Black Ridge Oil & Gas Announces Second Quarter 2015 Results

MINNETONKA, Minn., Aug. 13, 2015

Second Quarter 2015 Company Highlights

• Quarterly production increased 57% over the second quarter of 2014 to 102.2 thousand barrels of oil equivalent ("MBoe"), an average of approximately 1,123 barrels of oil equivalent per day ("Boe/d")
• Oil and gas sales totaled $5.1 million, an increase of 75% over the first quarter of 2015 and a decrease of 9% from the second quarter of 2014
• Added 5 gross (0.17 net) wells, increasing our total producing well count to 291 gross (8.96 net), an increase of 43% over the second quarter of 2014
• Recorded $3.6 million of adjusted EBITDA, equal to the EBITDA generated in the second quarter of 2014
• Reduced general and administrative expenses to $7.15 per Boe, a decrease of 27% from the second quarter of 2014
• Recorded GAAP net loss for the quarter of $0.39 per diluted share, impacted by a non-cash impairment of $21.6 million ($0.34 per diluted share, net of tax effect)
• Announced the formation of a strategic partnership with Merced Capital, focused on acquiring non-operated assets in the Williston Basin
• Continued the development of the Teton project (1.76 net wells) with strong initial production rates
• During and subsequent to the second quarter, entered into swap contracts to sell an additional 237,000 barrels of oil at a weighted average price of $60.40.

Teton Project Update and Production Guidance

The drilling, completion and flowback of the Teton project is running ahead of the Company's original plan, and the daily production volumes achieved during the flowback phase were higher than our initial estimates. The transition from flowback to full production will occur after all of the Teton wells are connected to permanent production facilities, and at this stage, the natural gas tie-in is running behind schedule. While we are very encouraged by the production rates achieved during flowback, we are not updating our full year production guidance of 1,200 Boe/d until we receive clarity on the timing of the facility completion.

The following table summarizes the flowback status of the Teton project as of August 10, 2015. The operator's flowback procedure limited production to less than 15,000 barrels of oil per well. Flowback commenced in late June and is expected to end on approximately August 15.