SAMSON OIL & GAS OPERATIONAL ADVISORY Denver 1700 hours January 23rd, 2011, Perth 0700 hours January 24th, 2011 HAWK SPRINGS PROJECT Defender US33 #2-29H, Goshen County, WY (SSN 37.5% carried working interest) Samson Oil & Gas Limited (ASX: SSN; NYSE AMEX: SSN) advises that the replacement pump has been installed in the Defender well and commenced pumping on January 17th. Pump rates have been between 400 to 500 barrels of fluid per day as shown in the following table: The pump was down for 5 hours on January 20th to fix an electrical fault on the pump jack. The oil cut over this 5 day period has increased to around 30%. The produced water thus far is largely frac fluid based on regular chemical sampling that is being undertaken and the total recovered load (frac fluid) is 47%. The Defender US33 #2-29H is the first Niobrara appraisal well in Samson’s Hawk Springs project and is being fully carried by Samson’s farmin partner. Water (bbls) Oil (bbls) Total Fluid (bbls) Oil Cut 18-Jan 415 94 509 18.5% 19-Jan 384 128 512 25.0% 20-Jan 300 100 400 25.0% 21-Jan 341 113 454 24.9% 22-Jan 307 131 438 29.9% Samson Oil & Gas USA 1331, 17th Street, Suite 710, Denver Colorado 80202 Tel + 1 303 295 0344 Fax + 1 303 295 1961 ROOSEVELT PROJECT, ROOSEVELT COUNTY, MONTANA Gretel II 12KA 3 #1-30H (SSN 100%, subject to a 33.34% backin right) The Gretel II vertical pilot hole was drilled to the core point of 8,724 feet and cored to a depth of 8,844 feet with 120 feet cored and 100% recovery. The well was then drilled to a total depth of 8,925 feet and is preparing to be logged. The vertical pilot hole will then be plugged back and the 4,500 foot lateral will be drilled.
SSN Price at posting:
10.0¢ Sentiment: Hold Disclosure: Held
