BlackRock Ventures Inc. is a publicly traded company focused on development and production of heavy oil in western Canada. Our operations range from conventional heavy oil production in Alberta and Saskatchewan to steam assisted gravity drainage (SAGD) activities in the Alberta oilsands.

Properties

Hilda Lake, Alberta

The Hilda Lake project is a thermal in-situ operation located approximately 25 miles from the city of Cold Lake, in northeastern Alberta.

BlackRock has operated a steam assisted gravity drainage (SAGD) pilot project on its lease for over six years. The technology has proven successful and we have applied for regulatory approval to expand the 500 barrel per day pilot into a 20,000 barrel per day commercial development.

Commercial development will involve drilling over 100 horizontal wells and adding steam generation, water handling and production facilities. The commercial development is named the Orion EOR project.

Highlights of the project include:

● Adjacent to Imperial Oil's 140,000 barrel per day thermal project

● 20 - 30 metres of homogenous pay in the Clearwater Formation

● 20,000 barrel per day commercial development application filed

● Estimated 191 million barrels of recoverable oil, 25 year project life

● 100% working interest

● Eligible for low oil sands royalty regime (1% prior to payout)

● Oil quality is 10.5º API

Seal, Alberta

Highlights

● Exposure to over 1 billion barrels of oil in place

● Key determinant will be establishing how much of this oil is recoverable (recovery
ratesS

● Eligible for the 1% Crown royalty rate(before pay-out) on oilsands projects

● New infrastructure will significantly improve area economics

Overview

Seal, located in the Peace River Oilsands, has become the major focus area for BlackRock. We began exploring at Seal in 1999. Today, we have over 80,000 net acres of land.

Our target is the Bluesky formation at a depth of about 625 metres. The area was previously known to contain heavy oil but prior to BlackRock's discovery the conventional view was that the oil was not mobile and that it required an expensive thermal operation to access it. Our initial horizontal test well confirmed our hypothesis that not all of the oil was seriously degraded and there were areas where the oil was mobile enough to produce using conventional primary production means.

We have estimated that BlackRock's working interest share of oil in place is in excess of one billion barrels of oil at Seal. A key component in determining the economic value of the play is to establish appropriate reservoir recovery rates. In addition to primary recovery, the Seal acreage could be amenable to secondary and tertiary recovery from waterflooding or thermal applications, which could increase these recovery factors.

BlackRock has divided this acreage into seven distinct blocks, on the basis of the Bluesky geology.