whitecap and midway announce completion of arrangement

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WHITECAP RESOURCES INC. AND MIDWAY ENERGY LTD. ANNNOUNCE COMPLETION OF ARRANGEMENT

CALGARY, ALBERTA – Whitecap Resources Inc. ("Whitecap" or the "Company") (TSX: WCP) and Midway Energy Ltd. ("Midway") (TSX: MEL) are pleased to announce that they have successfully closed the previously announced plan of arrangement (the "Arrangement"). Pursuant to the Arrangement, Whitecap acquired all of the issued and outstanding class A common shares of Midway for $111.35 million in cash and the issuance of an aggregate of 32.09 million common shares ("Common Shares") of Whitecap and also assumed Midway's debt. In connection with the Arrangement, Whitecap entered into a supplemental warrant indenture whereby it assumed the obligations of Midway in respect of Midway's previously outstanding share purchase warrants that were issued by Midway in connection with a private placement completed in February 2012. As a result, each previously outstanding warrant to acquire a class A common share of Midway will now entitle the holder thereof to acquire 0.4802 of a Common Share at a price of $4.00 per 0.4802 of a Common Share ($8.33 per whole Common Share).

Whitecap is also pleased to announce the Company’s combined production is now 16,000 boe/d (68% Oil + NGL) and, as a result of the Arrangement, the borrowing base of Whitecap's syndicated credit facility has been increased from $250 million to $400 million, an increase of 60 percent.

Whitecap continues to be a high netback light oil producer with a predictable and stable production base with low decline. Our expanded opportunity base allows us to demonstrate per share growth in cash flow, production, reserves and net asset value.

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