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Activa Resources AG provides operational update and publishes Q1 Newsletter

26.03.2015  |  DGAP
- 18 % oil production growth in 2014

- 28 % increase in proven reserves to 6.66 million BOE in 2014

- Value of proven reserves rises 13 % to USD 105 million

- Up to 100 % hedged in 2015

- Financial position strengthened with non-core acreage sale and further bond placements

Bad Homburg, 26th March 2015. Activa Resources AG, an independent oil and gas producer, reports today on its latest operational developments, details of which can be found in its Q1 Newsletter.

Activa's net production of oil in 2014 increased 18 % to 70,925 BO (vs. 60,304 BO in 2013). The increase is primarily attributable to the sixth and seventh horizontal wells at OSR-Halliday which went on line in April and August 2014 respectively. Net production of natural gas declined 24 % to 24,988 BOE. Net production of natural gas liquids was unchanged at 5,244 BOE. Overall annual production therefore comprised 70% (61%) oil, 25% (34%) natural gas and 5% (unchanged) natural gas liquids. Production shifted therefore further to oil during 2014 as planned.

Activa achieved a significant increase in proven oil and natural gas reserves in 2014. Total 1P reserves increased by 28 % to 6.66 million BOE at January 1st, 2015 (vs. 5.19 million BOE one year prior). The increase in both oil and natural gas reserves is primarily attributable to the drilling successes at OSR-Halliday and Halls Bayou in addition to the booking of additional up-dip natural gas reserves at Loma Field. The value of Activa's proven reserves increased 13.7 % y-o-y from USD 92.9 million to USD 105.6 million (PV10) at January 1st, 2015.

Further to the previously announced bond redemptions in December 2014, Activa strengthened its financial position in 2015 Q1 via two transactions. USD 433,000 was raised from the sale of non-core acreage and approx. EUR 1 million of the Activa Resources AG 2013/2017 corporate bond was successfully placed with investors.

While US oil prices might be bottoming out Activa is not expecting a swift recovery in prices and therefore has a comprehensive hedging strategy in place. In the past typically up to 30 % of Activa's oil production was hedged. For 2015 USD 80 WTI put contracts are in place covering 3,000 barrels per month, equating to roughly half of the company's current monthly production. USD 45 puts to cover the remaining 3,000 BO per month for Q2 and Q3 2015 have recently been added. Activa therefore has 100% of its current oil production hedged from April to September 2015 at an average of USD 62.5 per barrel. At the current time the USD 80 WTI hedge is generating income of approx. USD 100,000 per month. The market value of the hedge exceeds USD 1.4 million.

At OSR-Halliday preparations are underway to drill the next wells, which will likely commence in the summer. The second Halls Bayou well is on schedule to be drilled in April.

Further details can be found in our Q1 Newsletter which can be downloaded from www.activaresources.com

The Management Board

About Activa Resources AG
Activa Resources AG is an independent oil and gas company which focuses on the acquisition, development and exploitation of oil and natural gas properties. Activa Resources AG is listed on the Frankfurt stock exchange and is based in Bad Homburg, Germany. The company's management and technical team comprise oil industry experts with many years operational experience at major international oil companies. Further information can be found at www.activaresources.com.

Forward-looking statements
This news release includes forward-looking statements. Forward-looking statements include, but are not limited to, statements concerning estimates of expected drilling and development wells and associated costs, statements relating to estimates of, and increases in, production, cash flows and values and other statements which are not historical facts. When used in this document, the words such as "could," "plan," "estimate", "expect", "intend", "may", "potential", "should" and similar expressions are forward-looking statements. Although Activa believes that its expectations reflected in these forward-looking statements are reasonable, such statements involve risks and uncertainties and no assurance can be given that actual results will be consistent with these forward-looking statements. Important factors that could cause actual results to differ from these forward-looking statements include the potential that the Company's projects will experience technological and mechanical problems, that geological conditions in the reservoir may not result in commercial levels of oil and gas production, that changes in product prices can have a material impact and that Activa fails to raise sufficient capital to adequately fund its activities.

Company contact 
Activa Resources AG 
Hessenring 107 
61348 Bad Homburg 
www.activaresources.com 
Telefon: +49 (0)6172-483 2352 
FAX: +49 (0)6172-483 2353 
lah@activaresources.com 

Investor Relations contact
GFEI Aktiengesellschaft
Mailänder Straße 2
30539 Hannover
www.gfei.de
Telefon: +49 (0)511-4740 2311
FAX: +49 (0)511-4740 2319
activa-resources@gfei.de





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