BPZ Energy Obtains Permit Extension at Albacora Field

BPZ Energy BPZ announced today that the Peruvian Ministry of Energy and Mines (MEM) has granted extension of the gas flaring permit for the Company's Albacora field operations through December 28, 2012, allowing oil production testing to continue. Peruvian regulations require permits for gas flaring if gas reinjection or commercial gas sales are not occurring. Although the necessary equipment to reinject gas and water at Albacora was installed early in the year, it is currently idle as the corresponding environmental permit to allow for reinjection is still being finalized. Once the environmental permit is received and the equipment startup process begins, the recently granted gas flaring permit also allows for any necessary flaring while bringing the currently idled reinjection equipment to operating condition.