerre" or the "Company") (TSX,OSE:QEC) announced 
today that it has significantly increased its 
landholdings in the Kakwa-Resthaven area of Alberta.

Michael Binnion, President and Chief Executive 
Officer, commented, "Following our discovery well, we 
have been working to grow our initial toehold into a 
new core area for the Company. I am pleased to report 
that we now have over 37,600 gross acres, 
approximately 60 sections, with a 77% working interest 
equal to 29,000 net acres or 45 net sections. This 
acreage lies in the heart of the liquids-rich fairway 
where our initial results have met or exceeded 
expectations."

Mr. Binnion also commented, "We have been adding land 
in both the development area adjacent to our three 
existing wells as well as other acreage on trend where 
we expect similar high-liquids rates. In our 
development area, we now have approximately 34 gross 
sections with a 60% working interest or 12,800 net 
acres. Targeting what we believe will be the next 
development area, located approximately 32 km away to 
the northwest, we have acquired 16,000 net acres. 
Based on industry activity and reported results, we 
believe this area has similar potential."

Questerre reported that gross production from its 
first well continues to be approximately 1100-1300 
boe/d with liquids rates of 150-200 bbls/MMcf. 
Questerre has a 37.5% working interest in this well 
before payout and a 25% working interest in this well 
after payout.

Tie-in and commissioning of its second well is 
complete and the well is scheduled to be on production 
by early February. Production will be based on 
available processing capacity at a third party plant. 
This well flowed 974 bbl/d of condensate and 4.97 
MMcf/d of natural gas or 1800 boe/d over the last 24 
hours of a 96-hour production test. Questerre has a 
25% working interest in this well. 

Questerre also updated the status of its third well, 
the 15-01 well. Following the successful completion of 
well control operations last week, the well is being 
prepared to resume production testing. Subject to 
equipment availability, Questerre expects testing to 
commence in late February. Questerre has a 100% 
interest in this well before payout and an 80% 
interest in this well after payout.

Questerre Energy Corporation is leveraging its 
expertise gained through early exposure to shale and 
other non-conventional reservoirs. The Company has 
base production and reserves in the tight oil 
Bakken/Torquay of southeast Saskatchewan.  It is 
bringing on production from its lands in the heart of 
the high-liquids Montney shale fairway. It is a leader 
on social license to operate issues for its Utica 
shale gas discovery in the St. Lawrence Lowlands, 
Quebec. In conjunction with a supermajor, it is at the 
leading edge of commercializing a proven process to 
unlock the massive resource potential of oil shale.

Questerre is a believer that the future success of the 
oil and gas industry depends on a balance of 
economics, environment and society. We are committed 
to being transparent and are respectful that the 
public must be part of making the important choices 
for our energy future.

For further information, please contact:

Questerre Energy Corporation
Anela Dido, Investor Relations
(403) 777-1185 | (403) 777-1578 (FAX) |Email: 
 

This news release contains certain statements which 
constitute forward-looking statements or information 
("forward-looking statements"), including the 
prospectivity of acreage, initial production and the 
productive capacity of wells and the timing of future 
operations including completions and tie-ins of its 
wells in the Kakwa-Resthaven area of Alberta. Although 
the Company believes that the expectations reflected 
in our forward-looking statements are reasonable, our 
forward-looking statements have been based on factors 
and assumptions concerning future events which may 
prove to be inaccurate. Those factors and assumptions 
are based upon currently available information 
available to the Company. Such statements are subject 
to known and unknown risks, uncertainties and other 
factors that could influence actual results or events 
and cause actual results or events to differ 
materially from those stated, anticipated or implied 
in the forward looking statements. As such, readers 
are cautioned not to place undue reliance on the 
forward looking statements, as no assurance can be 
provided as to future results, levels of activity or 
achievements. The risks, uncertainties, material 
assumptions and other factors that could affect actual 
results are discussed in our Annual Information Form 
and other documents available at www.sedar.com. 
Furthermore, the forward-looking statements contained 
in this document are made as of the date of this 
document and, except as required by applicable law, 
the Company does not undertake any obligation to 
publicly update or to revise any of the included 
forward-looking statements, whether as a result of new 
information, future events or otherwise. The forward-
looking statements contained in this document are 
expressly qualified by this cautionary statement.

Barrel of oil equivalent ("boe") amounts may be 
misleading, particularly if used in isolation. A boe 
conversion ratio has been calculated using a 
conversion rate of six thousand cubic feet of natural 
gas to one barrel of oil and is based on an energy 
equivalent conversion method application at the burner 
tip and does not necessarily represent an economic 
value equivalent at the wellhead.

This news release does not constitute an offer of 
securities for sale in the United States.  These 
securities may not be offered or sold in the United 
States absent registration or an available exemption 
from registration under the United States Securities 
Act of 1933, as amended.