Beach Energy Limited (ASX:BPT) Monthly Drilling Report - September 2011

Perth, Oct 5, 2011 AEST (ABN Newswire) - Beach Energy Limited (ASX:BPT) (PINK:BEPTF) is pleased to release the following monthly drilling report for September 2011.

Beach Operated Cooper-Eromanga Oil - Western Flank

Two wells have been drilled in the Western Flank region during the report period.

The Ensign#30 rig drilled the Butlers-4 development well (PEL 92, Beach 75%), in which 7.5 metres of oil in excellent-quality reservoir was intersected at the top of the Namur reservoir section. Butlers-4

is located 245 metres SE of Butlers-1 and has been cased and suspended as a future oil producer.

The rig subsequently moved into permit PEL 91 (Beach 40%) to drill the first of three appraisal wells on the recently discovered Bauer Field (see August-1 ASX Release). This well, Bauer-4 is located 360 metres NNE of Bauer-1 and intersected a 17 metre column of oil, including 14 metres of clean, highly permeable Namur Sandstone oil pay. The Namur was intersected nearly three metres higher than the Bauer-1 discovery well. The well was cased and suspended for future oil production, and the rig is preparing to spud the Bauer-3 well, 300 metres SE of Bauer-1.

Santos (ASX:STO) Operated Cooper Basin Oil and Gas Development

Three gas development wells (Hackett-2, Nephrite South-9 and Dilchee-4) were drilled in the SA sector of the Cooper Basin (Beach 20.21%) during the month. All three wells were cased and suspended as future Patchawarra Formation gas producers.

Beach Operated Geothermal - Paralana Project, Arrowie Basin

The Paralana-2 (Beach 21%) geothermal well is currently being flow tested and controlled at approximately 2 barrels per minute to enable slow heating of the wellbore. Flow will be monitored from the well over approximately the next two weeks. Results will be communicated after this period.

INTERNATIONAL

Kuwait Energy Operated - Abu Sennan Concession, Egypt

Al Ahmadi-1 (Beach 22%) is the second discovery on the Abu Sennan permit having encountered shows in the lower Baharya Formation, the Abu Roash 'G' Member and the Abu Roash 'E' Member. A significant cased hole testing program has been completed and flow results will be announced after the results have been analysed. The rig is being moved to drill the third exploration well on the concession, El-Salmiya.

The initial phase of flow testing following fracture stimulation of the ZZ-4 discovery has been completed with results to be announced after completion of analysis. The rig will be moved to drill the fourth exploration target of the campaign, Al-Jahraa.

For the complete Monthly Drilling Report including tables, please view the following link:
http://media.abnnewswire.net/media/en/docs/ASX-BPT-184830.pdf

Contact

Corporate Reg Nelson Beach Energy Limited Tel: +61-8-8338-2833 Neil Gibbins Beach Energy Limited Tel: +61-8-8338-2833 Investor Relations Chris Jamieson Beach Energy Limited Tel: +61-8-8338-2833 Email: info@beachenergy.com.au http://www.beachenergy.com.au