the malcolm and melvin doyle at high 1056 bopd

Austin Exploration Limited Based in Adelaide Australia: listed on the Australian Securities Exchange (”AKK”) issued through FIELD PUBLIC RELATIONS PTY LTD ABN 74 008 222 311 231 South Road, MILE END SA 5031 Ph: 08 8234 9555 Fax: 08 8234 9566 [email protected] Page | 1 ASX announcement 27 February 2008 OIL DISCOVERED IN NEW ONSHORE U.S. OIL FIELD
The Board of Adelaide-based petroleum explorer, Austin Exploration Limited (ASX: “AKK”) is pleased to advise that the Malcolm and Melvin Doyle 2A well within the Park City field in the US state of Kentucky has been tested and flowed at 1056BOPD. The well is free flowing on choke settings of 8/64 inch on the annulus and 17/64 inch on the tubing. Flowing casing head pressure is 280 psi and flowing tubing head pressure is 325 psi indicating the well may be capable of oil production at even higher rates.

Austin’s Managing Director, Mr. David Schuette, said "The exceptionally high flow rates in the Malcolm and Melvin Doyle 2A flow test has confirmed the commercial viability of this well as an oil producer."
“The flow rate in Malcolm and Melvin Doyle 2A has also meant that a re-evaluation of the Park City project area as an “Oil field”.

The well reached the 366.36 m target depth on February 18th and the E-Log was completed February 21st. The well was the first to be drilled and completed by the Company since it acquired the project from DMS Partners earlier this month.

The well initially produced natural gas for approximately seven hours at a pressure of 300PSI then began naturally flowing oil to the surface. After a continuous flow of oil and gas for several hours, the Company determined that crude oil pumping equipment would be required. Pump and storage have now been installed and the well has been tested over a two day period flowing heavy crude oil from the lower zone, a Devonian aged carbonate named the Corniferous Formation.

Austin’s Managing Director, Mr. David Schuette, said. “The Malcolm and Melvin Doyle 2A well has a much bigger rate than our previous forecast for a typical well in this field and one heck of a result for this project.” The company plans not to currently test the gas shows confirmed from the electric log at the present time, but concentrate on installing equipment to pump the crude oil to the nearby Somerset Refinery. The flow test on the Malcolm and Melvin Doyle 2A well was performed by Schlumberger Well Services and completed by the operator, Resource Energy Technologies, LLC, (RET) of Bardstown, Kentucky.

Austin’s Park City drill schedule envisages that up to 44 producing wells will be completed by the end of calendar 2008 with the opportunity to drill more than 200 wells in total on the field by the end of 2011.


Austin Exploration Limited Based in Adelaide Australia: listed on the Australian Securities Exchange (”AKK”) issued through FIELD PUBLIC RELATIONS PTY LTD ABN 74 008 222 311 231 South Road, MILE END SA 5031 Ph: 08 8234 9555 Fax: 08 8234 9566 [email protected] Page | 2
Austin is earning an undivided 75% Working Interest and 65.625% Net Revenue Interest for every well drilled in Park City. MEDIA CONTACTS: Kenny Hill Kevin Skinner Chief Information Officer Field Public Relations Austin Exploration Limited (08) 8234 9555 (01) 512 423 2547 0414 822 631 ABOUT THE PARK CITY PROJECT This project represents the Company’s evolving oil and gas asset focus and offers a very good example of the increasingly sound financial and management muscle not normally available to a junior explorer in such a short time from its initial public listing. The core company strategy of identifying suitable development prospects, conducting thorough geological and engineering evaluations and then identifying suitable farm-in partners for long-term development is sound. The initial 24 month drilling focus for Park City is within a proven production field that includes over 60 existing gas wells operated by RET that are currently being connected to a natural gas gathering system owned by a unit of Atmos Energy Corporation and to a gas processing facility, operated by RET. This initial focus area encompasses approximately 32.3748 Square km and has estimated recoverable reserves from the New Albany Shale of 15 billion cubic feet (BCF) and an additional 24 BCF from the Fort Payne Limestone formation. An expansion plan into an adjacent 25,000 acres of mineral leases on the same geologic structure is also now underway.
About Austin Exploration Limited Austin Exploration (Austin) is an oil and gas development company with assets in Australia and the United States. Utilizing a broad industry network developed from over 30 years of noteworthy investment and acquisition experience by its executive team, Austin seeks to identify suitable development prospects, conduct thorough geological and engineering evaluations and then identify suitable farm-in partners for long-term development of these prospects. Austin is listed on the Australian Securities Exchange (ASX code: AKK). For more information, visit www.austinexploration.com About Resource Energy Technologies, LLC (RET) Resource Energy Technologies, LLC, (RET) of Bardstown, Kentucky entered an agreement with Atmos Energy on December 19, 2006 to build infrastructure initially focused on gathering natural gas from 47 of RET’s 60 shallow gas wells that were shut in without a market. The project has now expanded to include an area approximately 35 miles wide and 37 miles long. RET is led by its President, Mr. Robert E. Thorpe and its CEO, Mr. John F. Charles.
In accordance with ASX and AIM rules, the information in this release has been reviewed and approved by Mr. Donald F. Reck Jr. M.S., Chief Technology Officer, Austin Exploration Limited, BS Geology, MS Geology. Mr. Reck has been a member of the American Association of Petroleum Geologists since 1976. Mr. Reck has more than 25 years of relevant experience within the industry and consents to the information in the form and context in which it appears.
For more detailed information on our executive team and/or this project, please visit the Austin Exploration Limited website at http://www.austinexploration.com