Petsec Energy to Divest Interest in Onshore Louisiana Field

Petsec Energy is selling its interest in the Humphreys Field located in Terrebonne Parish, onshore Louisiana, USA effective December 31, 2008. The Humphreys Field consisted of two producing wells, a salt water disposal well, and production facilities. Production from the two wells, namely the Breaux No. 1 and the Burnett No. 2, was declining, with current combined flowing rates of approximately 1.1 million cubic feet of gas per day and more than 2,500 barrels of salt water.

The sale price for Petsec Energy's interest was US $400,000 plus the assumption of Petsec Energ's plugging and abandonment obligations.
Petsec Energy owned a 51% net revenue interest in the Burnett No. 2 Well and a 58% net revenue interest in the Breaux No. 1 Well and was the operator of both wells.

Petsec Energy Ltd is an independent oil and gas exploration and production company listed on the Australian Stock Exchange. It has operations in the shallow waters of the Gulf of Mexico, the onshore Louisiana Gulf Coast region of the USA, and oil in the shallow waters of the Beibu Gulf off the south coast of China.