Target Energy - Australian petroleum exploration and production company.

SML (Snapper) #A-1 Oil and Gas Well
(Target Energy 25% working interest)

Snapper A-1 was completed as a producing well and brought online on 2 August 2007. Production commenced at a rate of 1.04 MMCFGD with 3 - 5 BOPD.  Production from this well to 31 December 2010 is 975.8 mmcf gas and 3,458 BO.

SML (Snapper) #A-2 Oil and Gas Well
(Target Energy up to 25% working interest)   
           
The Snapper A-2 well was completed as a producing well and brought online on 9 February 2008.
Production from the Snapper A-2 well to 31 December 2010 stands at 471.7 mmcf gas and 31,526 BO.

SML (Snapper) #A-3 Oil and Gas Well
(Target Energy 25% working interest)    

The Snapper A-3 well was drilled in July/August 2009 and encountered 15 metres inferred oil and gas pay in multiple zones (Camerina, Lower third Marg Tex and the Hackberry). The well was tied into production in the following November, with an initial flow rate of approximately 1 million cubic feet of gas per day (MMCFGD).


Beyt #1 Sidetrack
(Target Energy 15% working interest)

Operated by Cypress Productions of Azle, Texas, the Bayou Berard prospect was tested by the Beyt #1 well. Drilling commenced on 6 December 2007, reaching a total depth at 3,251.6 metres

The drilling encountered a major fault prior to intersecting the primary Marg Tex targets. The well was subsequently completed for production in the shallower Marg Vag sand is presently shut-in.

There is an opportunity to drill out from the he existing wellbore to intersect the Marg Tex sands.  The 1st, 2nd and 3rd Marg Tex sands have an aggregate potential of over 750,000 barrels of oil.

Target has been advised by the operator that it is not in favour of proceeding with the program, primarily due to increased anticipated costs.  Target is presently reviewing its options.