"25 May 2011
SECOND EAGLE FORD WELL
30 DAY RESULT
Texon advises that its second Eagle Ford Well, Teal EFS #1H, has produced 16,531 boe (14,024 bo + 15,043 mcfg) over its first 30 production days.
The average daily oil equivalent rate was 551 boepd (467 bopd + 501 mcfgpd), being 85% oil in line with the Company’s first Eagle Ford well.
The Company’s share of oil and gas being produced from the well is now part of Texon’s revenue stream. Texon’s working interest in the well is 100%. Texon’s beneficial interest (NRI) in the production is 75% or some 413 boepd of the above production.
Please refer to Texon’s website for announcements by the Company: www.texonpetroleum.com.au
Oil and gas futures prices (Source: NYMEX July 2011 contracts)
Oil: US$98.47/bbl
Gas: US$4.34/mmbtu (approx. US$6.6/mcf for all Texon gas - including US$7.40/mcf for Olmos and Eagle Ford gas)"