BPZ Energy Announces Proposed Offering of Senior Secured Notes

Houston, Oct. 1, 2014 (GLOBE NEWSWIRE) -- BPZ Resources, Inc., (NYSE: BPZ) (BVL: BPZ),("BPZ" or the "Company"), today announced that the Company intendsto offer $150 million in aggregate principal amount of seniorsecured notes due 2019 (the "Notes") in a private placement toeligible investors, subject to market conditions. The Notes will befully and unconditionally guaranteed, jointly and severally, on asenior secured basis, by each of the Company's US- and non-USdomiciled subsidiaries and subject to certain exceptions, will besecured by first priority liens on substantially all of the assetsof the Company and its Guarantors.

BPZ plans to use the net proceeds from the Notesto repay existing indebtedness under the 6.50% Convertible SeniorNotes due March 1, 2015 and for general corporate purposes,including without limitation, funding a portion of the Company'splanned capital expenditures for field development and drilling in2014 and 2015, and infrastructure.   

This press release does not constitute an offerto sell or the solicitation of an offer to buy securities. Any offers of the Notes will be made only by means of aprivate offering circular.  The Notes and related guaranteeshave not been registered under the Securities Act of 1933, asamended (the "Securities Act"), or the securities laws of any otherjurisdiction and may not be offered or sold in the United Statesabsent registration or an applicable exemption from registrationrequirements.  The Notes are being offered and sold only toqualified institutional buyers under Rule 144A, and to non-U.S.persons outside the United States under Regulation S and toinstitutional accredited investors pursuant to Regulation D.  This notice is being issued in accordance with Rule135c under the Securities Act.

ABOUT BPZ ENERGY

BPZ Energy, which trades as BPZ Resources, Inc.under ticker symbol BPZ on the New York Stock Exchange and theBolsa de Valores in Lima, is an independent oil and gas explorationand production company with license contracts covering 1.9 millionnet acres in four blocks located in northwest Peru.  Currentoperations in these blocks range from early-stage exploration toproduction.  The Company holds a 51% working interest inoffshore Block Z-1, where development drilling is currentlyunderway at the Corvina and Albacora fields.  Onshore theCompany holds 100% working interests in three blocks.  Insouthwest Ecuador, the Company owns a non-operating net profitsinterest in a producing property.  Please visit www.bpzenergy.com for moreinformation.

FORWARD LOOKING STATEMENT

This Press Release contains forward-lookingstatements within the meaning of the Private Securities LitigationReform Act of 1995, Section 27A of the Securities Act of 1933 andSection 21E of the Securities Exchange Act of 1934. These forwardlooking statements are based on our current expectations about ourcompany, our properties, our estimates of required capitalexpenditures and our industry. You can identify theseforward-looking statements when you see us using words such as"anticipates," "intends," "will," "expects," and other similarexpressions. These forward-looking statements involve risks anduncertainties.

Our actual results could differ materially fromthose anticipated in these forward looking statements. Suchuncertainties include the anticipated use of the proceeds from theoffering, the success of our project financing efforts, accuracy ofwell test results, results of seismic testing, well refurbishmentefforts, successful production of indicated reserves, receipt ofall required permits, the successful management of our capitalexpenditures, and other normal business risks. We undertake noobligation to publicly update any forward-looking statements forany reason, even if new information becomes available or otherevents occur in the future.

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