Burleson Energy Limited (ASX:BUR) Wilcox Drilling Campaign Progress Report On The Moeller #1 Well

Sydney, May 25, 2010 AEST (ABN Newswire) - Burleson Energy Limited (ASX:BUR) advises that, during the past week, intermediate logs were run and casing set and cemented at 11,229 feet (3,422 metres) on the Moeller #1 well. As of 10 am on 24 May, 2010 (Texas time), the well operation was preparing to drill out and test the casing shoe before drilling ahead towards the target Wilcox reservoir. A two day delay was experienced in the past week due rig to repairs, but these have been completed, and it is anticipated that the well will reach its total planned depth of 12,500 feet (3,810 metres) within 7 to 10 days.

The Moeller #1 is the second of numerous large Wilcox prospects to be drilled in 2010. The Moeller #1 is located in Colorado County, Texas to the southwest of the main 3D seismic project area. The Moeller prospect has been mapped using modern 3D seismic as a large stratigraphic trap supported by strong amplitude and AVO anomalies which are strong hydrocarbon indicators.

The Moeller prospect has the potential to contain recoverable hydrocarbons of 118 bcf of gas and 2.8 million barrels of associated condensate. Should a discovery of that scale be made, additional wells will be required to develop the field.

In previously drilled wells in the region, the Wilcox sands in this play tend to have high porosity and permeability, so fracture stimulation (fraccing) is generally not required. Analogous wells to the Moeller #1 have recovered up to 20 bcf of gas and 470,000 barrels of condensate with flow rates of 6.3 mmcf of gas per day and 170 barrels of condensate per day.

BUR has a 38.5% working interest in Moeller #1, along with its JV partners NSE and US-based operator AKG Energy, L.P.

Contact

Mike Sandy Managing Director Tel: +61-2-9450-2002 Fax: +61-2-9986-1753 Email: info@burlesonenergyltd.com www.burlesonenergyltd.com