Buccaneer Energy Limited (ASX:BCC) Update Alexander # 1 Well At Lee County Project

Sydney, Sep 22, 2010 AEST (ABN Newswire) - Buccaneer Energy Limited (ASX:BCC) (PINK:BCGYF) is pleased to provide an update for the Alexander # 1 well located at the Lee County project, approximately 120 miles west of Houston.

Currently at 6,000' Total Depth (5,960' Vertical Depth), drilling recommenced after changing bottom hole assembly. While building the angle for the horizontal component of the well, the Eagle Ford Shale was intersected below the Austin Chalk, approximately 110' higher than anticipated.

Approximately 13' of the Eagle Ford Shale was drilled before drilling ceased. Indications are that the Eagle Ford Shale is oil saturated at this location. The well cannot continue through to the bottom of the Eagle Ford Shale as the angle of the wellbore is currently at 45 degrees and building to horizontal.

Current preparing to conduct a flow test of the two lower fracture zones in the Austin Chalk before making an assessment to kick-off the horizontal component higher in the Austin Chalk.

These two new fracture zones are below the first fracture zone that was tested over a 72 hour test flowed at an average of 948 BOPD. That fracture zone was interpreted from mud logs as being 20' thick interval (5,640' - 5,660').

The participants in the Lee County project are as follows:

Participant Working Interest

- Buccaneer Resources*: 52.50%

- Sandstone Energy: 38.75%

- Megashine International Ltd: 8.75%

* A wholly owned subsidiary of Buccaneer Energy Limited

Contact

Dean Gallegos Mob: +61-416-220-007 Tel: +61-2-9233-2520 http://www.buccenergy.com