Donnybrook Energy Inc.: Montney Operations Update

Donnybrook Energy Inc. ("Donnybrook" or the "Company") (TSX VENTURE:DEI)
provides an operations update on its Bigstone Montney formation, liquids rich
natural gas resource play. 


Donnybrook's Bigstone Hz 14-29-60-22 W5M Montney discovery well, which tested
4.3 mmcf/d and 295 barrels of NGL's (1,011 barrels of oil equivalent per day)
from a 1,254m lateral, commenced production in mid June 2012 and during the
first 42 days of operation the 14-29 well produced at an average rate of 1.61
mmcf/d (523 mcf/d net) and 72.8 bbls/d (23.7 bbls/d net) of condensate for a
combined oil equivalent total of 341 boe/d (111 boe/d net). Further NGLs will be
extracted during processing at the shallow cut plant and are estimated to be
30-35 bbls/mmcf of raw gas. Donnybrook has a 25% W.I. plus 10% GORR on 75%
BPO/50% APO in the 14-29 well. 


Donnybrook's Bigstone Hz 15-32-60-22 W5M well (DEI 50%) commenced production on
July 16 and for the first 7 producing days has been producing natural gas, free
condensate and NGLs which will be extracted during processing. The 15-32 well
had technical problems during the completion and only 6 stages of the planned 23
stage frac were completed successfully. The well is currently producing and the
initial production rates are encouraging. The well has averaged 1.75 mmcf/d (875
mcf/d net) with 153 bbls/d (76.5 bbls/d net) of condensate for a total of 445
boe (222 boe/d net). The current fluid production includes both load fluids and
free condensate, as 100% of the load fluids have not been fully recovered to
date. 


The Donnybrook Bigstone Hz 13-33-60-22 W5M well (DEI 25%) was drilled to a total
measured depth of 5,336m and completed with a 23 stage frac. After initial flow
back and clean up, the well is currently waiting on dry weather for the
installation of production tubing, final flow testing and commencement of
construction and installation of surface facilities. The well will be tied into
the Donnybrook operated Bigstone pipeline system as soon as access conditions
permit. All operations at 13-33 have encountered delays due to heavy rain which
has made access to the lease site difficult. As soon as surface conditions dry
out operations at 13-33 will commence. Flow rates on the well will be released
upon the completion of final testing. 


Industry activity in the Bigstone area continues to prove up the potential of
Donnybrook's land holdings on the western side of its land block. The most
recent well to be announced was an extended reach Hz that terminated 195m south
of Donnybrook's 50% W.I. lands in Twp 60-23 W5M. The operator has reported the
well tested an average 16 mmcf/d and approximately 800 bbls of condensate per
day at the end of the test. 


This compares very well to an initial extended reach Hz well by the same
operator which for a mile of Hz length offsets Donnybrook's 50% W.I. lands in
60-22 W5M and is only 200m west of Donnybrook's lands. The initial well tested
12.5 mmcf/d and 770 bbls/d of condensate. 


These wells continue to demonstrate the excellent reservoir potential of the
Montney Formation underlying the western side of Donnybrook's 50% W.I. lands in
the Bigstone area. Donnybrook has a 50% interest in 4 sections (1,024 ha/612 ha
net) in the western portion of its Bigstone prospect that have not been drilled
to date. 


Based on the results to date, four new Hz Montney drilling locations at Bigstone
have been surveyed. The timing of the drilling of the additional wells will be
finalized in Q4 2012.


At Bigstone, Donnybrook has 8 gross sections (2,048 ha) 3.75 net sections (960
ha) of P&NG rights located approximately 35 kilometres (22 miles) east of the
eastern edge of the Company Simonette acreage block.


Simonette-Resthaven Area

Donnybrook has 3 (1.25 net) Montney wells on production at Simonette producing
at a combined rate of approximately 250 boe/d of natural gas, condensate and
NGLs net to Donnybrook. The Resthaven 11-27 well (DEI 70%) has been production
tested in-line intermittently at rates of 1 mmcf/d and 60 bbls/d of condensate.
The line pressure in the gathering system that the 11-27 well is tied into is
running at high line pressures which is affecting the 11-27 well's ability to
flow consistently into the gathering system.


Donnybrook holds interests in 46 gross (22.9 net) sections of petroleum and
natural gas rights in the Bigstone-Simonette-Resthaven liquid rich natural gas
resource play in the Deep Basin area of west central Alberta.


Further information relating to Donnybrook is also available on its website at
www.donnybrookenergy.ca.


ON BEHALF OF THE BOARD OF DONNYBROOK ENERGY INC.

Malcolm F. W. Todd, Chief Executive Officer

FORWARD-LOOKING STATEMENTS

This press release contains forward-looking statements or information
("forward-looking statements") within the meaning of applicable securities laws
including statements regarding the estimated raw gas of NGLs extracted during
processing at the 14-29 well, the timing and completion of the 13-33 well and
the timing for drilling of additional extended reach horizontal wells at
Bigstone. The use of any of the words "will", "expects", "believe", "plans",
"potential" and similar expressions are intended to identify forward-looking
statements. 


The forward-looking statements in this press release are based on certain key
expectations and assumptions made by Donnybrook, including the quality of the
Montney reservoir, continued performance from existing wells, future drilling
programs and performance from new wells, the growth of infrastructure, well
density per section, recovery factors and that development necessarily involves
known and unknown risks and uncertainties. Although Donnybrook believes that the
expectations and assumptions on which such forward-looking statements are based
are reasonable, undue reliance should not be placed on the forward-looking
statements because Donnybrook can give no assurance that they will prove to be
correct. There is no certainty that Donnybrook will achieve commercially viable
production from its undeveloped lands and prospects.


Since forward-looking statements address future events and conditions, by their
very nature, they involve inherent risks and uncertainties. Actual results could
differ materially from those currently anticipated due to a number of factors
and risks. These include, but are not limited to the risks associated with the
oil and gas industry in general such as: operational risks in development,
exploration and production; delays or changes in plans with respect to
exploration or development projects or capital expenditures; the uncertainty of
reserve estimates; the uncertainty of estimates and projections relating to
reserve, production, costs and expenses; health, safety and environmental risks;
commodity price and exchange rate fluctuations; marketing and transportation of
petroleum and natural gas and loss of markets; environmental risks; competition;
incorrect assessment of the value of acquisitions; failure to realize the
anticipated benefits of acquisitions; ability to access sufficient capital from
internal and external sources; stock market volatility; and changes in
legislation, including but not limited to tax laws, royalty rates and
environmental regulations. Readers are cautioned that the foregoing list of
factors is not exhaustive. Additional information on these and other factors
that could affect the operations or financial results of Donnybrook are included
in Donnybrook's Annual Information Form, management's discussion and analysis
and other documents filed with applicable securities regulatory authorities and
may be accessed through the SEDAR website (www.sedar.com). The forward-looking
statements contained in this press release are made as of the date hereof and
Donnybrook undertakes no obligation to update publicly or revise any
forward-looking statements, whether as a result of new information, future
events or otherwise, unless so required by applicable securities laws. The
forward-looking statements contained in this press release are expressly
qualified by this cautionary statement. 


Where amounts are expressed on a barrel of oil equivalent ("BOE") basis, natural
gas volumes have been converted to oil equivalence at six thousand cubic feet
per barrel. The term BOE may be misleading, particularly if used in isolation. A
BOE conversion ratio of six thousand cubic feet per barrel is based on an energy
equivalency conversion method primarily applicable at the burner tip and does
not represent a value equivalency at the wellhead. References to oil in this
discussion include crude oil and natural gas liquids ("NGLs"). NGLs include
condensate, propane, butane and ethane. References to gas in this discussion
include natural gas.