TransAmerican Participating in New Well at Pelahatchie Field

TransAmerican Energy Inc. advises that under an agreement with Odyssey Petroleum Corp., the Company, together with other working interest participants, have agreed to pay 100% of the cost of drilling a new well (the Harold Karges 18-7 #1 Well) in Pelahatchie Field, Mississippi.

The Company and other working interest participants will acquire a combined 50% working interest in the new well, while Odyssey will complete the well for production and serve as Operator. TAE and ODE recently drilled and completed the successful Max and Martha Gill well approximately one mile north, in Section 7.

ODE, as Operator, has advised that it has spudded and set conductor pipe to begin drilling the new Harold Karges 18-7 #1 Well. The drilling rig is scheduled to move in, rig up, and commence drilling over the weekend.

Situated south of the recently drilled Harold Karges 1A in Sec 18, T5N, R5E, Rankin County, Mississippi, and slightly northeast of the discovery well drilled in the 1960's by American PetroFina, the well is to be drilled to a depth of 11,500 ft., targeting development of numerous accumulations of oil found in nearby previously drilled wells in the field.

The Pelahatchie Field is located in east-central Rankin County, Mississippi near the geographic center of the state, approximately twenty miles east of Jackson, Mississippi. The field was discovered in 1962 by American PetroFina with production from the Mooringsport sand at 9800 ft. using early gravity and seismic technology. Production was eventually established in the field from fourteen additional zones to 11,400 ft.