Antrim Energy (fka ATGYF)

[kraftdinner]

7 October, 2004

Announcement to ASX & Media Release

Weekly Drilling Report - South Galapagos-1
Southern Browse Basin


South Galapagos-1 Well Location


Magellan Petroleum Australia Limited advises that the South Galapagos-1 exploration well in exploration permit WA-306-P (southern Browse Basin of the North West Shelf, offshore Western Australia) spudded at 01:00 hours WST on 5 October, and at 06:00 hours WST today was at a depth of 1,655 metres and drilling ahead in 171/" hole. The well is being drilled by Antrim Energy Australia, operator of the WA-306-P joint venture, with Magellan being fully funded through the drilling of the well.

South Galapagos - 1 Details:

Exploration Permit: WA-306-P

Location: Southern Browse Basin, Offshore Western Australia Approximately 280 km North West of Broome

Coordinates: Latitude: 15° 53' 37.7" South
Longitude: 120° 43' 40.928" East (GDA 94)
Water Depth: 342 metres
Proposed Total Depth: 3,772 metres RT
Operator: Antrim Energy Australia
Drilling Rig: Sedco 703 semi-submersible drilling rig
Primary Objective: Jurassic Lower Vulcan and Plover Formations
Current Operations: The well spudded at 01:00 hours Australian Western Standard Time on 5 October 2004. 30" conductor was set at 415 metres and at 06:00 hrs WST on 7 October the well was at a depth of 1,655 metres BRT and drilling ahead in 171/" hole.

Participants in the South Galapagos-1 well are:

Magellan Petroleum (WA) Pty Ltd
(a wholly-owned subsidiary of Magellan Petroleum Australia Limited)
12.5%

Antrim Energy Australia Pty Limited (Operator) 32.5%
ONGC Videsh Limited 55.0%

For further information, please contact either Dr Gwynn Davies, General Manager or
Mr Paul Lipski, Exploration Supervisor - Phone: [phone].