Burleson Energy Limited (ASX:BUR) Chairman Address at 2010 Annual General Meeting

Sydney, Nov 22, 2010 AEST (ABN Newswire) - Burleson Energy Limited (ASX:BUR) is pleased to release Chairman's address at 2010 Annual General Meeting. The address is as follows:

Ladies and Gentlemen,

Welcome to the 2010 Annual General Meeting of Burleson Energy Limited.

General

During the past year Burleson has made good progress towards its aim of becoming a significant oil and gas producer. Our strategy, implemented in 2008 to change the company's focus from Austin Chalk wells to lower cost and lower risk but highly prospective drilling targets in conventional Texas Gulf Coast reservoirs has proved to be successful.

Exploration Results

Of the four wells drilled during the year, three (Brasher # 1, Heintschel # 1, and Joann # 1) resulted in new gas/condensate discoveries and the fourth, Moeller # 1 encountered a gas/water transition zone with the potential for an up-dip appraisal well to be drilled on this gas deposit. Of the three discoveries, Brasher and Heintschel are now on production, producing sales revenue and preparations are underway for connection of Joann into the sales pipeline.

Heintschel Gas Field Development

With the drilling, successful fraccing flow testing of the Heintschel # 1 well, our US partner AKG Energy L.P. has calculated that the Heintschel Field (Burleson 38.0%) is a potentially sizeable gas/condensate accumulation with estimated potential gas and condensate volumes as follows:

--------------------------------------------Category     Gas (Bcf)     Condensate (mmbl)--------------------------------------------Low Case      25.6             0.465--------------------------------------------Mid Case      58.9             1.07--------------------------------------------High Case     87.7             1.60--------------------------------------------

For this reason, Burleson Energy's Board has decided to focus on the appraisal/development drilling on this field as its main near term priority to establish a cash flow stream from gas and condensate sales. The first well D.Truchard # 1, located within the overall Heintschel Structure but on a separate culmination, is due to spud shortly. The second well in the upcoming program, is presently planned to be Heintschel # 2, an offset well located approximately 350 m from Heintschel # 1. In addition to developing the Heintschel Gas Field, Burleson has identified a number of other wildcat Wilcox exploration prospects available for drilling. It is reasonable to expect that some of these will be drilled during an active 2011 drilling program.
Capital Raisings

Since the end of June 2009, Burleson has raised funds for oil and gas exploration by either Share Placements or a Renounceable Rights Issue. On 24 November 2009, the Company issued by way of Share Placement a total of 17,516,837 shares at 5 cents to raise A$875,842 before issue costs.

On 15 February 2010, the Company issued by way of a Share Placement a total of 20,144,362 shares at 6 cents to raise A$1,208,661 before issue costs. On 14 November 2010, the Company issued a Prospectus for a pro-rata Renounceable Entitlement Issue of one share for every three shares held by Shareholders at an issue price of 5.5 cents per share together with one free Option for every two new shares issued to raise approximately A$3,775,294 before costs. The Issue closed on 9 November 2010 with very strong support from shareholders. Existing shareholders received entitlements of approximately 61,700,000 shares or 90% of all shares on offer. The remaining 6,800,000 shares will be taken up by the Underwriter and Lead manager to the issue Patersons Securities Limited.

The Burleson Board of Directors wishes to thank shareholders for their high level of participation in the Renounceable Rights Issue and their continuing overall support of the Company.

This past year has marked a major step forward for Burleson with the discovery of the Heintschel Gas/Condensate Field. I anticipate that appraisal/development drilling in this field will leapfrog Burleson from explorer to a significant producer in coming years.

Success such as this could not occur without the complete commitment of my fellow Directors Andy Kugler, Khib Kugler, John McAlwey and of course our Managing Director Mike Sandy. I personally wish to thank each of them for their contributions during 2009/2010.

In addition, I would like to take this opportunity to personally thank our management and technical team including Karras Kugler and Greigh Kugler in Austin and our Sydney staff including our Company Secretary/CFO Kevin Lynn and Bookkeeper Lyn Kohlenberg for their fine work during the year.

Norman Zillman
Chairman

Contact

Burleson Energy Limited Tel: +61-2-9450-2002 Fax: +61-2-9986-1753 Email: info@burlesonenergyltd.com http://www.burlesonenergyltd.com