2009-08-04-2009-07-01-2009-08-01

Bought SK assets, gaining 414,300 BO proved, 148 BO/d.

Painted Pony Petroleum Ltd., Calgary, (Toronto Venture: PPY-A) has closed its acquisition of certain oil properties in Saskatchewan from an undisclosed private seller for C$10 million. The deal values production at C$62,500 per barrel equivalent, proved reserves at C$24.14 per barrel equivalent and proved and probable reserves at C$12.14 per barrel equivalent, according to Painted Pony. The assets include 3,410 net undeveloped acres (5.3 net sections) focused in the Bakken-prospective fairway in the Painted Pony's Midale/Huntoon core area in southeastern Saskatchewan. Production is approximately 148 barrels of oil per day, with an additional 12 barrels per day shut-in due to spring breakup. Proved reserves as of April 30 were approximately 414,300 barrels of oil equivalent and probable reserves were 823,700 barrels equivalent, according to Sproule Associates Ltd. All assets are currently operated by Painted Pony and the deal increases the company's average working interest in the areas to more than 80%.