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Press release from Marketwire

Penn West Energy Trust Completes Conversion to Corporation

Monday, January 03, 2011

Penn West Energy Trust Completes Conversion to Corporation06:30 EST Monday, January 03, 2011CALGARY, ALBERTA--(Marketwire - Jan. 3, 2011) - Penn West Petroleum Ltd. ("Penn West") is pleased to announce the completion of the previously announced conversion of Penn West Energy Trust (TSX:PWT.UN) (NYSE:PWE) (the "Trust") to a corporation (the "Conversion"). Penn West will operate under the trade name "Penn West Exploration". Pursuant to the Conversion, unitholders of the Trust received one common share of Penn West (a "Common Share") for each one trust unit (a "TrustUnit") that they held on January 1, 2011. Penn West has also assumed the Trust's two series of convertible debentures (the "Convertible Debentures").It is anticipated that Penn West's Common Shares and Convertible Debentures will commence trading on the Toronto Stock Exchange (the "TSX") under the trading symbols "PWT", "PWT.DB.E" and PWT.DB.F" on or about January 10, 2011, and that Penn West's Common Shares will commence trading on the New York Stock Exchange (the "NYSE") under the trading symbol "PWE" at the open today. The Trust Units and Convertible Debentures of the Trust will be delisted from the TSX and the NYSE on the same dates.The final cash distribution of the Trust in the amount of CDN$0.09 per Trust Unit that is payable to unitholders of record on December 31, 2010 will be paid on January 14, 2011. As previously announced, it is expected that Penn West will adopt a quarterly dividend policy with an initial dividend rate of $0.27 per Common Share, with the first dividend anticipated to be paid on April 15, 2011 to shareholders of record on March 31, 2011. Forward-Looking StatementsCertain statements contained in this document constitute forward-looking statements or information (collectively "forward-looking statements") within the meaning of the "safe harbour" provisions of applicable securities legislation. Forward-looking statements are typically identified by words such as "will" and "expect" and similar words suggesting future events or future performance. In particular, this document contains forward-looking statements pertaining to, without limitation, the payment of the final distribution of the Trust, the anticipated dividend policy of Penn West, and the timing for listing the Common Shares and Convertible Debentures on the TSX and the NYSE, as applicable. With respect to forward-looking statements contained in this document, Penn West has made certain assumptions regarding, among other things, future commodity prices, production levels and capital expenditure levels. Although Penn West believes that the expectations reflected in the forward-looking statements contained in this document, and the assumptions on which such forward-looking statements are made, are reasonable, there can be no assurance that such expectations will prove to be correct. Readers are cautioned not to place undue reliance on forward-looking statements included in this document, as there can be no assurance that the plans, intentions or expectations upon which the forward-looking statements are based will occur. By their nature, forward-looking statements involve numerous assumptions, known and unknown risks and uncertainties that contribute to the possibility that the predictions, forecasts, projections and other forward-looking statements will not occur, which may cause Penn West's actual performance and financial results in future periods to differ materially from any estimates or projections of future performance or results expressed or implied by such forward-looking statements. These risks and uncertainties include, among other things, general economic conditions in Canada, the U.S. and globally, and that Penn West's dividend policy may change from time to time and that dividends may be reduced or eliminated entirely. Readers are cautioned that this list of risk factors should not be construed as exhaustive. The forward-looking statements contained in this document speak only as of the date of this document. Except as expressly required by applicable securities laws, Penn West does not undertake any obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. The forward-looking statements contained in this document are expressly qualified by this cautionary statement.FOR FURTHER INFORMATION PLEASE CONTACT: Suite 200, 207 - 9th Avenue SWPenn West Energy TrustCalgary, Alberta T2P 1K3403-777-2500 or Toll Free: 1-866-693-2707403-777-2699 (FAX)www.pennwest.comORToll Free: 1-888-770-2633Investor Relations:investor_relations@pennwest.comORCEOWilliam Andrew403-777-2502bill.andrew@pennwest.comORManager, Investor RelationsJason Fleury403-539-6343jason.fleury@pennwest.com