BPZ Energy Reports Production From New Albacora Well And Provides Offshore And Onshore Drilling Update

Houston, Jan. 8, 2014 (GLOBE NEWSWIRE) -- BPZ Energy (NYSE: BPZ) (BVL: BPZ), today providedan update on its multi-well development drilling campaign at BlockZ-1 offshore as well as the onshore exploration program at BlockXXIII.

President and CEO Manolo Zunigacommented , "I'm excited to have entered2014 with good well results at the Albacora A-18D well, boostingcurrent Block Z-1 gross production levels in excess of 4,900barrels of oil per day, of which we have a 51% interest.  Welook forward to continued production growth as we drill additionalZ-1 development oil wells.  On the exploration front, I ampleased that we have started drilling onshore at Block XXIII, andplan to drill onshore at Block XXII later this year where we aretargeting both conventional and non-conventional oil plays. In the meantime, preparations are ongoing to drill theselected offshore Block Z-1 exploration prospects mapped with thenew 3D seismic."    

OFFSHORE BLOCK Z-1 (51% workinginterest)

Albacora Field

The Albacora A-18D development well wascompleted on December 23, 2013.  This new well has produced anaverage of approximately 2,100 barrels of oil per day (bopd), or1,071 bopd net over the past seven days with water cut ofapproximately 11% and naturally flowing.  Three intervalstotaling approximately 130 feet were perforated.  For the last24 hours the A-18D has averaged gross production of approximately2,250 bopd (1,147 bopd net). 

The Albacora A-19D development well was spud onJanuary 1, 2014 targeting a similar structural position as theA-18D well.  Targeted total measured depth for the 19D well is12,400 feet.

Corvina Field

Development drilling of the CX15-2D wellcontinues.  After reaching total measured depth at 8,750 feettwo weeks ago, the drill pipe became stuck in the wellbore. After several attempts to free the pipe, it was decided tosidetrack the well and redrill the last 2,300 foot section afterevaluation of electric logs and observing good oil shows whiledrilling the targeted oil section.  Completion of the well isexpected in late January 2014. 

In the meantime, testing continues on the CX15-1D developmentwell, with gross production averaging 440 bopd (224 bopd net)during the past seven days from the third interval with 8% watercut.  The first and fourth intervals have yet to be fullytested. 

Block Z-1 Production

Average gross production for the last seven daysat Block Z-1 has been approximately 4,900 bopd (2,500 bopd net)with 53% of the total coming from Albacora and the remainder fromCorvina.

Fourth quarter 2013 gross production averagedapproximately 2,725 bopd (1,390 bopd net) and included testproduction from the CX15-1D and Albacora A-18D wells.  Fullyear 2013 Block Z-1 average gross production was 2,760 bopd (1,408bopd net.) 

ONSHORE BLOCK XXIII (100% workinginterest)

Commencement of the back to back three-wellonshore exploration campaign began on January 5, 2014 with thespudding of the Caracol 1X exploration well at Block XXIII. Target depth is 3,500 feet. The access road and well sitesfor the two other explorations wells are being completed. These wells are located on a large anticline mapped with 3D seismicacquired two years ago.  The main objectives are the Heath andMancora formations.

ABOUT BPZ ENERGY

Houston-based BPZ Energy, which trades as BPZResources, Inc. under ticker symbol BPZ on the New York StockExchange and the Bolsa de Valores in Lima, is an independent oiland gas exploration and production company which has licensecontracts covering approximately 1.9 million net acres in offshoreand onshore Peru.  The Company holds a 51% working interest inoffshore Block Z-1, which it is developing in partnership withPacific Rubiales Energy Corp.  The Company also holds 100%working interests in three onshore blocks, where explorationdrilling is underway at Block XXIII.  Please visit theCompany's website at www.bpzenergy.com for moreinformation.

FORWARD LOOKING STATEMENT

This Press Release contains forward-lookingstatements within the meaning of the Private Securities LitigationReform Act of 1995, Section 27A of the Securities Act of 1933 andSection 21E of the Securities Exchange Act of 1934.  Theseforward looking statements are based on our current expectationsabout our company, our properties, our estimates of requiredcapital expenditures and our industry. You can identify theseforward-looking statements when you see us using words such as"anticipates," "intends," "will," "expects," and other similarexpressions.  These forward-looking statements involve risksand uncertainties.

Our actual results could differ materiallyfrom those anticipated in these forward looking statements. Suchuncertainties include the success of our project financing efforts,accuracy of well test results, results of seismic testing, wellrefurbishment efforts, successful production of indicated reserves,satisfaction of well test period requirements, receipt of allrequired permits, the successful management of our capitalexpenditures, and other normal business risks.  We undertakeno obligation to publicly update any forward-looking statements forany reason, even if new information becomes available or otherevents occur in the future.

CAUTIONARY STATEMENT REGARDINGCERTAIN INFORMATION RELEASES

The Company is aware that certaininformation concerning its operations and production is availablefrom time to time from Perupetro, an instrumentality of thePeruvian government, and the Ministry of Energy and Mines ("MEM"),a ministry of the government of Peru. This information is availablefrom the websites of Perupetro and MEM and may be available fromother official sources of which the Company is unaware.  Thisinformation is published by Perupetro and MEM outside the controlof the Company and may be published in a format different from theformat used by the Company to disclose such information, incompliance with SEC and other U.S. regulatoryrequirements.

Additionally, the Company's joint venturepartner in Block Z-1, Pacific Rubiales Energy Corp. ("PRE"), is aCanadian public company that is not listed on a U.S. stockexchange, but is listed on the Toronto (TSX), Bolsa de Valores deColombia (BVC) and BOVESPA stock exchanges.  As such PRE maybe subject to different information disclosure requirements thanthe Company.  Information concerning the Company, such asinformation concerning energy reserves, may be published by PREoutside of our control and may be published in a format differentfrom the format the Company uses to disclose such information, incompliance with SEC and other U.S. regulatoryrequirements.

The Company provides such information in theformat required, and at the times required, by the SEC and asdetermined to be both material and relevant by management of theCompany.  The Company urges interested investors and thirdparties to consider closely the disclosure in our SEC filings,available from us at 580 Westlake Park Blvd., Suite 525, Houston,Texas 77079; Telephone: (281) 556-6200.  These filings canalso be obtained from the SEC via the internet at www.sec.gov .

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CONTACT: A. Pierre Dubois         Investor Relations & Corporate Communications         BPZ Energy         281-752-1240         pierre_dubois@bpzenergy.com

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