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BPZ Energy Provides Operations Update

(July 31, 2014)

Houston, July 31, 2014 (GLOBE NEWSWIRE) -- BPZ
Energy
(NYSE: BPZ) (BVL: BPZ), an independent oil and gas
exploration and production company, today provided the following
operations update.


Manolo Zuniga, President and CEO of BPZ
Energy commented,
"Our development drilling program
continues with two new wells having come online in July, the new
CX15-7D development well has been spud, and the Albacora A-18D
sidetrack well is also underway.  As we previously mentioned,
the A-18D well is being sidetracked to restore oil production while
also targeting deeper prospective zones seen in this and other
Albacora wells, including a new oil zone that is currently being
tested on the recently completed A-26D well.  Plans also
include intervention of two recently drilled oil wells to
reestablish production that has been temporarily lost, affecting
our production ramp up.  Onshore, we are working to finish
testing the initial three exploration wells drilled in Block
XXIII.

We also have a new member on our management
team.  I am pleased to welcome Mr. Gonzalo Ruiz as our new
Vice President of Operations with over 30 years of experience in
the international oil and gas industry.  Gonzalo will have
responsibility for all operations in Peru and Ecuador." 


Offshore Block Z-1 (51%
BPZ)



Production

For the second quarter ended June 30, 2014,
production from offshore Block Z-1 averaged approximately 5,134
barrels of oil per day (bopd) gross, or 2,618 bopd net to BPZ.
 This compares to 2,792 bopd of gross production, or 1,424
bopd net to BPZ in the second quarter of 2013.

Third quarter to date 2014 gross production has
averaged approximately 4,700 bopd, or 2,397 bopd net to BPZ,
through July 30, 2014.  This is lower than expected due to the
loss of production from the A-18D while it is being sidetracked and
two shut in wells that require intervention.  During the month
of June, these three oil wells produced a total of approximately
1,500 bopd gross or, 767 bopd net to BPZ.

Production as of July 30, 2014 was approximately
5,000 bopd gross, or 2,550 net to BPZ.


New Wells Online at Albacora and Corvina
Fields

The new Albacora A-26D development well was
completed on July 12, 2014 and the well has averaged gross
production of 1,000 barrels of oil per day (bopd), or 531 bopd net
to BPZ for the past fourteen days.  For the last 24 hours the
A-26D well has averaged gross production of approximately 900 bopd,
or net production to BPZ of 459 bopd.  This production is
coming from a new deeper oil zone previously untested in Albacora
which is being evaluated now, while the other known oil zones are
expected to be placed on production once the ongoing evaluation of
the new deeper zone is completed.

The new Corvina CX15-5D development was
completed on July 6, 2014 with the well averaging gross production
of 690 bopd, or 352 bopd net to BPZ for the past fourteen
days.  For the last 24 hours the well has averaged gross
production of approximately 660 bopd, or net production to BPZ of
337 bopd.


New Corvina CX15-7D Spud

The new CX15-7D development well was spud on
July 29, 2014.  The well has a targeted measured depth of
8,500 feet and is expected to be completed by October 2014.


A-18D Sidetrack and Well
Interventions

Work on the Albacora A-18D ST (side track) well
has begun and the well is therefore not producing. 
 Because of the new oil zone found in deeper sands on the
Albacora A-26D well, the A-18D ST will be drilled to a depth of
13,600 which is up to 1,000 feet deeper than the original A-18D
well depth.  The well is expected to be completed by late
September 2014.

In early July the Albacora A-21D well and the
CX15-3D were shut in due to high water production. 
Preliminary well interventions have been agreed to with our partner
to isolate the respective water producing sands to potentially
restore oil production to both wells during the current
quarter. 


Onshore Block XXIII (100%
BPZ)

Testing on the initial three-well exploration
program at Block XXIII continues and is expected to be completed by
the end of September 2014.  The testing program aims at
evaluating the prospective zones identified in the Mancora, Heath,
and Zorritos formations. 


New Vice President of
Operations

Mr. Gonzalo Ruiz joined BPZ Energy in July 2014
as Vice President of Operations.  He has over 30 years of
experience in the oil and gas industry, including over 25 years
working with Occidental Petroleum in various roles, more recently
as Vice President & General Manager for Bolivian
operations.  Beyond the U.S., his international career
includes operational leadership roles in Ecuador, Colombia, Syria,
Oman, Yemen, China, and Bangladesh.  Gonzalo received his
Bachelor's degree in Petroleum Engineering and his MBA from the
University of Texas, in Austin, Texas.


Conference Call for Second Quarter 2014
Results

The Company will host a conference call and live
webcast to discuss results for the second quarter ended June 30,
2014 on Friday, August 8, 2014, at 10:00 a.m. CDT (11:00 a.m.
EDT).  The event may be accessed via the Investor Relations,
Events & Presentations section of the Company's website at
www.bpzenergy.com, or by
accessing the following dial-in numbers:

US and Canada Dial-In:   (877) 293-5457

International Dial-In:       (707)
287-9344

A replay of the call will also be available at the Investor
Relations section of the Company's website


About BPZ Energy

BPZ Energy is an independent oil and gas
exploration and production company with license contracts covering
1.9 million net acres in four blocks located in northwest
Peru.  Current operations in these blocks range from
early-stage exploration to production.  The Company holds a
51% working interest in offshore Block Z-1, where development
drilling is currently underway at the Corvina and Albacora
fields.  Onshore the Company holds three 100%-owned blocks
with exploration drilling currently underway at Block XXIII. 
In southwest Ecuador, the Company owns a non-operating net profits
interest in a producing property.  BPZ Energy trades as BPZ
Resources, Inc. on both the New York Stock Exchange and the Bolsa
de Valores in Lima under ticker symbol "BPZ".  Please visit
www.bpzenergy.com for more
information.


Forward Looking Statement

This Press Release contains forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995, Section 27A of the Securities Act of 1933 and
Section 21E of the Securities Exchange Act of 1934. These forward
looking statements are based on our current expectations about our
company, our properties, our estimates of required capital
expenditures and our industry. You can identify these
forward-looking statements when you see us using words such as
"will," "expected," "estimated," and "prospective," and other
similar expressions.  These forward-looking statements involve
risks and uncertainties.

Our actual results could differ materially from
those anticipated in these forward looking statements. Such
uncertainties include successful operation of our new platform in
Corvina, the success of our project financing efforts, accuracy of
well test results, results of seismic testing, well refurbishment
efforts, successful production of indicated reserves, satisfaction
of well test period requirements, successful installation of
required permanent processing facilities, receipt of all required
permits, the successful management of our capital expenditures, and
other normal business risks.  We undertake no obligation to
publicly update any forward-looking statements for any reason, even
if new information becomes available or other events occur in the
future.


Cautionary Statement Regarding
Certain Information Releases

The U.S. Securities and Exchange Commission
(SEC) permits oil and gas companies, in their filings with the SEC,
to disclose only "reserves" that a company anticipates to be
economically producible by application of development projects to
known accumulations, and there exists or is a reasonable
expectation there will exist, the legal right to produce, or a
revenue interest in the production, installed means of delivering
oil and gas or related substances to market, and all permits and
financing required to implement the project. We are prohibited from
disclosing estimates of oil and gas resources that do not
constitute "reserves" in our SEC filings, including any estimates
of contingent and prospective resources included in this press
release.  With respect to "probable" and "possible" reserves,
we are required to disclose the relative uncertainty of such
classifications of reserves when they are included in our SEC
filings. Further, the reserves estimates contained in this press
release are not designed to be, nor are they intended to represent,
an estimate of the fair market value of the reserves.

The Company is aware that certain information
concerning its operations and production is available from time to
time from Perupetro, an instrumentality of the Peruvian government,
and the Ministry of Energy and Mines ("MEM"), a ministry of the
government of Peru.  This information is available from the
websites of Perupetro and MEM and may be available from other
official sources of which the Company is unaware.  This
information is published by Perupetro and MEM outside the control
of the Company and may be published in a format different from the
format used by the Company to disclose such information, in
compliance with SEC and other U.S. regulatory requirements.

Additionally, the Company's joint venture
partner in Block Z-1, Pacific Rubiales Energy Corp. ("PRE"), is a
Canadian public company that is not listed on a U.S. stock
exchange, but is listed on the Toronto (TSX), Bolsa de Valores de
Colombia (BVC) and BOVESPA stock exchanges.  As such PRE may
be subject to different information disclosure requirements than
the Company.  Information concerning the Company, such as
information concerning energy reserves, may be published by PRE
outside of our control and may be published in a format different
from the format the Company uses to disclose such information,
incompliance with SEC and other U.S. regulatory requirements.

The Company provides such information in the
format required, and at the times required, by the SEC and as
determined to be both material and relevant by management of the
Company.  The Company urges interested investors and third
parties to consider closely the disclosure in our SEC filings,
available from us at 580 Westlake Park Blvd., Suite 525, Houston,
Texas 77079; Telephone: (281) 556-6200.  These filings can
also be obtained from the SEC via the internet at www.sec.gov.



###

CONTACT: A. Pierre Dubois
Investor Relations & Corporate Communications
BPZ Energy
1-281-752-1240
pierre_dubois@bpzenergy.com

Page: 1


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