Dynamic Announces Reserves and NPV Estimates for Year Ending March 31, 2002.

Business Editors

RICHMOND, British Columbia--(BUSINESS WIRE)--May 17, 2002

Dynamic Oil & Gas Inc. (NASDAQ:DYOLF) (TSE:DOL.) is pleased to announce its estimated reserves of natural gas, natural gas liquids and oil, and their corresponding discounted net present values, pre taxes and after royalties (NPV). These estimates are independently prepared by Status Engineering & Associates Ltd. (Status), of Calgary, Alberta, and are effective April 1, 2002.

Dynamic's NPV was determined according to the Canadian Provincial Securities Administrators' National Policy No. 2-B, using estimated constant prices for commodities and associated operating costs. This determination closely aligns with NPV determinations in the U.S., where actual year-end constant prices/costs are used.

Petroleum and Natural Gas Reserves (Pre Taxes and Royalties)
    and 10% Discounted NPV (Pre Taxes, After Royalties)
----------------------------------------------------------------------
                     Reserve Volume Estimates      Constant Price/Cost
                Natural Gas  NGL's/Oil  Equivalent  10% Discounted NPV
                -----------  ---------  ----------  ------------------
                     (mmcf)   (mbbls)     (mboe)(a)           ($C000)
Proved Producing     31,099     1,908      7,091               59,876
Proved Non-Producing  8,972       230      1,725               10,608
Probable (risked 50%) 4,669       321      1,099                6,044
Total 2002           44,740     2,459      9,915               76,528
Total 2001           45,797     1,541      9,174              142,273
Increase (decrease)  (2.3)%     59.6%       8.1%              (46.2)%
----------------------------------------------------------------------

(a) thousand barrels of oil equivalent, where 1 boe equals 1

barrel of oil equals 6 mcf of natural gas.

In determining the NPV for 2001, Status used a constant estimated natural gas price of $C3.77/mcf, based on 1,000 BTU per standard cubic foot. For oil, a constant estimated price of $C29.35/barrel was used, based on 400 API oil priced at $C30.90 at Edmonton, Alberta. These prices represent Status' expectations of Dynamic's weighted average prices achievable over the nine-month period April to December, 2002, using contract terms and conditions in existence at the Company's March 31, 2002 fiscal year end. Dynamic's actual weighted average prices for the month of March, 2002 were $C3.24/mcf for natural gas and $C33.27/barrel for oil.

The Company's estimated 10% discounted NPV of its proved and 50% probable reserves was $C76.5 million. This represents an estimated net present value of $C3.74 per share (weighted average number of shares outstanding as at March 31, 2002 equals 20.5 million, basic). The estimated 10% discounted NPV last year was $C142.3 million, a value based on constant estimated prices of $C7.22/mcf for natural gas and $C38.18/barrel for oil.

During fiscal 2002, new extensions and discoveries on the Company's Alberta properties, St. Albert and Halkirk, added 623 mboe to its estimated reserve base, 62% of which was oil and 38% natural gas and natural gas liquids. Also during fiscal 2002, the Company acquired additional producing interests at St. Albert that increased its estimated reserve base by 2,864 mboe, 72% of which was natural gas, 25% natural gas liquids and the remainder oil. Production and revisions to previous estimates reduced reserves by 2,746 mboe, all of which was natural gas and natural gas liquids. Of the 2,746 mboe, approximately 43% was production, while the remainder was revisions to previous estimates applicable to Peavey/Morinville interests in Alberta.

Dynamic Oil & Gas, Inc. is a Canadian based energy company engaged in the production and exploration of Western Canada's natural gas and oil reserves. The Company owns working interests in several central Alberta producing properties, and in early-stage exploration properties located in southwestern and northeastern British Columbia.

On Behalf of the Board of Directors,

Wayne J. Babcock, President & CEO

"The NASDAQ and Toronto Stock Exchanges have not reviewed nor accepted responsibility for the accuracy of this release. Some of the statements in this press release are forward-looking statements within the meaning of the private securities litigation reform act of 1995. Forward looking statements include all passages containing verbs such as 'aims, anticipates, believes, estimates, expects, hopes, intends, plans, predicts, projects or targets' or nouns corresponding to such verbs. Forward-looking statements also include any other passages that are primarily relevant to expected future events or that can only be fully evaluated by events that will occur in the future. Forward looking statements in this release include, without limitation, future prospects of recovering product reserves as estimated above. Forward-looking statements involve risks and uncertainties, including uncertainty of the company's success in maintaining production from its proved reserves and in developing its non-producing and probable reserves and the other risks detailed from time to time in the company's annual report on form 20F filed with the U.S. Securities and Exchange Commission, last filed on August 15, 2001."