Abraxas Petroleum Corporation provides an operational update and presentation details for the upcoming Independent Petroleum Association of America's (IPAA) Small Cap Oil & Gas Investment Symposium to be held February 7-9, 2006 at The Westin Diplomat Resort in Hollywood, Florida.

In the Oates SW Field of West Texas, the initial Woodford re-entry has been placed on production. As previously announced, due to the competitive nature of this resource gas play, specific production rates and completion techniques will be kept confidential. The Company's workover rig is below 9,000' on a Devonian re-entry, which the Company plans to drill horizontally.

Elsewhere in the Delaware Basin of West Texas, the Company has begun a multi-well program of fracture stimulations and re-completions of existing wellbores. Three wells are currently in various stages of completion, two of which are targeting the Atoka formation and one is targeting the Wolfcamp formation.

In Wyoming, production testing of the individual formations continues on the four wells drilled in late 2005. The Company plans to begin the additional completions later this month. Once all of the formations are completed and tested individually, they will be commingled and an ultimate sustained rate of production can be obtained.

"We are pleased to announce that we have secured two large workover rigs in West Texas that are capable of drilling horizontally in existing wellbores and further, have the ability to drill shallower wells from the surface. Initial results from the Wyoming wells are quite encouraging; however, until we have all zones on production and commingled, the ultimate production rates are unknown," commented Bob Watson, President and CEO.