Ann: Wombat 2 Frac Successful / New Contingent Re, page-2

re: Ann: Wombat 2 Frac Successful / New Conti... Wombat 2 Re-Fracturing Operation
Lakes Oil N.L. advises that its Wombat 2 well near Seaspray, Victoria has been
successfully re-fractured in the gas zone at 1,470 metres.
This morning, following a clean-out, the well flowed at an initial estimated rate of
4,300,000 cubic feet per day and later decreased and stabilised to 1,350,000 cubic
feet per day flowing through a ½” choke.
This gas zone was previously fracture stimulated in 2004 and gave a sustainable gas flow
of 680,000 cubic feet per day. The current flow of gas and frac fluids is an estimate only
and the sustainable gas flow will not be known for several weeks as the gas flow increases
and as the frac fluid flow decreases.
Lakes Oil N.L. injected 155,297 lbs of proppant into the 1,470 metres zone in Wombat 2 to
produce an effective fracture length of 275 feet. By comparison, the 2004 fracturing placed
only 73,831 lbs of proppant into this zone producing an effective fracture length of approx.
86 feet. ∗
It should be noted we have only fracture stimulated one zone out of several known in this
well. There are also additional zones suitable for fracture stimulation in the other two
Wombat wells. These are untested to date and have the potential to substantially increase
the total flow rate from the Wombat Field.
The success of our latest re-fracture treatment and increased flows