Reserves Information

GLJ Petroleum Consultants (“GLJ”) has completed an independent reserves assessment and evaluation of the oil and gas properties of WestFire Energy Ltd. with an effective date of December 31, 2010. (“GLJ Report”). The evaluation has been prepared in accordance with reserves definitions, standards and procedures contained as set out by NI51-101 and contained in the Canadian Oil and Gas Evaluation Handbook (“COGEH”). Reserves included herein are stated on a company interest basis (before royalty burdens and including royalty interests) unless otherwise noted. The recovery and reserve estimates provided herein are estimates only and there is no guarantee that the estimated reserves will be recovered. Actual crude oil, natural gas and natural gas liquid reserves may be greater than or less than the estimates provided herein.

WestFire has a reserves committee comprised of board members which reviews the qualifications and appointment of the independent reserve evaluators and reviews the process for providing information to the evaluators. The committee is chaired by an independent board member. The GLJ Report was reviewed by the reserves committee of WestFire on March 3, 2011 and was approved by the Board of Directors on March 23, 2011.

Proved plus probable reserves were 14.24 million barrels of oil equivalent while total proved were 8.19 million barrels of oil equivalent at December 31, 2010. On a proved plus probable basis, the Company's current mix of reserves are 62% light/medium crude and natural gas liquids, 11% heavy crude and 27% natural gas.

Proved developed producing reserves represent 47 per cent of total proved reserves and 27 per cent of proved plus probable reserves; total proved reserves account for 57 per cent of proved plus probable reserves.

Reserve additions, on a proved plus probable basis, came primarily through development activities of 4.81 million barrels of oil equivalent, and exploration and acquisitions of 0.45 million barrels of oil equivalent.

Click to view the following Westfire reserves tables: