Initial Production Begins from 2 Crimson Eagle Ford Wells

Crimson Exploration Inc. announced Wednesday the successful completion and initial production on the Littlepage McBride #5H (53% WI) and #6H (53% WI) wells in Karnes County, TX and provided an Eagle Ford drilling update.

In Karnes County, the Littlepage McBride #5H, targeting the Eagle Ford Shale formation, commenced production at a gross 24-hhour test rate of 1,096 Boepd (989 Bopd and 658 Mcfpd) on a 16/64th choke and 2,435 psi of flowing tubing pressure. The well was drilled to a total measured depth of 16,200 feet, including a 5,460 foot lateral, with 18 stages of frac.

The Littlepage McBride #6H, also targeting the Eagle Ford Shale formation, commenced production at a gross 24-hour test rate of 1,109 Boepd (997 Bopd and 673 Mcfpd) on a 16/64th choke and 2,449 psi of flowing tubing pressure. The well was drilled to a total measured depth of 16,059 feet, including a 5,290 foot lateral, with 18 stages of frac.

This latest success puts Crimson’s gross IP average rate at 1,067 Boepd for the first six wells drilled on the Littlepage McBride leasehold.

Allan Keel, President and Chief Executive Officer, said, "The continued positive results in Karnes County further validate Crimson’s ability to capitalize on our unconventional oil assets as well as continue to develop new opportunities organically. We are currently in the process of finalizing our capital program for 2012, which will be focused on further developing our oil/liquid weighted assets in the Eagle Ford and Woodbine formations, while staying within cash flow."

The Littlepage McBride #7H (53% WI) has reached a total measured depth of 16,435 feet, including a 5,950 foot lateral. Completion operations are expected to begin the first week of January with 19 stages of frac expected to be conducted. The rig is currently in the process of being moved one mile north to the Glasscock #1H (100% WI) location, also targeting the Eagle Ford Shale formation, with an expected spud date in early January. Crimson intends to have an active program in this area through at least the first quarter of 2012.

In Dimmit County, Texas, Crimson spud the Beeler #1H (50% WI), also targeting the oil window of the Eagle Ford Shale formation. The well is currently being drilled at 7,200 feet toward an expected total measured depth of 14,140 feet, including a 7,500 foot lateral, with 15-20 stages of frac expected. Once drilling operations conclude, the rig will move back to Zavala County to drill the KM Ranch #2H (50% WI).

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