Index Reaches TD at Cochran, Encounters Multiple Zones of Potential

Index announced that the Cochran-1 exploratory well in the Garwood prospect located in Colorado County, Texas has reached a total measured depth of 16,870 feet after encountering multiple zones of potential natural gas pay.

Index recently agreed to participate in the Garwood prospect operated by El Paso Exploration & Production. The company holds a five percent working interest in the well which continues its commitment to an ongoing exploration program. Drilling of the well began October 27, 2008.

"This is our second well over the last several weeks in southeast Texas to successfully encounter natural gas and move into the testing phase to determine commerciality,'' said Lyndon West, chief executive officer of Index. "The results thus far are encouraging and reflect the quality of this exploration partnership.''

On December 4, 2008, Index announced that the Armour-Runnells-1 ST exploratory well located in Matagorda County, Texas had also encountered multiple zones of potential natural gas pay. The Alligator Bayou prospect reached a total depth of 23,830 feet and is the deepest well drilled to date by the company.