---



March 14, 2014

Mr. David Matheson Chief Financial Officer, CFO Dejour
Energy (USA) Corp. 1100-808 West Hastings Street Vancouver, BC V6C
2X4 Canada

Subject:
    Reserve Estimate and Financial Forecast as to Dejours
      Interests in the Kokopelli Field Area, Garfield County, Colorado.


Dear David:

As you requested, Gustavson Associates has completed reserves
and economics as to Dejour Energys interests in future oil and gas production
associated with the Kokopelli Field Area located in Garfield County. Reserves
have been estimated based on analysis of analogous well production data.
Estimates and projections have been made as of January 1, 2014. Reserves have
been estimated in accordance with the US Securities and Exchange Commissions
(SEC) definitions and guidelines, and the report was prepared for the purpose of
inclusion as an exhibit in a filing made with the SEC. This report was completed
on March 5, 2014.

In general, Proved Developed Producing (PDP) reserves have been
assigned to the four Kokopelli Federal wells, and Proved Undeveloped (PUD)
reserves have been assigned to 139 well locations. Gustavson is of the opinion
that no current regulations, and no anticipated changes to regulations, would
inhibit the ability of Dejour to recover the estimated reserves in the manner
projected herein. It is our understanding that the reserves estimated herein
represent all of Dejours US reserves.

The estimated net reserves volumes and associated net cash flow
estimates are summarized in Table 1 below.





5757 Central Ave.      Suite
  D      Boulder, Co. 80301 USA    
   1-303-443-2209      FAX
  1-303-443-3156      http:/ / www.gustavson.com

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Mr. David Matheson March 14, 2014 Page 2

Table 1 Summary of Net Reserves and Projected Before Tax Cash
Flow

Reserves Category
    Net GasReserves(MMCF)
    Net LightCrude OilReserves(MBO)
    Net NGLReserves(MBO)
    **Net Present Value,
      thousands of US$**Discounted at0%
    10%
    15%Proved Developed Producing
    367.1
    2.5
    15.2
    $1,450.5
    $1,069.6
    $956.3Proved Developed Non-Producing
    -
    -
    -
    $0.0
    $0.0
    $0.0Proved Undeveloped
    86,243.3
    587.3
    3,580.3
    $247,444.2
    $83,588.3
    $53,379.4Total Proved
    86,610.4
    589.8
    3,595.6
    $248,894.7
    $84,657.9
    $54,335.7


The proportion of the Companys total reserves represented
by the reserves included in this report is shown below.

Location of Reserves
    
    
    
    
    
    Proportion ofGas
    Light Crude Oil
    NGL
    Oil Equivalent
    Oil Equiv.Country
    Area
    (MMCF)
    (MBBL)
    (MBBL)
    (MBOE)
    ReservesUnited States
    Colorado
    86,610
    590
    3,596
    18,620
    99%Total Company
    
    
    
    
    18,815
    100%


Kokopelli Field Area Assumptions, Garfield County,
Colorado

Gustavson Associates has performed an evaluation of the
reserves associated with both developed and undeveloped locations located in the
Kokopelli Field Project Area, Garfield County, Colorado. Proved Developed
Producing (PDP) Reserves have been assigned to the Federal 6/7-16-21, Federal
6/7-14-21, Federal 6/7-15-21, and Federal 6/7-13-21 wells, which began producing
in July and August of 2013. Logs for these well were reviewed and found to
indicate similar response in the target formations to the response in analogous
producing wells. Proved Undeveloped reserves have been assigned to locations
within the area delineated by successful wells and logged net pay, comprising of
139 locations. The 139 PUD locations and the PDP locations are displayed in
Figure 1.

Dejour entered into a farmout agreement on December 31, 2012
with a private Denver-based drilling fund for a four-well drilling and
completion program which included all the aforementioned PDP locations. The
drilling of these four locations was completed in mid-2013. Dejour will have a
22.23% working interest (WI) and 17.78% net revenue interest (NRI) before payout
of 150% of the capital investments (BPO), and 41.67% WI and 33.34% NRI APO, in
the joint venture for three of the wells. For the Federal 6/7 16-21 well, Dejour
maintains a 15.88% working interest (WI) and 12.70% net revenue interest (NRI)
before payout of 150% of the capital investments (BPO), and 29.77% WI and 23.81%
NRI APO, in the joint venture. Payout of 150% of investment is expected to occur
in 2023. Dejours interests in these four wells can be found in Table 2 below:

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Mr. David Matheson March 14, 2014 Page 3

Table 2 Farmout and Non Farmout Working Interests and Net
Revenue Interests

Company
    No Farmout
    FarmoutFederal 6/7 13, 14, & 15-21
    Federal 6/716-21 wellBPO
    APO
    BPO
    APOWI
    NRI
    WI
    NRI
    WI
    NRI
    WI
    NRI
    WI
    NRIDejour
    71.43
    57.14
    22.23
    17.78
    41.67
    33.34
    15.88
    12.70
    29.77
    23.81Brownstone
    28.57
    22.86
    0.00
    0.00
    0.00
    0.00
    28.57
    22.86
    28.57
    22.86Drilling Fund
    0.00
    0.00
    77.77
    62.22
    58.33
    46.66
    55.55
    44.44
    41.66
    33.33




Figure 1 Map of Dejour PDP, PUD, and Offset Well
Locations

Dejour expects to start the remainder of their drilling program
with 54 wells drilled per year, beginning 2014 through 2017. On this schedule,
the last PUD location will be drilled in November 2016. The estimated ultimate
recovery (EUR) for each location was based on the average performance of wells
in the immediate area. Many of these wells were completed in multiple zones,
including Williams Fork, Rollins, Cozette, and Corcoran. Figure 1 also displays
the locations of Dejours PDP wells, and offsetting producing
wells. All of the PUD locations are within 1.5 miles and flanked by
producing wells.

---

Mr. David Matheson March 14, 2014 Page 4

The type curve utilized for the undeveloped locations was the
same as that determined in the Dejour 2012 year-end reserve report. While there
have been some new wells drilled and completed in the area, their performance on
average appears to have been negatively impacted by operator completion
practices in 2013, namely, the smaller size of fracture treatments. Dejour has
stated their intentions to maintain the larger fracture treatments; therefore,
we have stayed with the type curve based on the wells drilled prior to 2013. The
average EUR was based on the average composite performance of the total well
production from each well. When the economic parameters were considered, this
EUR was found to be approximately 1.15 BCF. This average reserve per well is dry
gas after a shrinkage of 5% is deducted. The Proved Undeveloped location type
curve can be found in Figure 2 below. The estimated net reserves volumes and
associated net cash flow estimates are summarized in Table 1 above.



Figure 2 Composite Type Curve, Kokopelli Area

Oil and Gas Pricing

In order to determine the flat pricing in accordance with SEC
guidelines, the Dejours revenue statements were analyzed. A differential was
calculated based on the price that Dejour was paid versus the West Texas
Intermediate (WTI) and Henry Hub (HH) spot prices averaged for that given month. These differentials were then applied to the WTI
and HH spot prices for the first day of each month in 2013 in order to estimate
prices for Dejours products on the first day of the month, per SEC guidelines.
These values were averaged and applied in the cash flows presented herein.

---

Mr. David Matheson March 14, 2014 Page 5

The oil prices were determined to be 11% lower than WTI prices.
Gas prices were determined to be 9% higher than Henry Hub prices. NGLs were
found to be sold at 79.5% the price of Dejours paid price for oil. The utilized
flat hydrocarbon pricing can be found in the table below.

Flat Price Forecast For Effective Date of January 1,
      2014Oil, Gas & NGL Pricing Includes DifferentialsPiceance Oil, $/B
    Piceance Gas, $/MCF
    Piceance NGL, $/BFlat Pricing
    $86.58
    $4.09
    $68.84


Expenses

The drilling and completion costs utilized for the first 50
undeveloped locations is $1.65 million per well; the next 50 locations is $1.50
million per well; and the remaining locations have a drilling and completion
cost of $1.40 million per well. Operating costs for the PDPs and first 50
undeveloped locations is estimated at $3,759 per well per month; the next 50
locations utilize a monthly operational expense of $3,000 per well; the
remaining undeveloped locations have an anticipated monthly operational expense
of $2,500 per well. This is based on information provided by Dejour and is
consistent with our experience with similar wells in the area. The reduction in
costs reflects economies of scale and contractual advantages expected to be
gained when a large drilling program is executed. Severance tax and conservation
taxes are deducted at the rate of 1.07% of revenue. County ad valorem tax was
estimated at approximately 3.35% of revenue after discussion with Garfield
County personnel. NGL yield of 39 Bbl/MMCF and condensate/gas ratio of 6.5
Bbl/MMCF were based on actual 2013 sales. Contractual gas transportation,
gathering, and processing fees of $0.71/MCF were deducted as operating costs.

Capital and operating costs were held flat. Abandonment costs
of $15,000 per well was assumed. Dejours interests in the property are reported
to be 71.43% working interest with a 20% royalty burden for net revenue interest
of 57.14%, with the exception of the four PDP wells included in the farmout as
described previously.

Detailed cash flow projections by category are shown in Table 3
and Table 4 below. Note that the NGL volumes shown in these tables represent
total NGL sales as expected based on the revenue statements provided by the
Client.1

____________________________________________1 In
some previous reports, ethane and heavier NGLs were reported separately. Here
they are reported together.

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Mr. David Matheson March 14, 2014 Page 6

Limiting Conditions and Disclaimers

The accuracy of any reserve report or resource evaluation is a
function of available data and of engineering and geologic interpretation and
judgment. While the evaluation presented herein is believed to be reasonable, it
should be viewed with the understanding that subsequent reservoir performance or
changes in pricing structure, market demand, or other economic parameters may
justify its revision. The assumptions, data, methods, and procedures used are
appropriate for the purpose served by the report. Gustavson has used all methods
and procedures as we considered necessary under the circumstances to prepare the
report.

Gustavson Associates, LLC, holds neither direct nor indirect
financial interest in the subject property, the company operating the subject
acreage, or in any other affiliated companies.

All data and work files utilized in the preparation of this
report are available for examination in our offices. Please contact us if we can
be of assistance. We appreciate the opportunity to be of service and look
forward to further serving Dejour Energy (USA) Corp.

Sincerely,





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Table 3 Summary Cash Flow Forecast, Proved
Developed Producing Reserves

|TOTAL PROVED DEVELOPED            | DATE     | : 03/05/2014 
|--------------------------------- | -------- | -------------
|KOKOPELLI FIELD                   | TIME     | : 16:03:42   
|GARFIELD COUNTY, COLORADO         | DBS      | : Dejour1-12 
|TO THE INTERESTS OF DEJOUR ENERGY | SETTINGS | **: SETDATA**
|                                  | SCENARIO | **: Dejour** 

R E S E R V E S   A N D   E C O N O M I C
S

EFF DATE: 01/2014PW DATE: 01/2014

|--END-- | **GROSS OIL**   | **GROSS GAS**   | **GROSS NGL**   | **NET OIL**    | **NET GAS**    | **NET NGL**    | **NET OIL** | **NET GAS** | **NET NGL** | TOTAL    
|------- | --------------- | --------------- | --------------- | -------------- | -------------- | -------------- | ----------- | ----------- | ----------- | ---------
|MO-YEAR | PRODUCTION      | PRODUCTION      | PRODUCTION      | **PRODUCTION** | **PRODUCTION** | **PRODUCTION** | REVENUE     | REVENUE     | REVENUE     | REVENUE  
|------- | **---MBBLS---** | **----MMCF---** | **---MBBLS---** | **---MBBLS--** | **----MMCF--** | **---MBBLS--** | ---M$---    | ---M$---    | ---M$---    | ----M$---
|        |                 |                 |                 |                |                |                |             |             |             |          
|12-2014 | 3.091           | 478.730         | 18.845          | 0.508          | 74.568         | 3.096          | 43.966      | 304.982     | 213.103     | 562.050  
|12-2015 | 1.757           | 272.050         | 10.709          | 0.288          | 42.320         | 1.757          | 24.952      | 173.090     | 120.945     | 318.987  
|12-2016 | 1.297           | 200.848         | 7.906           | 0.213          | 31.235         | 1.297          | 18.416      | 127.749     | 89.263      | 235.429  
|12-2017 | 1.050           | 162.634         | 6.402           | 0.172          | 25.288         | 1.050          | 14.910      | 103.429     | 72.270      | 190.609  
|12-2018 | 0.893           | 138.266         | 5.443           | 0.146          | 21.498         | 0.892          | 12.675      | 87.925      | 61.436      | 162.036  
|        |                 |                 |                 |                |                |                |             |             |             |          
|12-2019 | 0.782           | 121.165         | 4.770           | 0.128          | 18.838         | 0.782          | 11.107      | 77.046      | 53.835      | 141.988  
|12-2020 | 0.700           | 108.402         | 4.267           | 0.115          | 16.853         | 0.700          | 9.936       | 68.928      | 48.162      | 127.026  
|12-2021 | 0.636           | 98.456          | 3.876           | 0.104          | 15.306         | 0.635          | 9.024       | 62.602      | 43.742      | 115.368  
|12-2022 | 0.584           | 90.453          | 3.561           | 0.096          | 14.062         | 0.584          | 8.291       | 57.512      | 40.186      | 105.989  
|12-2023 | 0.541           | 83.854          | 3.301           | 0.089          | 13.035         | 0.541          | 7.686       | 53.315      | 37.253      | 98.254   
|        |                 |                 |                 |                |                |                |             |             |             |          
|12-2024 | 0.506           | 78.304          | 3.082           | 0.083          | 12.173         | 0.505          | 7.177       | 49.786      | 34.787      | 91.750   
|12-2025 | 0.475           | 73.561          | 2.896           | 0.078          | 11.435         | 0.475          | 6.742       | 46.770      | 32.680      | 86.192   
|12-2026 | 0.448           | 69.455          | 2.734           | 0.074          | 10.797         | 0.448          | 6.366       | 44.159      | 30.855      | 81.379   
|12-2027 | 0.425           | 65.853          | 2.592           | 0.070          | 10.237         | 0.425          | 6.036       | 41.868      | 29.255      | 77.159   
|12-2028 | 0.404           | 62.556          | 2.462           | 0.066          | 9.724          | 0.404          | 5.733       | 39.772      | 27.790      | 73.296   
|        |                 |                 |                 |                |                |                |             |             |             |          
|S TOT   | 13.590          | 2104.586        | 82.845          | 2.229          | 327.367        | 13.590         | 193.017     | 1338.932    | 935.562     | 2467.512 
|        |                 |                 |                 |                |                |                |             |             |             |          
|AFTER   | 1.694           | 262.365         | 10.328          | 0.271          | 39.753         | 1.650          | 23.439      | 162.591     | 113.609     | 299.639  
|        |                 |                 |                 |                |                |                |             |             |             |          
|TOTAL   | 15.284          | 2366.952        | 93.172          | 2.500          | 367.121        | 15.241         | 216.456     | 1501.524    | 1049.171    | 2767.151 

|--END-- | NET OIL  | NET GAS   | NET NGL   | SEVERANCE   | AD VALOREM  | NET OPER   | OPERATING  | EQUITY         | UNDISC NET  | DISC NET   
|------- | -------- | --------- | --------- | ----------- | ----------- | ---------- | ---------- | -------------- | ----------- | -----------
|MO-YEAR | PRICE    | **PRICE** | **PRICE** | TAXES       | TAXES       | EXPENSES   | CASH FLOW  | **INVESTMENT** | CASH FLOW   | CASH FLOW  
|------- | ---M$--- | ---M$---  | ---M$---  | -----M$---- | -----M$---- | ----M$---- | ----M$---- | ----M$----     | -----M$---- | -----M$----
|        |          |           |           |             |             |            |            |                |             |            
|12-2014 | 86.58    | 4.09      | 68.84     | 3.734       | 18.704      | 104.167    | 435.446    | 0.000          | 435.446     | 415.181    
|12-2015 | 86.58    | 4.09      | 68.84     | 2.119       | 10.615      | 76.307     | 229.946    | 0.000          | 229.946     | 199.313    
|12-2016 | 86.58    | 4.09      | 68.84     | 1.564       | 7.834       | 67.244     | 158.787    | 0.000          | 158.787     | 125.122    
|12-2017 | 86.58    | 4.09      | 68.84     | 1.266       | 6.343       | 62.757     | 120.243    | 0.000          | 120.243     | 86.136     
|12-2018 | 86.58    | 4.09      | 68.84     | 1.076       | 5.392       | 60.199     | 95.369     | 0.000          | 95.369      | 62.107     
|        |          |           |           |             |             |            |            |                |             |            
|12-2019 | 86.58    | 4.09      | 68.84     | 0.943       | 4.725       | 58.661     | 77.659     | 0.000          | 77.659      | 45.976     
|12-2020 | 86.58    | 4.09      | 68.84     | 0.844       | 4.227       | 57.738     | 64.218     | 0.000          | 64.218      | 34.562     
|12-2021 | 86.58    | 4.09      | 68.84     | 0.766       | 3.839       | 57.221     | 53.542     | 0.000          | 53.542      | 26.197     
|12-2022 | 86.58    | 4.09      | 68.84     | 0.704       | 3.527       | 56.989     | 44.769     | 0.000          | 44.769      | 19.913     
|12-2023 | 86.58    | 4.09      | 68.84     | 0.653       | 3.270       | 56.968     | 37.363     | 0.000          | 37.363      | 15.108     
|        |          |           |           |             |             |            |            |                |             |            
|12-2024 | 86.58    | 4.09      | 68.84     | 0.610       | 3.053       | 57.111     | 30.977     | 0.000          | 30.977      | 11.387     
|12-2025 | 86.58    | 4.09      | 68.84     | 0.573       | 2.868       | 57.382     | 25.369     | 0.000          | 25.369      | 8.478      
|12-2026 | 86.58    | 4.09      | 68.84     | 0.541       | 2.708       | 56.816     | 21.315     | 0.000          | 21.315      | 6.476      
|12-2027 | 86.58    | 4.09      | 68.84     | 0.513       | 2.568       | 56.319     | 17.760     | 0.000          | 17.760      | 4.905      
|12-2028 | 86.58    | 4.09      | 68.84     | 0.487       | 2.439       | 55.864     | 14.506     | 4.229          | 10.277      | 2.622      
|        |          |           |           |             |             |            |            |                |             |            
|S TOT   | 86.58    | 4.09      | 68.84     | 16.392      | 82.113      | 941.741    | 1427.267   | 4.229          | 1423.038    | 1063.483   
|        |          |           |           |             |             |            |            |                |             |            
|AFTER   | 86.58    | 4.09      | 68.84     | 1.991       | 9.971       | 248.741    | 38.936     | 11.478         | 27.458      | 6.137      
|        |          |           |           |             |             |            |            |                |             |            
|TOTAL   | 86.58    | 4.09      | 68.84     | 18.382      | 92.084      | 1190.481   | 1466.203   | 15.707         | 1450.496    | 1069.620   

|                     | OIL       | GAS       |  |                           |        | P.W. % | P.W., M$
|-------------------- | --------- | --------- |  | ------------------------- | ------ | ------ | --------
|                     | --------- | --------- |  |                           |        | ------ | --------
|GROSS WELLS          | 0.0       | 4.0       |  | LIFE, YRS.                | 22.25  | 5.00   | 1225.246
|GROSS ULT., MB & MMF | 15.284    | 2790.128  |  | DISCOUNT %                | 10.00  | 10.00  | 1069.620
|GROSS CUM., MB & MMF | 0.000     | 423.177   |  | UNDISCOUNTED PAYOUT, YRS. | 0.00   | 15.00  | 956.298 
|GROSS RES., MB & MMF | 15.284    | 2366.951  |  | DISCOUNTED PAYOUT, YRS.   | 0.00   | 20.00  | 870.137 
|NET RES., MB & MMF   | 2.500     | 367.121   |  | UNDISCOUNTED NET/INVEST.  | 93.35  | 25.00  | 802.291 
|NET REVENUE, M$      | 216.456   | 1501.524  |  | DISCOUNTED NET/INVEST.    | 418.07 | 30.00  | 747.328 
|INITIAL PRICE, $     | 86.580    | 4.090     |  | RATE-OF-RETURN, PCT.      | 100.00 | 40.00  | 663.265 
|INITIAL N.I., PCT.   | 16.427    | 16.427    |  | INITIAL W.I., PCT.        | 20.564 | 60.00  | 553.783 
|                     |           |           |  |                           |        | 80.00  | 484.132 
|                     |           |           |  |                           |        | 100.00 | 435.050 

---

Table 4 Summary Cash Flow Forecast, Proved
Undeveloped Reserves

|TOTAL PROVED UNDEVELOPED          | DATE     | : 03/05/2014 
|--------------------------------- | -------- | -------------
|KOKOPELLI FIELD                   | TIME     | : 16:04:03   
|GARFIELD COUNTY, COLORADO         | DBS      | : Dejour1-12 
|TO THE INTERESTS OF DEJOUR ENERGY | SETTINGS | **: SETDATA**
|                                  | SCENARIO | **: Dejour** 

R E S E R V E S   A N D   E C O N O M I C
S

EFF DATE: 01/2014PW DATE: 01/2014

|--END-- | GROSS OIL       | GROSS GAS       | GROSS NGL       | NET OIL         | NET GAS        | NET NGL        | NET OIL   | NET GAS    | NET NGL    | TOTAL     
|------- | --------------- | --------------- | --------------- | --------------- | -------------- | -------------- | --------- | ---------- | ---------- | ----------
|MO-YEAR | PRODUCTION      | PRODUCTION      | PRODUCTION      | **PRODUCTION**  | **PRODUCTION** | **PRODUCTION** | REVENUE   | REVENUE    | REVENUE    | REVENUE   
|------- | **---MBBLS---** | **----MMCF---** | **---MBBLS---** | **---MBBLS---** | **----MMCF--** | **---MBBLS--** | ---M$---  | ---M$---   | ---M$---   | ----M$--- 
|        |                 |                 |                 |                 |                |                |           |            |            |           
|12-2014 | 38.329          | 5935.913        | 233.660         | 21.901          | 3216.090       | 133.513        | 1896.223  | 13153.798  | 9191.061   | 24241.100 
|12-2015 | 91.965          | 14242.327       | 560.633         | 52.549          | 7716.526       | 320.345        | 4549.700  | 31560.566  | 22052.543  | 58162.863 
|12-2016 | 114.939         | 17800.160       | 700.682         | 65.676          | 9644.151       | 400.370        | 5686.247  | 39444.645  | 27561.430  | 72692.297 
|12-2017 | 78.662          | 12182.042       | 479.531         | 44.947          | 6600.252       | 274.004        | 3891.543  | 26995.006  | 18862.451  | 49749.000 
|12-2018 | 56.993          | 8826.265        | 347.436         | 32.566          | 4782.093       | 198.525        | 2819.544  | 19558.771  | 13666.435  | 36044.746 
|        |                 |                 |                 |                 |                |                |           |            |            |           
|12-2019 | 46.206          | 7155.794        | 281.679         | 26.402          | 3877.023       | 160.951        | 2285.913  | 15857.042  | 11079.906  | 29222.842 
|12-2020 | 39.406          | 6102.697        | 240.226         | 22.517          | 3306.453       | 137.265        | 1949.505  | 13523.406  | 9449.306   | 24922.217 
|12-2021 | 34.636          | 5363.999        | 211.147         | 19.791          | 2906.224       | 120.650        | 1713.525  | 11886.456  | 8305.516   | 21905.492 
|12-2022 | 31.068          | 4811.355        | 189.393         | 17.752          | 2606.805       | 108.219        | 1536.984  | 10661.817  | 7449.817   | 19648.643 
|12-2023 | 28.279          | 4379.393        | 172.390         | 16.158          | 2372.763       | 98.503         | 1398.996  | 9704.614   | 6780.972   | 17884.580 
|        |                 |                 |                 |                 |                |                |           |            |            |           
|12-2024 | 26.028          | 4030.797        | 158.667         | 14.872          | 2183.895       | 90.663         | 1287.635  | 8932.122   | 6241.211   | 16460.971 
|12-2025 | 24.166          | 3742.518        | 147.320         | 13.809          | 2027.702       | 84.178         | 1195.544  | 8293.302   | 5794.843   | 15283.692 
|12-2026 | 22.597          | 3499.462        | 137.752         | 12.912          | 1896.014       | 78.712         | 1117.901  | 7754.699   | 5418.498   | 14291.104 
|12-2027 | 21.253          | 3291.287        | 129.558         | 12.144          | 1783.228       | 74.029         | 1051.401  | 7293.401   | 5096.180   | 13440.983 
|12-2028 | 20.120          | 3115.849        | 122.652         | 11.496          | 1688.173       | 70.083         | 995.355   | 6904.632   | 4824.523   | 12724.509 
|        |                 |                 |                 |                 |                |                |           |            |            |           
|S TOT   | 674.647         | 104479.859      | 4112.725        | 385.493         | 56607.391      | 2350.010       | 33376.012 | 231524.281 | 161774.688 | 426675.000
|        |                 |                 |                 |                 |                |                |           |            |            |           
|AFTER   | 353.201         | 54698.793       | 2153.152        | 201.819         | 29635.916      | 1230.311       | 17473.492 | 121210.906 | 84694.617  | 223378.984
|        |                 |                 |                 |                 |                |                |           |            |            |           
|TOTAL   | 1027.848        | 159178.656      | 6265.877        | 587.312         | 86243.312      | 3580.321       | 50849.504 | 352735.188 | 246469.312 | 650054.000

|--END-- | NET OIL  | NET GAS   | NET NGL   | SEVERANCE   | AD VALOREM  | NET OPER   | OPERATING  | EQUITY         | UNDISC NET  | DISC NET   
|------- | -------- | --------- | --------- | ----------- | ----------- | ---------- | ---------- | -------------- | ----------- | -----------
|MO-YEAR | PRICE    | **PRICE** | **PRICE** | TAXES       | TAXES       | EXPENSES   | CASH FLOW  | **INVESTMENT** | CASH FLOW   | CASH FLOW  
|------- | ---M$--- | ---M$---  | ---M$---  | -----M$---- | -----M$---- | ----M$---- | ----M$---- | ----M$----     | -----M$---- | -----M$----
|        |          |           |           |             |             |            |            |                |             |            
|12-2014 | 86.58    | 4.09      | 68.84     | 161.035     | 806.682     | 3362.669   | 19910.703  | 56756.844      | -36846.148  | -35410.023 
|12-2015 | 86.58    | 4.09      | 68.84     | 386.380     | 1935.510    | 8608.683   | 47232.273  | 56182.695      | -8950.458   | -7973.347  
|12-2016 | 86.58    | 4.09      | 68.84     | 482.900     | 2419.014    | 11520.249  | 58270.145  | 32898.117      | 25372.057   | 19405.477  
|12-2017 | 86.58    | 4.09      | 68.84     | 330.486     | 1655.521    | 9188.992   | 38573.988  | 0.000          | 38573.988   | 27632.482  
|12-2018 | 86.58    | 4.09      | 68.84     | 239.448     | 1199.477    | 7641.883   | 26963.900  | 0.000          | 26963.900   | 17559.641  
|        |          |           |           |             |             |            |            |                |             |            
|12-2019 | 86.58    | 4.09      | 68.84     | 194.129     | 972.462     | 6906.530   | 21149.725  | 0.000          | 21149.725   | 12521.168  
|12-2020 | 86.58    | 4.09      | 68.84     | 165.560     | 829.348     | 6469.428   | 17457.881  | 0.000          | 17457.881   | 9395.918   
|12-2021 | 86.58    | 4.09      | 68.84     | 145.520     | 728.959     | 6184.893   | 14846.141  | 0.000          | 14846.141   | 7263.873   
|12-2022 | 86.58    | 4.09      | 68.84     | 130.527     | 653.856     | 5991.237   | 12872.992  | 0.000          | 12872.992   | 5725.878   
|12-2023 | 86.58    | 4.09      | 68.84     | 118.809     | 595.154     | 5857.071   | 11313.544  | 0.000          | 11313.544   | 4574.756   
|        |          |           |           |             |             |            |            |                |             |            
|12-2024 | 86.58    | 4.09      | 68.84     | 109.351     | 547.779     | 5764.457   | 10039.385  | 0.000          | 10039.385   | 3690.489   
|12-2025 | 86.58    | 4.09      | 68.84     | 101.531     | 508.602     | 5702.350   | 8971.216   | 0.000          | 8971.216    | 2998.025   
|12-2026 | 86.58    | 4.09      | 68.84     | 94.937      | 475.571     | 5585.466   | 8135.127   | 0.000          | 8135.127    | 2471.471   
|12-2027 | 86.58    | 4.09      | 68.84     | 89.289      | 447.281     | 5485.363   | 7419.042   | 0.000          | 7419.042    | 2049.022   
|12-2028 | 86.58    | 4.09      | 68.84     | 84.530      | 423.440     | 5400.999   | 6815.539   | 0.000          | 6815.539    | 1711.221   
|        |          |           |           |             |             |            |            |                |             |            
|S TOT   | 86.58    | 4.09      | 68.84     | 2834.433    | 14198.656   | 99670.266  | 309971.656 | 145837.641     | 164133.922  | 73616.055  
|        |          |           |           |             |             |            |            |                |             |            
|AFTER   | 86.58    | 4.09      | 68.84     | 1483.923    | 7433.485    | 129262.508 | 85199.086  | 1888.811       | 83310.281   | 9972.262   
|        |          |           |           |             |             |            |            |                |             |            
|TOTAL   | 86.58    | 4.09      | 68.84     | 4318.356    | 21632.141   | 228932.766 | 395170.750 | 147726.469     | 247444.188  | 83588.320  

|                     | OIL       | GAS        |  |                                 |        | P.W. % | P.W., M$  
|-------------------- | --------- | ---------- |  | ------------------------------- | ------ | ------ | ----------
|                     | --------- | ---------  |  |                                 |        | ------ | --------  
|GROSS WELLS          | 0.0       | 139.0      |  | LIFE, YRS.                      | 42.83  | 5.00   | 136375.953
|GROSS ULT., MB & MMF | 1027.848  | 159178.656 |  | DISCOUNT %                      | 10.00  | 10.00  | 83588.328 
|GROSS CUM., MB & MMF | 0.000     | 0.000      |  | UNDISCOUNTED
      PAYOUT, YRS. | 3.53   | 15.00  | 53379.430 
|GROSS RES., MB & MMF | 1027.848  | 159178.656 |  | DISCOUNTED PAYOUT, YRS.         | 3.87   | 20.00  | 33964.258 
|NET RES., MB & MMF   | 587.313   | 86243.352  |  | UNDISCOUNTED
      NET/INVEST.  | 2.68   | 25.00  | 20544.215 
|NET REVENUE, M$      | 50849.547 | 352735.250 |  | DISCOUNTED NET/INVEST.          | 1.64   | 30.00  | 10813.058 
|INITIAL PRICE, $     | 86.580    | 4.090      |  | RATE-OF-RETURN, PCT.            | 38.14  | 40.00  | -2086.993 
|INITIAL N.I., PCT.   | 57.140    | 57.140     |  | INITIAL W.I., PCT.              | 71.430 | 60.00  | -15022.593
|                     |           |            |  |                                 |        | 80.00  | -20700.264
|                     |           |            |  |                                 |        | 100.00 | -23389.502

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