Offshore staff

(Melbourne, Australia) -- Longtom-3 appraisal well is under way byOcean Patriot in the Gippsland basin offshore Australia for Nexus Energy.

Longtom field is in exploration permit Vic/P54 30 km off the coast of Orbost, Victoria. Following completion of drilling, results will be reviewed and any development plans made. First production is anticipated before June 2008.

The well plan calls for drilling to 3,330 m TD and plugging back to drill horizontally through the Longtom gas sands.

Apache Northwest, which has a 62.5% interest in Vic/P54, has a right to buy back into the field development following the drilling of Longtom-3.

7/13/06