Abstract: A method and apparatus for perforating and stimulating a subterranean formation which is penetrated by a well bore having casing positioned therein so as to establish fluid communication between the formation and the well bore. A shell, sheath or sleeve of propellant material is positioned so as to substantially encircling at least one shaped charge in a subterranean well bore and is ignited due to the shock, heat and/or pressure generated from the detonated charge. Upon burning, the propellant material generates gases which clean perforations formed in the formation by detonation of the shaped charge(s) and which extend fluid communication between the formation and the well bore.