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The Edson area remains a core land position for Angle post the disposition, with 18,953 net acres (29.6 net sections) of undeveloped Cardium land, and 35,680 net acres (55.75 net sections) of undeveloped Duvernay land.

OPERATIONAL UPDATE

Angle drilled and rig released 10 gross (8.3 net) horizontal wells in the fourth quarter of 2012, with 6 gross (4.3 net) wells targeting Cardium light oil. In 2012, Angle drilled 45 gross (37.4 net) horizontal wells and 1 gross (1.0 net) directional well with a 100% success rate. Currently, Angle has 1 gross (1.0 net) liquids-rich Mannville gas well, and 2 gross (1.5 net) Cardium oil wells in Ferrier in completion operations or awaiting completion. Current drilling activity includes 4 gross wells, all 100% working interest.

Of the 46 wells drilled in 2012, 30 gross (23.1 net) horizontal wells targeted our Cardium light oil projects. Of the 23.1 net Cardium wells, 18 net wells are in the Harmattan Cardium project.

Fourth quarter production is expected to average 13,800 - 14,000 boe/d of which 24% is light oil and condensate, 23% is NGLs and 53% is natural gas. This estimate is inclusive of the production from the Edson gas assets in the month of December. Light oil and condensate production has increased over 50% from January 2012 (approximately 2,200 bbl/d) to 3,300 bbl/d in December 2012. Average NGL and natural gas production for the quarter was lower than anticipated due to reduced ethane recoveries at the Harmattan Deep Cut facility (275 boe/d), unscheduled facility downtime at the Ferrier Strachan plant during November and December (140 boe/d) and budgeted changes as related to the Edson gas asset disposition and lower than anticipated gas volumes in Lone Pine Creek (600 boe/d), affecting the quarter by approximately 1,015 boe/d. Ethane extraction does not affect Angle's cash flow, as revenue from this product is received on the basis of gas heat equivalency. Due to Angle's higher oil weighting in the quarter, it is anticipated that quarterly cash flow will be in the guided range of approximately $25 - $26 million (estimated and unaudited).

Current field estimated production, post closing of the Edson gas asset disposition, is 11,300 boe/d with approximately 27% light oil and condensate, 27% NGLs and 46% natural gas

2013 CAPITAL PROGRAM AND GUIDANCE

Angle's 2013 capital expenditure program focuses on the highest rate of return projects in the Company's development portfolio, with emphasis on light oil growth in the Cardium plays across the Company. The full year budget includes $145-$160 million in total capital, of which $125-$140 million is allocated to drill 43 - 47 gross (34 - 38 net) wells and related completion, equipping and tie in activities.

Facility capital of $10 million is expected to construct the central oil battery, initially sized to process 4,000 bbls/d of light oil, and related emulsion gathering lines at Harmattan. Drilling, completion, equipping and tie-in capital is expected to be allocated approximately 75 - 80% to the Cardium light oil projects in Harmattan, Ferrier and Edson, and 20 - 25% to Mannville liquids-rich gas and light oil in Harmattan and Ferrier. Capital may be allocated towards the Duvernay shale or other high value projects and is not primarily included in the development budget.

Expected production volumes resulting from the year's capital program will be in the range of 11,300 - 11,700 boe/d, with December month average volumes estimated at 12,000 - 13,000 boe/d. During the year, the production mixture is expected to average approximately 45% natural gas, 25% NGLs, and 30% light oil and condensate. The December month volumes are expected to average approximately 45% natural gas, 23% NGLs, and 32% light oil and condensate.