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Triangle Cuts Bakken Spud-to-TD Times; Adds 15 Wells

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Triangle Petroleum Corporation has reported an operational update and reports its second quarter fiscal year 2015 results for the three-month period ended July 31, 2014.

Second Quarter Highlights for Fiscal Year 2015:

• Increased quarterly production volumes to 971 Mboe (10,551 Boepd) as compared to 394 Mboe (4,287 Boepd) in Q2 fiscal 2014 (+146% y/y)
• Increased total estimated net proved reserves to 51,660 Mboe at end of Q2 fiscal 2015 compared to 22,080 Mboe at end of Q2 fiscal 2014 (+134% y/y)
• Increased consolidated revenues to $142.0 million as compared to $50.4 million for the same period in Q2 fiscal 2014 (+182% y/y)
• Increased consolidated net income in Q2 fiscal 2015 to $14.6 million, or $0.17 basic EPS ($0.15 fully diluted EPS), as compared to $6.8 million, or $0.12 basic EPS ($0.12 fully diluted EPS) in Q2 fiscal 2014 (+114% y/y)
  • Increased consolidated pre-tax income in Q2 fiscal 2015 to $24.9 million, as compared to $6.8 million in Q2 fiscal 2014 (+266% y/y)
  • Income tax provision of approximately $10.3 million in Q2 fiscal 2015
  • Increased adjusted net income in Q2 fiscal 2015 to $19.5 million, or $0.23 basic adjusted EPS ($0.20 fully diluted adjusted EPS), as compared to $10.6 million, or $0.19 basic adjusted EPS ($0.19 fully diluted adjusted EPS)
  • Triangle USA Petroleum Corporation (TUSA), the Company's wholly-owned E&P subsidiary, placed $450 million aggregate principal notes
• RockPile Energy Services, LLC contributed revenue of $61.5 million and income before taxes of $8.8 million in Q2 fiscal 2015 to Triangle's consolidated operations, as compared to $15.8 million and ($0.4) million in Q2 fiscal 2014
• After July 31, 2014, RockPile distributed an additional $24 million of dividends to Triangle, bringing cumulative RockPile distributions to $34 million

Segment Operational Update

• TUSA reduced average spud to total depth drill times from 20 days in Q1 fiscal 2015 to approximately 18 days in Q2 fiscal 2015
• Operational efficiencies associated with pad drilling have reduced AFE's on certain recent wells to approximately $9.5 million (before RockPile and other eliminations)
• Completed 15 gross (9.9 net) operated wells and 21 gross (1.0 net) non-operated wells in Q2 fiscal 2015
• RockPile generated approximately $102.1 million of stand-alone revenue in Q2 fiscal 2015 as compared to $44.3 million in Q2 fiscal 2014 (+130% y/y)
  • Completed 15 Triangle operated wells and 19 third-party wells in Q2 fiscal 2015 as compared to 8 Triangle operated wells and 10 third-party well in Q2 fiscal 2014 (+89% y/y)
  • Backlog of approximately 25 wells at the end of Q2 fiscal 2015, including 15 for third-party operators
  • RockPile's fourth pressure pumping spread is expected to be deployed during Q3 fiscal 2015