Delphi Energy Corp. provided an operations update on the winter program at its Bigstone Montney property. The success of the program has increased current corporate production to average over 10,000 barrels of oil equivalent per day (‘boe/d') for the past two weeks. The company's planned drilling program in 2017 will more than double the number of wells drilled under the 2016 program with the addition of a second drilling rig that commenced activity in December 2016. The 2017 development plan contemplates the drilling of 13 gross (8.4 net) Bigstone Montney horizontal wells and the completion, tie-in and well site equipping of 14 gross (9.0 net) wells. Results from the Company's Montney drilling and completion operations are meeting or exceeding expectations. The combination of new development moving further west on the Company's Bigstone Montney property, along with Delphi's third generation frac design, has shown significant improvements to field condensate to natural gas yields as demonstrated by the current corporate production weighting increase to 41% liquids. The company to report the first three (2.0 net) wells of the 2017 program have recently been brought on production. Initial results of the 15-08-60-223W5 (‘15-08'), 15-11-60-23W5 and 13-15-60- 23W5 wells have all met or exceeded Delphi's expectations. Over the first 20 days on production 15-08 (65% working interest), averaged a total of 1,326 boe/d with a field condensate to sales gas ratio of 238 barrels per million cubic feet (‘bbl/mmcf'). Total liquid production, including estimated natural gas liquids of 46 bbl/mmcf sales, accounted for 63% of the total sales production rate. Delphi will report initial production results of the other two wells when the data becomes available. Delphi's fourth well of the 2017 program at 15-9-60-23W5 (61.8% working interest) was drilled to a total depth of 5,912 metres with a horizontal lateral in the Montney of 2,864 metres. A 40 stage completion liner was installed with fracturing operations scheduled to commence after spring break-up. In early March, the Company commenced drilling its fifth and sixth wells of the 2017 capital program at 13- 17-59-22W5 (65% working interest) and 13-9-60-23W5 (61.8% working interest). An additional well will be drilled from each of these pad sites, resulting in Delphi having a total of five (3.2 net) additional Montney wells ready for completion operations after spring break-up.

The company reconfirms its production guidance to exit 2017 between 11,000 and 12,000 boe/d.