UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
F O R M 8 - K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
Date of Report
March 20, 1998
Abraxas Petroleum Corporation
(Exact name of registrant as specified in its charter)
Nevada
(State of other jurisdiction of incorporation)
0-19118 74-2584033
(Commission File Number) (I.R.S. Employer Identification Number)
500 N. Loop 1604 East, Suite 100
San Antonio, Texas 78232
(Address of principal executive offices)
Registrant's telephone number, including area code:
210-490-4788
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Item 5. OTHER EVENTS.
(a) On February 17, 1998 Abraxas Petroleum Corporation announced
that Abraxas and Vessels Energy, Inc. had terminated the
previously announced proposed merger between the two firms.
Under the terms of the Merger Agreement, Vessels paid the sum
of $1.5 million as a termination fee to Abraxas. Vessels has
also agreed to reimburse Abraxas for the drilling and
completion costs of four wells drilled on Vessels' acreage by
Abraxas.
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SIGNATURES
Pursuant to the requirement of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
ABRAXAS PETROLEUM CORPORATION
By: ___________________________________
Chris Williford
Executive Vice President, Chief Financial
Officer and Treasurer
Dated: March 20, 1998
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