BPZ Resources provides the update of estimated oil reserves from independent reserve engineers Netherland Sewell and Associates, Inc. (NSAI) on the Company's Corvina field in offshore Block Z-1 in northwest Peru. NSAI's reserves report estimated Proved, Probable, and Possible oil reserves as of June 30, 2009 based on the definitions and guidelines set forth in the 2007 Petroleum Resources Management System approved by the Society of Petroleum Engineers (SPE). This midyear reserve report was obtained in connection with the ongoing negotiation of a reserves-based credit facility.

The combined total of Proved, Probable, and Possible reserves (commonly known as 3P reserves) in Corvina approximates 91 million barrels of oil (Mmbo), compared to the previous estimates of 81 Mmbo at year end 2008. The Proved oil-in-place increased from 97 Mmbo to 136 Mmbo, while the corresponding Proved remaining oil reserves increased from 25 to 25.3 Mmbo, after deducting the 1.6 Mmbo produced as of June 30th through the long term testing program. The estimated average ultimate oil recovery per well remained approximately the same at 1.3 million barrels for the Proved category, although increasing by 0.1 million barrels to 2.1 and 2.2 million barrels for the Probable and Possible categories, respectively.

The Corvina oil reserves were derived from information gathered from the wells drilled to date from the CX-11 platform. The Proved reserves were based on oil-in-place found in the area directly delineated by the five oil wells drilled to date, and their corresponding three proved undeveloped locations (PUDs) per drilled oil well, as well as their production performance. The Probable and Possible reserves also take into account the oil-in-place in the remaining area of the oil pool, as well as the possible beneficial effect of an aquifer or other production support mechanism that could result in an increase in recoverable reserves.

Manolo Zunyiga, President and Chief Executive Officer, said, "This updated report showing that Corvina's potential oil pool has now reached 204 Mmbo continues to illustrate the impact our Corvina drilling campaign is having in growing our asset base. Our last well, in particular, allowed us to increase our Proved oil-in-place by approximately 40% to 136 Mmbo. We would need a total of approximately 28 wells in the Proved category to tap all this Proved oil-in-place using the current estimated ultimate oil recovery of 1.3 Mmbo per well. The next two or three Corvina oil wells, with their corresponding PUDs per well, should allow us to increase the number of Proved oil wells from 21 to 28, while increasing the Proved oil reserves accordingly. We are also encouraged that the estimated average ultimate oil recovery per well has remained the same for the Proved category, while slightly increasing for the Probable and Possible categories, a consequence of the results obtained so far in our long term testing program."

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