The Directors of Armour Energy Ltd advises that the Company has entered into a contract with Halliburton Energy Services for supply of hydraulic stimulation services for the planned 2013 exploration and appraisal program in the Company's wholly owned ATP 1087 tenement in North Queensland, located approximately 300km north of Mt Isa. Halliburton is a proven service provider in other Australian shale plays.

The wells planned for the 2013 Queensland exploration program will be drilled by Silver City Drillers under the drilling contract announced to the market on 5 February 2013.

The target Lawn 4 Shale Formation contains a typically 125m thick, organic-rich source rock section showing up to 8% gas recorded in mud logs during drilling of four petroleum exploration wells by Comalco in the early 1990s. These wells are now located within ATP 1087 and in conjunction with more than 1100km of existing seismic data delineate an immediate Lawn 4 Shale exploration target area of approximately 1400 km² within the eastern area of ATP 1087.

Tags: Armour Energy Ltd