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.

Rider Acquisition
The business combination with Rider creates an intermediate natural gas focused company with an asset base and technical teams in place to continue to create shareholder value through continued cost effective growth in production per share and reserves per share. The Rider asset base is well suited to NuVista’s existing business strategy, which emphasizes long-term sustainability based on an acquire and develop business model in multi-zone areas with a focus on low operating costs and high working interests. The business combination was completed at attractive acquisition metrics, at a time when natural gas was out of favour, and is accretive to NuVista on a funds from operations, net asset value, reserves and production on a per share basis.

The business combination adds four new core areas, in liquids-rich natural gas prone regions of Alberta, characterized by high netbacks and longer reserve life production, and adds a high impact, deep natural gas drilling inventory to our E&D program. These assets complement NuVista’s existing asset base providing the flexibility to pursue shallow natural gas, deep natural gas and heavy oil targets both through E&D activities and acquisitions. Further, the business combination allows us to implement a balanced capital program throughout the year.

2008 Plans
NuVista’s financial and operating results for 2008 will include the business combination of Rider effective March 4, 2008. For 2008, NuVista’s Board of Directors has approved a capital program, in addition to the business combination with Rider, ranging from $155 million to $175 million. NuVista anticipates drilling 140 to 150 wells in 2008 and spending approximately 30% of its capital program on complementary acquisitions. The portion of expenditures allocated to E&D activities is balanced between NuVista and Rider properties. As a combined company, NuVista expects to have an expanded opportunity inventory heading into 2009. We will continue to adjust and redistribute capital based on market conditions and available acquisition opportunities.