EAST TEXAS DRILLING

DEVELOPMENTAL

Gregg County

The White Oak (Cotton Valley Sand) Field will see more production as Oneok Texas Energy Resources, L.P prepares to drill the Fisher, Caddie Well No. 2. This well will bottom at 11,300-feet in the Ruddle, J. Survey, A-176. the well will be located two miles southeast from White Oak.

In a lease 0.5 miles west from White Oak, in the White Oak (Cotton Valley Sand) Field, the Oneok Texas Energy Resources, L.P prepared for drilling the Allen Toike GU Well No. 4. The well will reach a depth of 11,300-feet in the Painter, W.G. Survey, A-170.

The Geo-Vest of Texas, Inc. is pepraring to drill the Flanagan “C” G.U Well No. 6 with a depth of 11,000 feet. The will will be located 4.5 miles northeast from Kilgore, in the Danville (Travis Peak) Field.The well will lie in the Haden Edwards Survey, A-64. This well may also be drilled in a Wildcat Field and the Danville, East (Cotton Valley) Field.

The Easton, North (Cotton Valley) Field will see more production as Chinn Exploration Co. prepares to drill the Thompson “J” Well No. 11. This well will bottom 11,000 feet in the John Matthews Survey, A-11. the well will be located 2.5 miles northeast from Henderson.

Panola County

The Beall, W. F. Well No. 19 and the Whitfield Unit Well No. 22 in the Carthage (Cotton Valley) Field. Chevron U. S. A. Inc. The No. 19 will be located 2.7 miles northeast from Beckville and will bottom at 10,500-feet. The well will lie in the West, J Survey, A-734. The No. 22 will be located 2.4 miles southwest from Beckville in the Scott, T M Survey, A-594. Total depth will be 10,500-feet.

Samson Lone Star LP will drill the M.W. Wells Estate Gas Unit #1 Well No. 3 to a depth of 10,000-feet in the Bethany (Cotton Valley) Field. The well will be drilled 5.9 miles east from Elysian Field in the Shandoin, J Survey, A-595. The well may also be drilled in a Wildcat Field.

The Carthage (Cotton Valley) Field will see more production. The well is designated the L.H. Pirkle “C” Well No. 13 and will bottom at 9,600-feet. Location will be 3.6 miles south from Carthage in the Giles N. Graves Survey, A-238. Operator will be Classic Energy Inc.

The Reed Estate Unit Well No. 3 will be drilled by Rabalais, F. W. Inc. The well will be drilled 1.4 miles west from Clayton in the Carthage (Cotton Valley) Field and will bottom at 9,700-feet. The well will lie in the Romero, M. A. Survey, A-1.

Devon Louisiana Corp. will drill a new well in the Carthage (Cotton Valley) Field to a depth of 10,000-feet. Location will eight miles southwest from Carthage in the Sheilds, J Survey, A-588. The well is designated Davis, M. L. Well No. 2.

A Wildcat Field will see more production by Buffco Production Inc. The Walton, Mary Well No. 1 will be drilled 10.3 miles east from Carthage in the Hampton West Survey, A-697. Total depth will be 11,000-feet and the well may also be drilled in the Carthage (Cotton Valley) Field.

The A. Williams Gas Unit Well No. 1 and the A. Williams Gas Unit No. 1 Well No. 2 will be drilled by Penn Virginia Oil & Gas Corp. The wells will be drilled in a Wildcat Field. The No. 1 will be located 5.5 miles southwest from Elysian Field in the Henry Roberts Survey, A-562. The No. 2 will be located 6.2 miles southwest from Elysian Field in the Timmins, F G Survey, A-664. The wells may also be drilled in the Carthage, North (Cotton Valley) Field.

In a lease 5.1 miles northeast from Carthage, in the a Wildcat Field, the Roberts GU Well No. 2 will be drilled by Peoples Energy Production-TX, L.P. The well will bottom at 6,700-feet in the Garner, T Survey, A-826. The well may also be drilled in the Carthage (Travis Peak-Collins) Field.

Danmark Energy Services, Inc. will drill the Vice-Shivers Unit Well No. 3 to a total depth of 11,000-feet in a Wildcat Field. The well will be located 3.1 miles west from Tatum in the Wesley Goodwin Survey, A-221. The well may also be drilled in the Carthage (Cotton Valley) Field.

The Carthage (Cotton Valley) Field will see more production as Comstock Oil & Gas Lp prepares to drill a new well. The well is designated the Ellis S.A. Well No. 18 and will reach a depth of 10,200-feet. Location of the well is 6.2 miles west from Carthage in the Catherine Lindsey Survey, A-386.

The Bowles Energy Inc will drill the Jernigan Ira L. Well No. 1 to a total depth of 10,000-feet in the Carthage, North (Cotton Valley) Field. The well will be located 1.8 miles south from DeBerry in the Smith H. Survey, A-596. The well may also be drilled in a Wildcat Field.

In a lease 3.8 miles southwest from Beckville , in the Carthage (Cotton Valley) Field, Comstock Oil & Gas L.P. is preparing to drill and additional well. The well will be known as Waldrop GU 1 Well No. 6 and will reach a depth of 10,500 feet . the well will lie in the Sion Hardin Survey, A-321.

Rusk County

In a leas one mile east from Henderson, in the Minden (Cotton Valley) Field, the Frank Hubbard Gas Unit Well No. 4 and the Frank Hubbard Gas Unit Well No. 3 will be drilled by Odegard Energy, Inc. The wells will bottom at 12,000-feet. The No. 4 will lie in the Meador, B W Survey, A-560 and the No. 3 will lie in the Wright, T L Survey, A-820.. The wells may also be drilled in a Wildcat Field.

The Langston Well No. 1 and the R. Snelgrove Well No. 1 will be drilled by Goodrich Petroleum Co. The Langston well will be located 0.3 miles northeast from Chapman in the Church Hill (Cotton Valley) Field. The well will lie in the Mc Cormack, C Survey, A-564. The R. Snelgrove well will be located 1.5 miles north from Chapman in the Church Hill (Cotton Valley) Field. The well will lie in the Chapman, H Survey, A-220. Total depth for both wells will be 11,000-feet The wells may also be drilled in the Church Hill (Travis Peak) Field or a Wildcat Field.

The Hall Well No. 1 and the D. Ross Well No. 1 will also be drilled in the Church Hill (Cotton Valley) Field by Goodrich Petroleum Co. The wells will bottom at 11,200-feet, the Hall well will lie in the Hollam, J Survey, A-351 and the D. Ross well will lie in the Murray, J B Survey, A-600. The wells will be located two miles southwest from Chapman. The wells may also be drilled in a Wildcat Field or the Church Hill (Travis Peak) Field.

The Beckville (Cotton Valley) Field will see more production from Goodrich Petroleum Co. They are preparing to drill the Smith-Young Well No. 2 in the Daniel Martin Survey, A-526. The well will be located 3.6 miles southwest from Tatum and will bottom at 11,200-feet. The well may also be drilled in the Beckville (Pettit 6800) Field, the Beckville (Travis Peak) Field or a Wildcat Field.

The Houston Exploration Company will drill the Lake Gas Unit 1 Well No. 2 in the Henderson, East (Cotton Valley) Field. The well will be located 4.4 miles southwest from Henderson in the Malone, J C Survey, A-595. Total depth of the well will be 11,200-feet and may also be drilled in a Wildcat Field.

In a lease 5.6 miles southwest from Tatum, the Joe S. Kinsey Well No. 6 will be drilled by BP America Production Co. The well will bottom at 11,000-feet and will lie in the Hicks, W L Survey, A-413 in the Oak Hill (Cotton Valley) Field.

The Kangerga Well No. 1 will be drilled by Stroud Petroleum, Inc. in the Henderson, East (Cotton Valley) Field to a depth of 11,750-feet. The well will be located 9.7 miles southwest from Henderson in the Sparks, L N Survey, A-701. The well may also be drilled in a Wildcat Field.

The El Paso Production Co. is preparing to drill the Eastland Well No. 5 in a Wildcat Field. The well will be located 3.5 miles southeast from Henderson and will rach a total depth of 10950-feet. The well will lie in the Carmel, M. Survey, A-158. This well may also be drilled in the Henderson, South (Travis Peak, UP) and the Minden (Cotton Valley) Fields.

Benton “K” Well No. 14 is being prepared for drilling to a total depth of 11000-feet in the Henderson, East (Cotton Valley) Field. The operator incharge of drilling is Chinn Exploration Co. They will drill the well 2.5 miles northeast from Henderson in the Jackson, J. Survey, A-449.

In a lease of seven miles northeast from Henderson in a Wildcat Field, C.W. Resources Inc is preparing to drill an additional well.. The well will be known as the Jimmerson “B” Well No. 1 with a depth of 10,700-feet. The well will lie in the Walling T.J. Survey, A-810.

St. Mary Land & Exploration Co. is preaparing to drill the McCauley Well No. 1 to a depth of 9,250 feet in the Garrison (Travis Peak) Field. Location of the well is 3.4 miles northeast from Garrison. The well will lie in the John Clute Survey, A-165.

Smith County

The Chisum Well No. 1 will be drilled in a Wildcat Field by Carrizo Oil & Gas, Inc. The wel will be located 7.7 miles northeast from Tyler in the Minor, D Survey, A-644. Total depth will be 9,500-feet and may also be drilled in the Sand Flat Field.

C. W. Resources, Inc. will drill the Shores Well No. 1 in the Overton (Cotton Valley Sand) Field. The well will be located 0.5 miles east from Arp in the W. Cochran Survey, A-252 and will bottom at a total depth of 12,000-feet.

The Overton (Cotton Valley Sand) Field will see more production as Southwestern Energy Prod. Co. prepares to drill a new well. The well is designated the Mitlton Anderson Gas Unit 1 Well No. 14 and will reach a depth of 12100-feet. Location of the well is 3.9 miles southwest from Arp in the Henriquez, M.G. Survey, A-11. This well may also be drilled in a Wildcat Field.

In a lease 4.2 miles south from Troup in the Overton (Cotton Valley Sand) Field, Valence Operating Co. is preparing for an additional well to be drilled. The well is to be known as the Poole Well No. 2 with a depth of 12,600 feet. The well will lie in the jose Maria Procella Survey, A-17. the well may also be drilled in the P.L. (Rodessa) Field, P.L. (Travis Peak) Field, and the Overton , North (Haynesville) Field.

Upshur County

Vintage Petroleum, Inc. will drill the Wheeler, O.N. Well No. 4 in the Gilmer, South (Cotton Valley) Field. The well will be located 5.2 miles northeast from Big Sandy in the William Carlton Survey, A-71. Total depth will be 13,000-feet.

The Hunter, J.L. Well No. 2 will be drilled by Medicine Bow Operating Co. in a Wildat Field. The well will bottom at 12,500-feet and will be located 4.1 miles southwest from Gilmer in the JBB Davenport Survey, A-1.

In a lease four miles south from Gilmer, in the Gilmer (Jurassic) Field, Apache Corp. is preparing to drill a new well to a depth of 14000-feet. The well is to be know as the Jones, Jack Gas Unit Well No. 9. The well will lie in the Brown,S. Survey, A-25. This well may also be drilled in the Mings Chapel (Cotton Vally Lime) Field and a Wildcat Field.

The Basa Resources, Inc is preparing to drill the Sanders, A.J. Well No. 51 in the East Texas Field with a total depth of 5,000 feet. The well is located two miles north from Gladwater and will lie in the Thompson Allen Survey, A-666.

COMPLETIONS

Gregg County

The Skipper Init Well No. 3 has completed to a depth of 10,857-feet by XTO Energy Inc. the well potentialed 1.872 million cubic feet of natural gas when gauged on a 28/64-inch choke. The well is located 2.60 miles southwest of Longview in the Willow Springs (Cotton Valley) Field. Production is in the Cotton Valley formation.

Harrison County

The Harris-Munden Gas unit Well No. 3 has been completed by EnCana Oil & Gas to a depth of 10,288-feet. The well is located 1.30 miles northeast from Roseborough Springs in Blocker (Cotton Valley) Field. This well potentialed 786,000 cubic feet of gas when gauged on a 20/64inch choke. Production is in the Cotton Valley Lime formataion.

In a lease 12.70 miles west from Marshall, in the Tatum, North (Cotton Valley) Field, NEG Operating LLC has filed the first production reports for the Willma Little A #37 Well No 1. This well bottoms at a depth of 10,680-feet. The well was gauged on a 16/64inch choke and potentialed 978,000 cubic feet of natural gas. Production is in the Cotton Vally formation.

When gauged on an adjustable choke, the H. G. Becker Gas Unit Well No. 7 potentialed 1.072 million cubic feet of gas. The well was drilled to a depth of 10,260-feet in the Blocker Field by BP America Production Co. Location is 9.1 miles south from Marshall. Production is in the Cotton Valley formation.

Kelly Heirs Gas Unit Well No. 4 has been completed to a depth of 10,310 feet in the Woodlawn (Cotton Valley) Field. The operator incharge of the drilling is BP America Production Co. The location is 4.2 miles west of Marshall, Tx. The well potentialed 487,000 feet of gas when gauged on an adjustable choke. Production is in the Cotton Valley formation.

Panola County

Danmark Energy, L.P. has completed an additional well in the Beckville (Cotton Valley) Field. The well is designated the hemby G. U. Well No. 2 with a depth of 10,575-feet. The well is located three miles southeast from Tatum, Tx. When gauged on an adjusted choke of 22/64inch, the well potentialed 569,000 cubic feet of gas. Production is in the Cotton Valley formation.

In a lease 6.1 miles southeast from DeBerry, in the Carthage, North (Cotton Valley) Field, Winchester Production Co. has completed as new well. The well is known as the Sempra Well No. 3 and bottoms at 10,000-feet. The well was gauged on a 18/64inch choke and potentialed 312,000 cubic feetof gas. Production is in Cotton Valley formation.

Paladin Drilling Co. has filed the first production paper on their newly completed well designated the Walker “B” Well No. 1. This well is located 7 miles southeast of Deadwood,Tx in the Belle Bower (Paluxy Upper) Field. The well bottoms at a depth of 4,200-feet. The well potentialed 391,000 cubic feetof natural gas whe beign gauged on a 14/64inch choke. Production is in the Paluxy Upper formation.

The Furrh Gas Unit Well No. 1 has been completed in the DeBerry Field by Stroud Energy, Ltd. The well is located 4.6 miles northeast from DeBerry and bottoms at 10,215-feet. When gauged on a 12/64-inch choke the well flowed with 20 barrels of crude. Production is in the Travis Peak 6000 formation.

When gauged on a 12/64-inch choke, the Garland Well No. 1 potentialed 898,000 cubic feet of natural gas. Preston Exploration LLC drilled the well 9.6 miles east of Carthage in the Carthage, South Field. Total depth is 9,554-feet. Production is in the Cotton Valley formation.

The Carthage (Cotton Valley) Field. Has seen more producton since XTO Engery Inc. has completed a new well to a depth of 9,720-feet. The well is to be know as the J.J. Sealey Well No. 10. Location of the well is 1.75 miles south of Carthage. When gauged on a 22/64-inch choke and potentialed 950,000 cubic feet of natural gas . Productin is the Cotton Valley formation.

In a lease 1.68 miles FS’lySEL of Carthage, in the Carthage (Cotton Valley) Field, XTO Engery Inc. filed the first production report for the J. J. Sealey Well No. 9. the well reaches a depth of 10,030-feet and potentialed 879,000 cubic feetof natural gas when gauged on a choke of 22/64-inches. Production is in the Cotton Valley formation.

XTO Enrgy Resources Inc. has completed the J.J. Sealey Well No. 8 to a depth of 9,800-feet in the Carthage (Cotton Valley) Field. Location of the well is 1.66 miles FS’lySEL of Carthage. The well was gauged on a 22/64-inch choke and potentialed 708,000 cubic feet of natural gas. Production Cotton Valley formation.

Box Gas Unit Well No. 3 has been completed to a depth of 7,340-feet by Jack Phillips Co. The well is located three miles east from Clayton. The well gauged on a 16/64-inch choke and potentialed 49,000 cubic feet of natural gas in the Carthage (Travis Peak) South Field. Production is in the Travis-Peak South formation.

The Dennard Unit Well No. 11 has completed to a depth of 9,750 feet in the Carthage (Cotton Valley) Field. The location is 3.20 miles southeast from Carthage.the well potentialed 709,000 cubic feet of gas when gauged on an adjustable choke. Production is in the Cotton Valley formation.

Rusk County

The Hinson Well No. 1 has been completed by The Houston Exploration Co. This well bottoms at a depth of 11,200-feet and is located 4.3 miles west from Henderson, Tx in the Henderson, East (Cotton Valley) Field. When gauged on a 22/64 choke, the well potentialed 4.947 million cubic feet of gas. Production is in the Cotton Valley formation.

EXCO Resources Inc. has filed the first papers for the Gamett Gas Unit 1 Well No. 6. The well has a depth of 10,900-feet and is located 6.5 miles northeast from Henderson in the Oak Hill (Cotton Valley) Field. The well was gauged on an adjustable choke and potentialed 585,000 cubic feet of natural gas. Production is in the Cotton Valley formation.

In a lease 3.2 miles from Elderville, in the Oak Hill South (Cotton Valley) Field, NEG Operating LLC, filed the first production reportfor McHaney Gas Unit No. 1 Well No. 4. The well reaches 10,975-feet and potentialed 573,000 cubic feet of natural gas when gauged on a 18/64-inch choke. Production is in the Cotton Valley Formation.

The McHaney Gas Unit No. 1 Well No. 3 has been completed in the Oak Hill (Cotton Valley) Field by NEG Operating LLC. The well bottoms at a depth of 10,950-feet and is located 3.50 miles south from Elderville. The well potentialed 1.085 million cubic feet of natural gas whe gauged on a 16/64-inch choke. Production is in the Cotton Valley formation.

The Oak Hill (Cotton Valley) Field has seen more production from Exco Resources Inc. They have completed the Christian J.T. Gas Unit Well No. 6 to a depth of 10,875-feet 9.6 miles northeast from Henderson. The well potentialed 354,000 cubic feet of natural gas when gauged on a adjustable choke. Production is in the Cotton Valley formation.

Upshur County

In a lease five miles southwest from Gilmer in the Gilmer, South (Cotton Valley, Upper) Field, Vintage Petroleum, Inc. has filed the first production reports for the Johnson James L. Well No. 3. This well potentialed 1.389 million cubic feet of natural gas when gauged on a 48/64-inch choke, the well has a depth of 11,900-feet. Production is in the Cotton Valley formation.

The Ray G.U. 2 Well No. 7 has completed to a depth of 10,690 feet in the Rosewood (Cotton Valley) Field. The location is 6.5 miles northwest of Gilmer, Tx. The well potentialed 676,000 cubic feet of gas when gauged on a 45/64-inch choke. Production is in the Cotton Valley formation.