Antrim Awards Drilling Contract for Australian Project

Antrim Energy has contracted Transocean Inc.'s semisub, Sedco 703, for an exploration well on the NorthWest Shelf of Australia.

Transocean has informed Antrim that the rig is currently operating on the Australian NorthWest Shelf and may be available to start drilling operations on Antrim's "South Galapagos" prospect as early as the first week of September 2004.

The well will be located on Permit WA-306-P in the Barcoo Sub basin, NorthWest Shelf, Australia. The NorthWest Shelf is Australia's most prolific oil producing region containing oil fields as large as 400 million barrels recoverable. Most NorthWest Shelf field sizes range from 20 - 200 million barrels recoverable. Permit WA-306-P contains a cluster of drilling prospects including "Galapagos" and "South Galapagos". The first well, South Galapagos #1, will be drilled in 345 meters of water to a projected depth of 3775 meters in the Jurassic section. Drilling time to total depth is estimated to be 32 days. A period of testing would follow on positive drilling results. Antrim is Operator of the project and, following the evaluation of recently acquired seismic data, increased its interest in the permit through an agreement with its 50% partner Magellan. Antrim will fund Magellan's share of the well cost to earn an additional 37.5% interest, bringing Antrim's total interest to 87.5% in the WA-306-P permit.