4BDELPHI ENERGY REPORTS THIRD QUARTER RESULTS

CALGARY, ALBERTA - November 12, 2015 - Delphi Energy Corp. ('Delphi' or the 'Company') is pleased to announce its financial and operational results for the quarter ended September 30, 2015.

Third Quarter 2015 Highlights

• Generated funds from operations of $10.1 million and realized net earnings of $10.7 million in the third quarter of 2015;

  
  

• Closed the disposition of its Wapiti assets for gross proceeds of $50.0 million. The proceeds were applied against the Company's outstanding bank indebtedness and subordinated debt;

  
  

• Negotiated the sale of the Company's greater Hythe area and subsequent to quarter end entered into a purchase and sale agreement for gross proceeds of $12.0 million. The sale closed on November 2, 2015 and the proceeds from the disposition have been applied against the Company's outstanding bank indebtedness;

  
  

• Completed one (0.83 net) horizontal Montney well that was drilled in the first quarter of 2015 and drilled and completed one (0.83 net) horizontal Montney well in the quarter;

  
  

• Constructed injection facilities on the previously acquired water disposal well with water injection operations commencing subsequent to the end of the third quarter;

  
  

• Maintained Montney natural gas liquids ('NGL') and field condensate yields at 91 barrels per million cubic feet ('bbls/mmcf') in the third quarter of 2015. Field and plant condensate yield was 57 bbls/mmcf or 63 percent of the total 91 bbls/mmcf;

  
  

• Realized gains of $8.3 million from commodity price risk management contracts in the third quarter of 2015; and

  
  

• At September 30, 2015, Delphi's risk management contracts had a mark to market value of $22.4 million.

Operational Highlights

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(1) Defined as the sum of long term and subordinated debt plus (minus) the working capital deficit (surplus) excluding the current portion of the fair value of financial instruments.

MESSAGE TO SHAREHOLDERS

The commodity price environment continues to be very challenging with crude oil prices averaging US $46.44 per barrel during the third quarter of 2015, down 52 percent from the comparative quarter of the previous year and down 20 percent from the second quarter of 2015. Edmonton light crude oil prices were down slightly less at 42 percent and 17 percent versus the comparative period of 2014 and the second quarter of 2015, respectively. The reductions in Edmonton light oil prices were positively influenced by a further devaluation of the Canadian dollar against the US dollar. Delphi's commodity price risk management program continues to be an integral part of its financial strategy to protect funds from operations during periods of price volatility. Despite the drop in crude oil prices, the Company received Cdn $95.05 per barrel for its condensate production in the third quarter of 2015, including a realized risk management gain of $19.74 per barrel for maturing contracts in the period and $22.46 per barrel on the unwinding of several condensate related risk management contracts for the period January 1, 2017 - December 31, 2018.

In the third quarter of 2015, Canadian natural gas prices were lower by 28 percent at $2.90 per mcf as compared to the comparative quarter of 2014 but higher than the second quarter of 2015 by nine percent. Delphi's realized natural gas price for the third quarter of 2015 was $3.83 per mcf, a decrease of six percent from the comparative period of 2014. In the third quarter of 2015, Delphi's realized natural gas price was reduced by $0.62 per mcf as a result of selling approximately 19 percent of its natural gas volumes at CREC pricing due to constraints on the TransCanada and Alliance pipelines. Similar to condensate pricing, the Company's realized natural gas price was positively influenced by its risk management program and includes a realized risk management gain of $0.73 per mcf for maturing contracts in the period and $0.48 per mcf on the unwinding of several natural gas risk management contracts for the period December 1, 2015 to December 31, 2016.

Production volumes in the third quarter of 2015 averaged 7,888 boe/d, a 17 percent decrease over the comparative quarter in 2014 and 23 percent decrease from the second quarter of 2015. Production volumes primarily decreased due to the disposition of the Company's Wapiti CGU on July 22, 2015, a decrease of approximately 840 boe/d for the quarter, as well as TransCanada pipeline restrictions and the Alliance pipeline force majeure for an incremental reduction of approximately 750 boe/d of production downtime during the quarter. Natural declines in the quarter were partially offset by the production start-up of two gross (1.7 net) Montney wells which were brought on stream later the third quarter.

Delphi's production portfolio for the third quarter of 2015 was weighted 15 percent to field condensate, 13 percent to natural gas liquids and 72 percent to natural gas. This compares to a production portfolio for the comparative quarter in 2014 weighted 13 percent to field condensate, 14 percent to natural gas liquids, two percent to crude oil and 71 percent to natural gas. On a revenue basis for the third quarter of 2015, the production portfolio remained almost equally weighted, with 46 percent of the revenue generated from the condensate and natural gas liquids volumes. The CREC pricing decreased natural gas revenue in the third quarter of 2015 by $1.9 million and $5.0 million for the nine months ending September 30, 2015.

Funds from operations in the third quarter of 2015 were $10.1 million or $0.06 per basic and diluted share, compared to

$14.2 million or $0.09 per basic and diluted share in the comparative quarter of 2014. The decrease in funds from operations in the third quarter of 2015 as compared to the same quarter in 2014 is primarily due to lower production volumes and a lower cash netback for the quarter as the decrease in realized revenue per boe from lower commodity prices was only partially offset by reduced cash costs. While revenue per boe was down $4.92 per boe versus the same quarter of 2014, royalty costs per boe were down 63 percent, $3.66 per boe, from the comparative quarter of 2014 with operating costs per boe higher by 13 percent, $1.20 per boe, as fixed costs were spread over lower production volumes. The absolute amount of operating costs in the third quarter of 2015 were down $1.0 million or 12 percent from the second quarter of 2015 with the disposition of Wapiti representing $0.6 million of this reduction.

During the third quarter of 2015, Delphi invested $21.0 million primarily on drilling and completions. Delphi drilled two gross (1.9 net) wells and performed completion operations on three gross (2.7 net) wells in its Bigstone area. The Company also invested $2.3 million in its water disposal facility which was commissioned in October. In the third quarter, the Company closed the disposition of its Wapiti assets for net proceeds of $48.8 million, of which a $10.0 million deposit was received in the second quarter of 2015. In addition, Delphi received proceeds of $4.6 million in exchange for a gross overriding royalty on two gross wells completed during the quarter as part of its latest five well gross overriding royalty arrangement.

At September 30, 2015, the Company had $115.4 million outstanding under its senior credit facility and $13.8 million outstanding under its subordinated credit facility for net debt of $129.2 million and was in compliance with all covenants of the credit facilities. Total net debt has decreased by $51.5 million from $180.7 million at March 31, 2015, primarily from the disposition of the Company's Wapiti assets, which closed on July 22, 2015. The proceeds were applied to the Company's outstanding indebtedness with $44.0 million repaid on the senior credit facility and $6.0 million repaid on the subordinated credit facility. At September 30, 2015, the Company's net debt to funds from operations ratio was 3.2:1.

Operations Update

Delphi has completed the drilling of its fifth horizontal Montney well of 2015 at 14-24-60-23W5 ('14-24'). The 14-24 well (0.83 net) was drilled to a total depth of 5,560 metres with a horizontal lateral length of 2,602 metres. The well was drilled from spud to total depth in 28 days, a near record pace for Delphi's horizontal Montney wells. Gross final costs for the drilling and liner setting operation are estimated at a Company record of $3.8 million. Completion operations, utilizing the Company's newly optimized frac design over a 37 stage liner, will commence later in the fourth quarter or in the first quarter of 2016. As a result of continued innovation and reduced service costs, current and go-forward drilling and completion capital have been reduced by more than 30 percent from average 2014 levels.

Delphi has commenced the drilling of its sixth horizontal Montney well of 2015 in East Bigstone at 14-27-60-23W5. Commensurate with a drilling program objective that minimizes capital to bring on production, the wells being drilled in 2015 are proximal to existing gathering infrastructure. These infill drilling locations are consistent with the Company's strategy to minimize capital costs while targeting the most efficient production and proved developed producing reserve additions.

Delphi continues to pursue operating efficiency gains and operating cost reductions in the field. The Company has commenced water disposal at the previously announced disposal well that was acquired earlier in the year. Avoiding water disposal costs through third parties will result in reductions to both operating costs, estimated to be reduced by $0.70/boe for the Company's Bigstone Montney production, and capital costs on Delphi's completion operations for its future Montney development wells. The Company is also preparing to install a pipeline to access higher quality fuel gas to improve the efficiency of the Montney 7-11 compression and dehydration facility, increasing the throughput capacity and decreasing the required maintenance/operating costs.

Addressing and optimizing the Company's overall cost structure continues to be a primary focus to maximize profitability. Reduced capital costs and lower operating costs combined with a superior asset has enabled the Company to continue to deploy capital to its Montney play and continue to provide high return on investment. Targeting reductions of 30 percent for capital costs, operating costs and general and administrative costs will enable the company to grow and profit in the current environment.

The Company has 17 wells which have been drilled with an average horizontal length of 2,500 to 3,000 metres and fracked with 30 to 40 stages utilizing slickwater frac techniques. All but one of these wells now have IP30 day production performance data with 10 wells having produced for at least a year providing IP365 well performance data. The 10 wells have an average IP365 total sales rate of 798 boe/d with three wells averaging over 1,000 boe/d each in their first 365 days of production. The strong production performance results in shorter periods to payback, enhances the ability to grow Montney production on an absolute basis and contributes to significant value of the asset.

Corporate Update

While remaining focused on its large-scale Montney project at Bigstone, the Company has successfully streamlined its business through two previously announced asset dispositions for combined gross proceeds of approximately $62.0 million. The two dispositions represent approximately 2,600 boe/d or 26 percent of the Company's production capability and seven percent of the field operating income in 2015. The Montney production which is forecast to grow 25 to 30 percent by the end of 2016 will soon represent 85 to 90 percent of the Company's production base. The benefits of the dispositions combined with Montney production growth and cash generating capability is transformational.

The Company will commence shipping most of its natural gas production on the Alliance pipeline beginning December 1, 2015 eliminating curtailments and negative CREC pricing adjustments go forward. Forecast revenue per boe, excluding hedges, is expected to increase by approximately 40 percent partially offset by an increase in transportation costs.

The Company now has lower interest expense, with net debt reduced 30 percent. As a result of the dispositions the Company has moved to right-size its staffing requirements. This is expected to result in approximately $2.0 million of annualized general and administrative cost savings. Overall, the Company expects to generate 17 to 20 percent savings in G&A and interest costs in 2016 compared to 2015. Initiatives to reduce operating costs at the Bigstone Montney asset and the sale of the higher operating cost Hythe assets are expected to generate approximately 20 percent lower operating costs in 2016.

The impact to the cash generating capability of the Company's production will be visible in the first quarter of 2016 with cash netbacks per boe, excluding hedging gains, expected to be 2.5 to 3.0 times greater than those reported in the third quarter of 2015. Although hedging gains in 2016 are forecast to be lower than what is forecast in 2015, the cash flow generated from field operations is expected to more than double and offset the lower forecast hedging gains.

The Company has also monetized certain natural gas and crude oil hedges as a result of the sale of the Hythe and Wapiti producing assets for total proceeds of approximately $4.9 million. The Company remains well hedged though 2016 and into 2017 with most of its natural gas hedge position focused on the Chicago market rather than AECO market. On December 1, 2015, the Company commences transporting most of its natural gas under its Alliance firm service agreement, eliminating exposure to ongoing TCPL curtailments and resulting Alberta based natural gas price weakness. The Company has experienced and expects continued exposure to TCPL related production curtailments and resulting price weakness through to the end of November.