…/2 9th November 2006 Australian Stock Exchange Limited Company Announcements Platform 20 Bridge Street SYDNEY NSW 2000 Via electronic lodgement GAS DISCOVERY, HIGH ISLAND BLOCK 24-L, GULF OF MEXICO As previously announced, Entek Energy Limited recently participated with a five percent (5%) working interest in an exploratory test well located in 37’ of water on the S/2 SW/4 of High Island Block 24-L, Texas State Waters Offshore. The well was drilled to a depth of 14,988’ MD (TVD) and penetrated over 300 feet of net pay in Lower Miocene Lentic Jeff sands. The well has now been successfully completed and a flow test was conducted on the 4th and 5th November 2006. The final flow rate prior to shut in of the well was 47.5 MMscfD on a 45/64ths wellhead choke, with approximately 6 barrels of 45.9 API gravity condensate per million cubic feet of gas (312 barrels of condensate per day). The well was shut-in at 08:00 on November 5th 2006. The rig is being rigged down prior to demobilization.
— 2 — Entek Energy Limited ABN 43 108 403 425 The operator (Walter Oil & Gas Corporation) is working on a plan to have the well in production by end first quarter 2007. Entek consider that to have the well on line sometime during 2nd quarter 2007 would be a significant achievement. Entek and its partners participated in successful bids at the State of Texas Lease Sale held on October 3, 2006 on three offshore tracts that are contiguous to the discovery tract. Block 24-L, MGL 206 (N/2 of SW/4) Block 25-L, MGL 208 (S/2 of SE/4) Block 32-L, MGL 210 (N/2 of NW/4) Entek now holds a 5% interest in 2,880 acres around the discovery well. This significant gas column discovered in High Island 24-L has delivered an excellent test result. Based on this information, facilities can be designed for processing the significant gas rates to enable the joint venture to move into commercial production. Given that this block was only bid for and awarded in April 2006, it is a significant achievement to have completed farm-ins and drilled and completed a 14,988 foot discovery well before end 2006. Russell Brimage Chairman NOMENCLATURE Choke size: quoted in 64ths of an inch Gas Rate (MMscfD) million standard cubic feet per day
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