Cub Energy Inc. Reports Year-End Reserves for 2013 - Seite 2

(1)	See "Oil and Gas Equivalents" below
(2)	Reserves net to the Company's interest after deduction of royalties

Table 2 Net Present Value at 10% before tax (US$ Millions)⁽¹⁾⁽²⁾

Reserves Category	NPV
Proved Developed Producing (PDP)	51.4
Total Proved (1P)	76.9
Total Proved plus Probable (2P)	150.8

Note:

(1)	The forecast prices used in the calculations of the present value of future net revenue for year-end 2013 are based on the RPS Reports of Eastern Ukraine and Western Ukraine asset forecast prices.
(2)	Estimated values do not represent fair market value.

Oil and Gas Equivalents

A barrel of oil equivalent ("boe") or units of natural gas equivalents ("Mcfe") is calculated using the conversion factor of 6 Mcf (thousand cubic feet) of natural gas being equivalent to one barrel of oil. A boe conversion ratio of 6 Mcf: 1 bbl (barrel) or an Mcfe conversion of 1bbl: 6 Mcf is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead and is not based on either energy content or current prices. While the boe ratio is useful for comparative measures, it does not accurately reflect individual product values and might be misleading, particularly if used in isolation. As well, given that the value ratio, based on the current price of crude oil to natural gas, is significantly different from the 6:1 energy equivalency ratio, using a 6:1 conversion ratio may be misleading as an indication of value.