Parallel Energy Trust T.PLT.DB

Record Nine Month Production and Increases Exit Rate

[CaptainA999]

Good news yet again!!

Calgary, Alberta – Parallel Energy Trust (“Parallel” or the “Trust”) today provided a production update
and increased its 2013 exit rate production guidance.
During the third quarter of 2013, the Trust’s daily production averaged approximately 7,100 boe/day based on field data, which results in a record nine month daily production rate of approximately 7,100 boe/day. Parallel’s production in the third quarter was negatively impacted by a severe electrical storm which interrupted power to the Trust’s operations, as well as a short-term outage at one of the third-party facilities which processes a significant portion of the Trust’s production. Absent these interruptions, Parallel estimates its production for the third quarter would have been consistent with its second quarter production rate of 7,459 boe/day.
Parallel’s current production volumes indicate that the Trust’s annual corporate decline rate is lower than previously expected. The lower decline rate is mainly due to operational efficiencies and the positive impact of the Trust’s workover program which aims to restore lost production by performing cleanouts on Parallel’s existing wells.
As a result of the Trust’s improved annual decline rate and operational performance, Parallel is increasing its 2013 exit rate production target from 7,100 boe/day to 7,300 boe/day.
“Our team has been working hard to improve our production reliability in 2013 and we are pleased that the positive results of our initiatives are now apparent,” said Rick Alexander, Parallel’s President and CEO. “During the third quarter we experienced two significant disruptions to our operations; however, we were able to mitigate the impact of these disruptions with the resulting downtime being within our expected annual range of three to five per cent. Our improved production reliability combined with lower than previously expected decline rates will help to lower the capital we require to maintain and grow our production in the future. This will further enhance the sustainability of our distribution. We look forward to providing additional updates in November with the release of our third quarter financial and operating results.”