53 barrels per day, page-3

just 3 at the moment

The board of Austin Exploration Limited (ASX: "AKK") is pleased to announce that its Park
City, Kentucky, USA oil and gas well completion program has now reached a cumulative oil
flow to storage in excess of 53 barrels per day. Three wells have been successfully tested on
pump and a fourth, the Harlin Tarter #1, is scheduled for completion later this week.
The Harlin Tarter #2 represents the third well of the previously announced four-well completion
program. The well was tested on pump this past Friday, although the testing procedure was
stopped after approximately 8 hours to allow for additional equipment and storage to be
mobilized to the Tarter lease. The well has now completed its first 24 hour on-pump test at a
rate exceeding 32 barrels per day. A 210 barrel storage tank is now on the property.
Income from operations imminent ¨C Confirmation of the collection, transport and sale of all
oil currently in storage has been confirmed by the refinery for August 26th. The Company will
now begin scheduling regular oil pick-up and sales for both the Tarter and Spillman leases.
Each lease has a single 210 barrel storage tank and central pick-up location for the delivery
and transport of oil from the leases. All sales in the month of August will be paid in the month
of September.
Natural gas sales status ¨C Austin is hopeful that the nearby gas processing plant will be
available during the early part of September. All wells that had previously been connected to
the gathering system and flowing gas will be reconnected and evaluated once the processing
plant is on line. The recently completed Tarter #2 well and the Spillman #2 well are also
producing gas of commercial quantity and will be connected to the gas gathering system.
Low cost, long life drilling ¨C Austin is very encouraged by the initial results of the first three
completed wells utilizing the Short Radius Stimulation (SRS) procedure. Based on current
Austin Exploration Limited ACN 114 198 471
Based in Adelaide Australia: listed on the Australian Securities Exchange (¡±AKK¡±)
515 Congres s Avenue, Sui te 1310 ¡ñ Aust in, Texas 78701
25 Peel St reet ¡ñ Adelaide, SA 5000
PO Box 15 ¡ñ Aldgate, SA 5154
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economic analysis, the Company can now complete a well at costs that are low enough to
return initial investment capital in less than 4 months. The long life potential of these
corniferous wells also makes them economically attractive.