ANTARES ENERGY LIMITED
A.C.N. 009 230 835
Level 2, 5 Ord Street
West Perth WA 6005
Telephone: + 61 8 9324 2177
Facsimile: + 61 8 9324 1224
Website:www.antaresenergy.com
Email: mail@antaresenergy.com
PO Box 690
West Perth WA 6872
ASX/NEWS RELEASE
23 April 2009
PETROHAWK EAGLE FORD AGREEMENT
Project: Eagle Ford Shale (Hawkville)
Location: McMullen County, Texas
Operator: Petrohawk Energy Corporation
Antares is pleased to announce the sale of ownership rights in approximately 5,102 gross and
4,840 net acres to Petrohawk Energy Corporation, listed on the New York Stock Exchange, for an
agreed sum. Additionally, for all wells drilled by Petrohawk on the leases pursuant to this term
assignment, Antares will receive a working interest back-in after payout on a well by well basis.
Furthermore, Petrohawk agrees to spud the initial test well within one (1) year from the effective
date of this term assignment. Antares expects the first well will be drilled in the second half of
2009. The 5,102 gross and 4,840 net acres are exclusive of Antares' approximately 8,200 acre
Yellow Rose lease position, which is adjacent and to the north of this term assignment.
THE EAGLE FORD SHALE PLAY
Please note the below is paraphrased into bullet points from the Petrohawk Energy Corporation
First Quarter 2009 Operational Update:
1. Petrohawk has leased approximately 160,000 contiguous net acres prospective for the
Eagle Ford Shale in LaSalle and McMullen counties and the area is now recognised by the
Texas Railroad Commission as Hawkville Field.
2. Petrohawk has been operating one rig in the play and has now increased this to two.
3. The production history from four wells completed to date indicates lower initial annual
decline rates and a flatter hyperbolic decline which is a very positive production
characteristic and superior to those observed in other shale plays.
4. Analysis of the available data indicates a trend across the field from southwest to
northeast of increasing condensate yield with the Eagle Ford Shale having been
encountered from true vertical depths of approximately 11,000’ to 11,700’.
5. The Eagle Ford Shale is a highly calcareous organic shale beneath the Austin Chalk with
very high average total organic gas filled porosities in excess of 10% and very low
water saturations.
6. Estimated free gas in place per section (1 section = 640acres) between 180 and 210 Bcf.
7. Tabulated data available suggests the Eagle Ford Shale in this particular area is one of
the highest quality shale reservoirs discovered to date in the United States.
8. Petrohawk has raise its internally estimated ultimate recovery assumption for wells in this
play to a midpoint of 5.5 Bcfe per well, with a range of 4 to 7 Bcfe per well.
9. Eagle Ford Shale wells on average are currently ranging from $4.5 million to $5.5 million
for drilling and completion costs with the latest well designs allowing total depth to be
achieved in as little as 22 days.
10. Petrohawk has a 1 billion dollar capital budget for 2009 and expects increased activity
levels in the Eagle Ford Shale.
Furthermore, ConocoPhillips (NYSE:COP) has recently announced that it has amassed a 300,000
net acreage position in the Eagle Ford in South Texas, while St. Mary Land & Exploration
Company (NYSE:SM) is acquiring up to 210,000 net acres realising the potential of this new
resource play.
Antares is extremely pleased to be involved with a company of Petrohawk’s calibre and
successful history. Antares is encouraged by the above activity adjacent to its 8,200 acre Yellow
Rose position and will thoroughly evaluate the Eagle Ford in its initial Yellow Rose well.
James Cruickshank
Managing Director & CEO
_____________________________________________________________________________
For further information please contact:
James Cruickshank
Tel: + (61) (0) 419 903 452
or + (1) 214 762 2202
Or visit our website: www.antaresenergy.com