Texon Petroleum Ltd (ASX:TXN) Fourth Eagle Ford Well Production

Brisbane, Dec 15, 2011 AEST (ABN Newswire) - Texon's (ASX:TXN) fourth Eagle Ford well (Hoskins EFS #1H) produced 41,606 boe (35,530 bo + 36,455 mcfg) during its first 60 days of production. This is an average daily rate of 693 boepd of which some 90% is oil and gas liquids.

Texon's first and third Eagle Ford wells produced at the average rates of 632 and 731 boepd respectively during their first 60 days of production.

During its first 60 days the EFS #4 produced 14% more oil than Texon's first EFS well.

The locations of Texon's four Eagle Ford leases together with nearby wells drilled by other operators are shown on the attached map.

Texon has a 95% WI in the Hoskins well and a 71.25% NRI in the production.

Clifford S. Foss, President of Texon Petroleum said "Our fourth Eagle Ford Shale well, the Hoskins 1H, extends Texon's high value Eagle Ford production to the southern edge of our leasehold block. We are very pleased with this outcome."

Oil and gas futures prices:
Source: NYMEX January 2012
Oil: US$94.85/bbl
Gas: US$3.15/mmbtu (this translates to approx. US$5.20/mcf for all Texon gas - including US$6.00/mcf for Olmos and Eagle Ford gas)

Contact

Cliff Foss President & CEO Email: cfoss@texozep.com John Armstrong Chairman Email: john.armstrong@texonpetroleum.com.au http://www.texonpetroleum.com.au