Petsec Submits High Bids on Acreage Near Core Holdings

Petsec Energy has submitted the highest bids on two leases at the Central Gulf of Mexico Lease Sale 194 conducted by the Mineral Management Service (MMS) in New Orleans.

The leases will be awarded to Petsec subject to the approval of the MMS.

The new leases are adjacent to and to the north of Petsec's existing Main Pass 19 lease which it acquired last year. Petsec Energy will have a 100% working interest (83.33% net revenue interest) in these new leases when they are awarded.

Executive Chairman Mr. Terry Fern said "He was very pleased to acquire these two leases which will give Petsec three contiguous blocks in the Main Pass area. The development of these two new blocks will benefit from the development of Main Pass 19 where a three well drilling program is anticipated to commence by late March or early April."