ASX Announcement

Date: 24 August 2011

Texon Petroleum LtdABN 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 David Mason Bernard RowleyCompany Secretary:

Des Olling

Contact: David Mason President & CEO

dave.mason@texonpetroleum.com.au

or:

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

Website:

www.texonpetroleum.com.au

ASX Code: TXN

Third Eagle Ford Well

Testing Begins

Texon advises that its third Eagle Ford well (Tyler Ranch EFS

#2H) has been successfully fracced over 17 stages and will now be tested. The recovery of frac fluid will probably take a

few days after which the Company will be able to conduct a

proper flow test of the well.

The location of the Tyler Ranch EFS #2H well is shown on the

attached map.

Texon has an 82% Working Interest (61.6% Nett Revenue

Interest) in the Tyler Ranch EFS #2H well.

-ends

Oil and gas futures prices:

Source: NYMEX Sept 2011

Oil: US$85.67/bbl

Gas: US$4.00/mmbtu (this translates to approx. US$6.60/mcf for all Texon gas – including US$7.60/mcf for Olmos and Eagle Ford gas

Glossary:

bbl: barrel

mcf: thousand cubic feet

mmbtu: million British thermal units

Page -2-

LOCATION OF EAGLE FORD WELLS