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Eagle Ford Shale Activities Update

Source: www.gulfoilandgas.com 10/29/2012, Location: North America

Strike Energy Limited notes that there has been speculation in internet chat forums that Strike’s Eagle Ford Shale initial production test well, Bigham 1H, has commenced flaring gas. Strike confirms that small volumes of natural gas have been flared from the well over the past 36 hours. Initially the well was flowed to an open tank where gas is not measured, however, during the most recent 36 hours the Bigham 1H well began to flow through test facilities which allow natural gas to be separated and flared.

Strike does not believe the small volume of gas being flared is material to the evaluation of the production potential of the well. The well is continuing to clean up and production testing will be undertaken once stabilised flow rates have been established. Strike will update the ASX when production testing of the Bigham 1H has been completed. Strike participates in over 37,400 acres in the Eagle Ford Shale through its 27.5% interest in the Eagle Landing Joint Venture (approximately 10,300 acres net to Strike).

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