Petsec Spuds Mobile Bay 994#1 in Gulf

Petsec Energy said that the Mobile Bay 994 #1 well was spud on 19 March 2007, in the Gulf of Mexico.

The well is being drilled from the same surface location as the successful Viosca Knoll 26#1 well, which last week discovered 6.1 meters (20 feet) of net gas pay and met pre-drill estimates. This two well program is targeting 3-5 Bcfe of gas net to Petsec Energy (after payout).

Petsec has made five successive discoveries from its drilling in the Mobile Bay region during the last six months, all of which are expected to be brought into production by the third quarter of this year.

The Mobile Bay 994 lease, which is located approximately 160 kilometers east of New Orleans and is adjacent and to the south of the three gas discoveries made late last year on the Mobile Bay 950, 951 and 993 leases.