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Bankers Petroleum Announces 2014 Year-End Reserves 203 Million Barrels of Proved plus Probable (2P) Reserves including 11.3Million Barrels of EOR Reserves;NPV of US$1.8 billion CALGARY, March 2, 2015 /CNW/ - Bankers Petroleum Ltd. ("Bankers" or the"Company") (TSX: BNK, AIM: BNK) announces the results of its December 31, 2014,independent reserves evaluation. Evaluations were conducted by RPS EnergyCanada Ltd. (RPS) for the Patos-Marinza oilfield, Albania, and by DeGolyer andMcNaughton Canada Ltd. (D&M) for the Kuçova oilfield, Albania; and wereprepared in accordance with Canadian National Instrument 51-101 - Standards ofDisclosure for Oil and Gas Activities. David French, President and CEO commented "This 2014 Reserves update marks animportant strategic transition for Bankers. First, we are pleased with therecognition of our Enhanced Oil Recovery (EOR) program with initial EOR ProvedDeveloped Producing (PDP) and Proved Undeveloped (PUD) reserve bookings. We seeEOR as an integral part of our future growth. The 76 patterns booked this yearrepresent less than one-fifth of our current opportunity set at the floodableviscosity ranges in our field. Second, we have experienced modestcommunication at 100 metre spacing in our core development area. While thistemporarily impacts our primary-only reserves per well, it will be the rightanswer for commercial EOR development and subsequent bookings. Lastly, theshallower depths and higher viscosities of our southern non-core area appearcommercially challenged at the current oil price. We will continue to solve forthe right technical solution to access these areas, such as the multilateraltest last year. On balance, our ongoing efforts to reduce operating expensesand capital development, validate the potential for EOR, and solve thechallenges of our heaviest sands to set us up well for the future." Overview * First time booking of EOR reserve volumes in Patos-Marinza oilfield at 2.0, 8.6, 11.3 and 13.4 million barrels on a PDP, Proved (1P), Proved plus Probable (2P), and Proved Probable plus Possible (3P) basis, respectively; * 1P Reserves decreased 15% to 125.0 million barrels with after tax value discounted at 10% down 40% to US$734 million (representing CAD$3.49 per share); * 2P Reserves decreased 12% to 203.3 million barrels with after tax value discounted at 10% down 20% to US$1.8 billion (representing CAD$8.57 per share); * Reserve volume increases resulted from additional future development in the core areas of the Patos-Marinza field following improved rate and recovery performance from the polymer and water-flood EOR patterns implemented, including horizontal drilling on reduced spacing (100 metre) and between 20 to 30 injector conversions per year over the next two years; * Reserves volume decreases are largely attributed to deferred development in extension areas of the oilfield where commercial viability is less at current oil prices, secondary pressure support is not planned near term and production techniques are being tested for improved recovery in higher viscosity and lower temperature areas, including the Gorani and southern Driza reservoirs; * Main drivers for the decreased valuation are the lower price forecast, revised development activity to focus on core areas of the oilfield and technical revisions to reflect well performance in 200 metre and reduced spacing development in core and extension areas; * 2014 Company average production was 20,687 bopd for an annual total volume of 7.6 million barrels (6% of total proved reserves); * Reserves Life Index for 1P and 2P is 17 years and 27 years, respectively. Total Company Reserves Summary Gross Oil Reserves - Using Forecast Prices (Million barrels) 2014 2013 Patos- Kuçova Total Patos- Kuçova Total % Marinza Albania Marinza Albania Proved Developed Producing 36.3 0.1 36.4 40.3 - 40.3 -10 Developed Non-Producing - 0.1 0.1 0.7 - 0.7 -83 Undeveloped 86.0 2.6 88.5 102.3 3.4 105.7 -16 Total Proved (1P) 122.3 2.8 125.0 143.3 3.4 146.7 -15 Probable 69.1 9.2 78.3 77.0 8.5 85.5 -8 Total Proved Plus Probable 191.4 12.0 203.3 220.3 11.9 232.2 -12(2P) Possible 81.0 15.5 96.9 104.0 21.4 125.4 -23 Total Proved, Probable & 272.8 27.5 300.3 324.3 33.3 357.6 -16Possible (3P) Patos-Marinza Contingent and Prospective Resources (Million barrels - P50Probability Level) 2014 2013 % Contingent Resource 512 505 1 Prospective Resource 315 259 22 Net Present Value at 10% - After Tax Using Forecast Prices (US$ millions) 2014 2013 % Patos- Kuçova Total Patos- Kuçova Total Marinza Albania Marinza Albania Proved Developed Producing 388 1 389 568 - 568 -32 Developed Non-Producing - 1 1 11 - 11 -89 Undeveloped 327 17 344 614 23 637 -46 Total Proved 715 19 734 1,193 23 1,216 -40 Probable 968 100 1,068 926 98 1,024 4 Total Proved Plus Probable 1,683 119 1,802 2,119 121 2,240 -20 Possible 846 197 1,043 1,003 296 1,299 -20 Total Proved, Probable & 2,529 316 2,845 3,122 417 3,539 -20Possible 2014 2013 Reserves Value CAD$/Share US$/bbl CAD$/Share US$/bbl10% Discounted, After Tax 1P reserves $3.49 $5.87 $5.27 $8.29 2P reserves $8.57 $8.86 $9.72 $9.65 3P reserves $13.54 $9.47 $15.36 $9.90 Basic shares outstanding as of December 31, 2014, were approximately 261million (285 million diluted). Values are based on RPS (Patos-Marinza) and D&M (Kuçova) January 1, 2015, priceforecast tables summarized below: Reserves Evaluator Price Decks - Dated Brent BRENT Oil Price Forecast US$/bbl Year RPS D&M 2015 70.03 69.00 2016 74.64 75.40 2017 79.50 82.03 2018 84.50 88.90 2019 89.50 96.01 2020 93.85 97.85 2021 95.72 99.72 2022 97.64 101.64 2023 99.59 103.59 2024 101.58 105.58 2025 103.61 107.61 2026 +2.0% Thereafter +2.0% Thereafter Finding and Development Costs (F&D) The future development capital has decreased with deferral of activity in theextension areas of the Patos-Marinza oilfield. The resulting future horizontalwell count has decreased from 995 to 882 in the 2P development case and from984 to 870 in the 1P and 1,082 to 999 in the 3P cases. In 2014, Bankersdrilled 157 new horizontal production wells in Patos-Marinza. Total future undiscounted capital costs for Patos-Marinza and Kuçova areprojected to be US$2.0 billion, US$2.1 billion and US$2.4 billion on a 1P, 2Pand 3P basis, respectively. This represents a 14%, 13% and 11% decrease infuture capital on a 1P, 2P, and 3P basis compared to the previous year. The F&D costs, calculated as total future development capital divided by recoverablereserves excluding currently developed PDP and Proved Developed Non-Producing(PDNP) reserves, are summarized in the table below: 2014 2013 F&D Costs US$/bbl US$/bbl 1P reserves $22.57 $20.45 2P reserves $12.69 $12.08 3P reserves $8.95 $7.85 Oil Initially in Place In Patos-Marinza, the Oil Initially in Place ("OIIP") volumes in the reservesarea remain essentially the same at 2.3 billion barrels and the OIIP outsidethe reserves area at 2.8 billion barrels in 2014. The Kuçova OIIP resource estimate remains at 297 million barrels. Operational Update The last ten day average production was 20,750 bopd, 2% higher than the fourthquarter of 2014 average. All wells that had been temporarily shut-in due tolimited surface access during the flooding are now returned to production.These wells continue to be optimized and as they clean-up, are expected toresume previous rates throughout the remainder of the first quarter. As previously announced, Bankers has now reduced its drilling activity to twodrilling rigs. Further details, including the March 2015 Corporate Presentation, are availableon the Company's website www.bankerspetroleum.com. Conference Call Bankers' Management will host a conference call on March 2, 2015 at 6:30 am MST(8:30 am EST, 1:30 pm GMT) to discuss this reserves report. FollowingManagement's presentation, there will be a question and answer session foranalysts and investors. To participate in the conference call, please contact the conference operatorten minutes prior to the call at 1-888-231-8191 or 1-647-427-7450. A liveaudio web cast of the conference call will also be available on Bankers website at www.bankerspetroleum.com or by entering the following URL into your webbrowser http://www.newswire.ca/en/webcast/detail/1488471/1657241. The web cast will be archived two hours after the presentation on the website,and posted on the website for 90 days. A replay of the call will be availableuntil March 16, 2015 by dialing 1-855-859-2056 or 1-416-849-0833 and enteringaccess code 89799223. Caution Regarding Forward-looking Information Information in this news release respecting matters such as the expected futureproduction levels from wells, future prices and netback, work plans,anticipated total oil recovery of the Patos-Marinza and Kuçova oilfieldsconstitute forward-looking information. Statements containing forward-lookinginformation express, as at the date of this news release, the Company's plans,estimates, forecasts, projections, expectations, or beliefs as to future eventsor results and are believed to be reasonable based on information currentlyavailable to the Company. Exploration for oil is a speculative business that involves a high degree ofrisk. The Company's expectations for its Albanian operations and plans aresubject to a number of risks in addition to those inherent in oil productionoperations, including: that Brent oil prices could fall resulting in reducedreturns and a change in the economics of the project; availability offinancing; delays associated with equipment procurement, equipment failure andthe lack of suitably qualified personnel; the inherent uncertainty in theestimation of reserves; exports from Albania being disrupted due to unplanneddisruptions; and changes in the political or economic environment. Production and netback forecasts are based on a number of assumptions includingthat the rate and cost of well takeovers, well reactivations and wellrecompletions of the past will continue and success rates will be similar tothose rates experienced for previous well recompletions/reactivations/development; that further wells taken over and recompleted will produce atrates similar to the average rate of production achieved from wellsrecompletions/reactivations/development in the past; continued availability ofthe necessary equipment, personnel and financial resources to sustain theCompany's planned work program; continued political and economic stability inAlbania; the existence of reserves as expected; the continued release byAlbpetrol of areas and wells pursuant to the Plan of Development and Addendum;the absence of unplanned disruptions; the ability of the Company tosuccessfully drill new wells and bring production to market; and general risksinherent in oil and gas operations. Forward-looking statements and information are based on assumptions thatfinancing, equipment and personnel will be available when required and onreasonable terms, none of which are assured and are subject to a number ofother risks and uncertainties described under "Risk Factors" in the Company'sAnnual Information Form and Management's Discussion and Analysis, which areavailable on SEDAR under the Company's profile at www.sedar.com. There can be no assurance that forward-looking statements will prove to beaccurate. Actual results and future events could differ materially from thoseanticipated in such statements. Readers should not place undue reliance onforward-looking information and forward looking statements. Review by Qualified Person This release was reviewed by Suneel Gupta, Executive Vice President and ChiefOperating Officer of Bankers Petroleum Ltd., who is a "qualified person" underthe rules and policies of AIM in his role with the Company and due to histraining as a professional petroleum engineer (member of APEGA) with over 20years' experience in domestic and international oil and gas operations. About Bankers Petroleum Ltd. Bankers Petroleum Ltd. is a Canadian-based oil and gas exploration andproduction company focused on developing large oil and gas reserves. InAlbania, Bankers operates and has the full rights to develop the Patos-Marinzaheavy oilfield, has a 100% interest in the Kuçova oilfield, and a 100% interestin Exploration Block "F". Bankers' shares are traded on the Toronto StockExchange and the AIM Market in London, England under the stock symbol BNK. David French, President and Chief Executive Officer, (403) 513-6930; Doug Urch,Executive VP, Finance and Chief Financial Officer, (403) 513-2691; LauraBechtel, Investor Relations Analyst, (403) 513-3428; Email:investorrelations@bankerspetroleum.com; Website: www.bankerspetroleum.com; AIMNOMAD: Canaccord Genuity Limited, Henry Fitzgerald-O'Connor, +44 0 207 5238000; AIM BROKER: FirstEnergy Capital LLP, Hugh Sanderson / David van Erp, +440 207 448 0200