Nuvista Energy Ltd.

NuVista operates primarily in eight core areas. We focus on building core areas in which we hold high working interests in large contiguous blocks of undeveloped land, operate the production, and control the infrastructure. Once a core area is established, we look for opportunities to expand it by optimizing existing production, acquiring adjacent undeveloped land or completing complementary acquisitions. We also pursue opportunities to acquire producing properties that meet our investment criteria with a view to building additional core areas.

2009 Plans
Although the current financial and commodity markets create considerable uncertainty in the near term, NuVista will be responsive to economic conditions and continue with its disciplined acquire and develop business model. Our 2009 capital program will be reviewed continually throughout the year in the context of commodity prices and financial markets. We continue to look at 2009 as a year that will have as many opportunities as challenges.

NuVista forecasts 2009 funds from operations of $185 million based on current pricing assumptions. These assumptions are $4.50/mcf for AECO natural gas, US$50.00 for WTI crude oil, a foreign exchange rate of 0.81 and include price risk management contracts currently in place but have not included any benefits associated with the Alberta Government's announcement of royalty incentives on March 3, 2009. Based on this forecast of funds from operations, our Board of Directors has approved a 2009 capital budget of $175 million. Approximately $95 million of the capital program will be allocated to exploration and development activities with the flexibility to either accelerate or defer expenditures based upon market conditions. New royalty incentives announced on March 3, 2009 will improve rates of return for drilling in areas such as Eastern Alberta. We expect to drill 50 to 70 wells and this should result in 2009 production averaging between 26,000 boe/d and 26,500 boe/d. Our reduced 2009 capital program will result in a high-grading of opportunities in 2009 and a growing prospect inventory heading into 2010. We will continue to invest human resources and capital on our emerging resource plays in order to develop a thorough understanding of recovery concepts. We will advance these projects in 2009 by drilling new wells to assess recovery from each of these resource plays.

For the first half of 2009, our objective is to limit capital spending to our funds from operations. Capital spending during the first half of 2009, including property acquisitions, is forecasted to be $90 to $100 million. Production in the first half of 2009 is forecast to be within our 26,000 boe/d to 26,500 boe/d guidance range for 2009. This forecast incorporates the first quarter actual production, as well as an extended planned turnaround in our Fir/Kaybob processing facility in early May.

Over the long term we believe that supply and demand fundamentals should result in significant upside for both oil and natural gas prices, however we must be prepared to endure an extended period of low prices before this recovery occurs. We believe our counter-cyclical strategy of acquiring premium assets at attractive prices over the next two to three years and optimizing production from these assets will richly reward our stakeholders over the long term. Throughout our five and one-half year history, NuVista has demonstrated a disciplined and flexible approach to spending and allocating capital with a focus on profitable per share growth while maintaining a strong balance sheet. NuVista will continue with this approach in 2009