ASX Announcement

Date: 8 May 2012

Texon Petroleum Ltd ABN 24 119 737 772

Level 9, 46 Edward Street

Brisbane, Qld Australia 4000

Postal: GPO Box 402

Brisbane, Qld Australia 4001

Telephone: +61 7 3211 1122

Fax: +61 7 3211 0133

Directors: John Armstrong Bernard Rowley David Mason Company Secretary:

Des Olling

Contact: Cliff Foss President & CEO

cfoss@texozep.com

or:

John Armstrong Chairman john.armstrong@texonpetroleum.com.au

Website:

www.texonpetroleum.com.au

ASX Code: TXN

Fifth Eagle Ford Well

Texon's fifth Eagle Ford well, Peeler EFS #1H (a lease commitment well), began drilling operations on 6 May 2012. The well is expected to take 25 days to reach its total depth after drilling 4,200 feet of horizontal section. The well will then be cased, fracced and connected for production.
Texon has an 82.2% WI (61.6% NRI) in the well.
Please also refer to the Company's release of 19th April 2012. Clifford S. Foss, President of Texon Petroleum said "Texon's
fifth Eagle Ford well is scheduled to be fracced and connected for production in mid July 2012".
-ends

Current oil and gas futures prices:

Source: NYMEX June 2012

Oil: US$97.99/bbl

Gas: US$2.31/mmbtu (this translates to approx. US$3.80/mcf for all Texon gas - including US$4.40/mcf for Olmos and Eagle Ford gas)

Glossary:

bbl: barrel

mcf: thousand cubic feet

mmbtu: million British thermal units

NRI: Net Revenue Interest

WI: Working Interest

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