2011-05-12-2011-04-25-2011-06-15

Bought assets in SW SK targeting Shaunavon and Dodsland Viking formations, gaining 1,800 BOE/d.

Wild Stream Exploration Inc., Calgary, (Toronto: WSX) has closed its acquisition of certain operated producing oil and gas assets in southwestern Saskatchewan from an undisclosed seller for some C$175 million in cash and stock.

Wild Stream paid C$160 million in cash and issued 1.3 million shares. The acquisition adds material production, reserves and undeveloped land in its core Shaunavon and Dodsland resource oil plays.

The deal involves a 75% average working interest in properties that are 90% operated and have extensive associated infrastructure. Production is 1,800 barrels of oil equivalent per day (75% oil). Substantially all of the existing production is connected to underutilized oil and gas processing facilities that will allow further development with minimal related infrastructure expenditures.

The acquisition allows Wild Stream to continue the exploitation of underdeveloped Upper Shaunavon pools and to extend the boundaries of the company's Lower Shaunavon and Dodsland Viking resource oil fairways.

Upside includes more than 50 potential drilling locations in the Upper Shaunavon formation. Based on internal estimates the acquisition has defined Upper Shaunavon oil pools with discovered petroleum initially in place of more than 150 million barrels. These pools have recovered less than 10% of the DPIIP.

Recent drilling in close proximity to the acquisition has indicated an extension of the Lower Shaunavon resource oil fairway on to a significant portion of these lands. Wild Stream has identified the potential for in excess of 60 Lower Shaunavon horizontal locations. The acquisition lands adjoin the 15,000 net acres that Wild Stream acquired at the April 11 Saskatchewan crown land sale. Cumulatively, Wild Stream's net unbooked drilling inventory in the Lower Shaunavon has now increased to in excess of 200 wells.

The Dodsland area includes an estimated 50 net drilling locations. The lands complement the 20,000 net acres acquired at the April 11 Saskatchewan crown land sale and the recent exploration success in the vicinity of those lands. Wild Stream's net unbooked drilling inventory has climbed to in excess of 250 wells in this area.