PetroSun Executes Canning Basin Farmin

PetroSun, Inc. has executed the formal Farmin and Joint Operating Agreement with New Standard Exploration NL covering Exploration Permit 417 located in the Canning Basin of Western Australia. PetroSun is the designated Manager/Operator and will earn a 75% working interest in the permit area through the sole funding of the initial two well exploration program.

The Lanagan "A" Prospect will be the initial test well and is scheduled to be drilled to a depth of 2,500 meters to test the Knobby Sandstones. The Lanagan "A" is a seismic generated prospect with a 10,000 acre closure and potential calculated volumes in excess of 50 million barrels of black crude oil. The Lanagan Prospect contains several other seismic defined structures within the Lanagan complex, including the Lanagan "B" Prospect that is being considered for the second test well.

The Spinifex and Lawford Prospects are seismic generated prospects located within the boundaries of EP 417. The Spinifex Prospect covers 20,000 acres with potential recoverable crude oil volumes exceeding 100 million barrels. The 40,000 acre Lawford Prospect contains 100 million barrels of potential recoverable crude oil.

"I have researched the Canning Basin for the past decade and consider it to be among the few underexplored onshore basins in the world that may contain world-class oil reserves," said Gordon LeBlanc, Jr., CEO of PetroSun. "The Canning Basin is attracting interest worldwide and PetroSun is well positioned as we commence our exploration program."

The EP 417 contains 6,300 square kilometers (approximately 1.5 million acres) within the permit boundaries.

PetroSun's current oil and gas operations are concentrated in the Ark-La-Tex region with plans to expand into New Mexico, Arizona and Australia in 2007. The company is headquartered in Phoenix, Arizona with field offices in Shreveport, Louisiana and Opelika, Alabama.