Abraxas Closes Grey Wolf Acquisition

Abraxas Petroleum Corporation and its wholly-owned subsidiary, Abraxas Acquisition Corporation, announced that approximately 6.0 million common shares of Grey Wolf Exploration Inc. have been tendered to Abraxas' offer for the common shares of Grey Wolf, representing approximately 90.4% of the outstanding Grey Wolf shares that Abraxas and its wholly-owned Canadian subsidiary, Canadian Abraxas Petroleum Limited, did not previously own. All conditions of Abraxas' offer have been satisfied or waived and all common shares validly tendered up to the expiry time of the offer have been taken up.

Abraxas will acquire the remainder of the Grey Wolf common shares pursuant to the compulsory acquisition provisions of the Business Corporations Act (Alberta) resulting in 100% of Grey Wolf being owned by Abraxas and its subsidiaries.