Sydney, June 20, 2012 (ABN Newswire) - United States focused oil & gas producer and explorer AusTex Oil Limited (ASX:AOK) (OTCQX:ATXDY) is pleased to announce an update on the 30 day production rates for the Balder #1-30N Horizontal Well at the Snake River Project, Kay County, Northern Oklhoma. The well continues to exceed expectations and the typical type curve for Mississippian Horizontal wells in the region.

During the first 30 days on pump the operator, Range Production Company LLC, a subsidiary of Range Resources Corporation (NYSE:RRC) reported that the well produced 18,210 barrels of oil and 50,825 mcf of gas. The average production for the period was 889 boe/day whilst maintaining a 70%/30% oil to gas ratio, with additional Natural Gas Liquids. Oil produced from the Mississippian is a light sweet crude of a 45 degree API gravity.

Executive Chairman of AOK, Richard Adrey commented, "We are excited about the ongoing development results here in Kay County. Clearly this result confirms that we are located in an exceptional part of the Mississippi Lime play east of the Nemaha Ridge which is delivering a high oil cut in both the horizontal and vertical wells. Whilst it is early days in our development cycle, the economics of this project are continuing to exceed our modelling.

We will continue to drill our vertical well program and have started to delineate a number of further horizontal locations within our acreage for future drilling".


Link: http://www.abnnewswire.net/media/en/docs/ASX-AOK-682932.pdf

About AusTex Oil Limited:

AusTex Oil Limited (ASX:AOK) (OTCQX:ATXDY) is an Australia-based company. The Company is engaged in the development of oil and gas leases in the United States. It produces oil and gas from leases in Oklahoma and Kansas. It is also engaged in the exploration, development and production of hydrocarbons in the United States. Its wholly owned subsidiaries include International Energy Corporation (Oklahoma), International Energy Corporation (Kansas) and Well Enhancement Services LLC. During the year fiscal year ended March 31, 2009 (fiscal 2009), the Company was engaged in the drilling of three wells on the Lancaster Lease group, Tulsa County; two wells on the Sweet Unit, Pawnee County, and one well on the BlueHawk Project in Osage County.

Source:

AusTex Oil Limited

Contact:
AusTex Oil Limited
T: +61-2-9238-2363
F: +61-2-8088-7280
WWW: www.austexoil.com