Empyrean Notes Frac Stimulation Ops at Sugarloaf

Empyrean provided the following update on operations at the Sugarloaf Project within the Sugarkane Gas & Condensate Field, Texas.

May -1H

The fracture stimulation of the May-1H horizontal well commenced on October 21, 2010. This well was drilled to a final depth of 17,550 ft and it is planned to carry out 16 fracture stimulation stages along approximately 5,000 ft of horizontal section. The fracture stimulation is utilizing a similar design to that used in other recent wells and the well will be flowed to sales once the stimulation operations are complete. Empyrean will provide an update to the market once the well has cleaned up and a stable flow has been achieved.

Direct Assets-1H

The Direct Assets-1H well has been drilled to a final depth of 17,600 ft and casing has been run and cemented to secure approximately 5,000 ft of horizontal section. This is the fifth post farmout well within the Sugarloaf Project, following five earlier farm-in wells having been placed on production, and it will be fracture stimulated in a similar fashion to the other Eagle Ford wells

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