Bowood Energy Inc. report that the drilling rig has now moved on to its second well in the southern Alberta Bakken fairway. Bowood anticipates that the well will spud on July 22, 2011. The Kipp 8-30 horizontal well, licensed as LGY KAINAI BOWOOD HZ KIPP 8- 30 -8-23W4, is being drilled by Legacy Oil + Gas Inc. from a surface location in 15-20-8-23W4 with the horizontal portion of the well expected to terminate in 8- 30 -8-23 W4. The well's primary targets are the Big Valley, Exshaw and Banff Formations, which collectively form the Bakken petroleum system in the southern Alberta Basin. Drilling is expected to take six to eight weeks.

Completion operations and evaluation of the Spring Coulee 3-36-3-23W4 horizontal well, also in the Alberta Bakken fairway, which were delayed due to weather and equipment delays are expected to resume shortly, with the second phase of fracture stimulation.

Armada Update The Company recently drilled two (net 1.25) wells at Armada, Alberta which have both been cased. The first well has been fracture stimulated and has tested natural gas on cleanup at rates in excess of 1.5 MMCF/d. The well is anticipated to be tied in during the third quarter of 2011. Due to third party gathering system constraints, the well will be brought on production at a curtailed rate of approximately 1 MMCF/d (150 boe/d net). The second well has been cased and is awaiting completion.

Tags: Bowood Energy