EAST TEXAS DRILLING

DEVELOPMENTAL

Cherokee County

The Jakubik Well No. 4 will be drilled by C. W. Resources, Inc. in the Overton (Cotton Valley Sand) Field. The well will bottom at 12,500-feet and will be located 0.5 miles southeast from Troup in the George, W Survey, A-295.

The Southwestern Energy Prod. Co. will drilling the Bonnie Warner, ET AL Well No. 1 to a total depth of 11,900feet. The Location is 3.7 miles northeast from Wells in the Doyle Creek (Travis Peak) Field. This well will lie in the John Durst Survey, A-15.

Gregg County

In a lease five miles north from Kilgore, in the Danville (Travis Peak Consolidated) Field, the Griffin Ranch Gas Unit No. 2 Well No. 6 will be drilled. The well will lie in the Edwards, H Survey, A64 and may also be drilled in the Danville, East (Cotton Valley) Field or a Wildcat Field.

Panola County

The Mason Well No. 19 and the Mason Well No. 18 will be drilled in the Carthage (Cotton Valley) Field by Devon Louisiana Corp. The No. 19 will be located 3.5 miles southwest from Carthage and the No. 18 will be located 3.75 miles southwest from Carthage, both will bottom at 10,000-feet in the Hanks, I Survey, A-271.

In a lease 3.6 miles northeast from Carthage, the Hull Unit B Well No. B 18 will be drilled to a depth of 8,500-feet. Devon Energy Production Company, L.P. will drill the well in the Flanagan, C Survey, A-215.

The Chevron U.S.A, Inc. is preparing to drill a new well. The well is designated the Genecon Well No. 6. Location is five miles northeast from Tatum in the Beckville, North (Cotton Valley) Field. The well will reach a total depth of 10,500-feet and will lie in the Marshall, J Survey, A-504.

A Wildcat Field will see more production as the Pacific Enterprises ABC Corp. is drilled by M.E. Operating & Services, Inc. The well will be located six miles southeast from DeBerry in the Samuel Pearce Survey, A-525. Total depth will be 11,000-feet. The well may also be drilled in the Midyett (Pettit Lower) Field, the Carthage (Glen Rose) Field, the Centennial (Traivs Peak 6500) Field, the Carthage (Hill, North) Field, the Centennial, East (Cotton Valley) Field, the Centennial (Travis Peak 6700) Field, the Carthage, North (Cotton Valley) Field or the Bethany (Paluxy) Field.

The Baldwin, A. F. Well No. 2 will be drilled in a Wildcat Field to a depth of 10,000-feet by Preston Exploration LLC. The well will be drilled 9.8 miles south from Carthage in the Hampton West Survey, A-697. This well may also be drilled in the Carthage (Travis Peak) Field, the Carthage, South (Cotton Valley) Field or the Carthage (Pettit, Lower) Field.

Lacy Operations, Ltd. will drill the Richardson Unit 1 Well No. 12 to a depth of 9,890-feet in the Carthage (Cotton Valley) Field. Location of the well will be six miles north from Carthage in the Wm. A. Lagrone Survey, A-390.

In a lease 11 miles east from Groesbeck, in the Carthage (Cotton Valley) Field, the Crump Gas Unit Well No. 6 will be drilled by Chesapeak Operating, Inc. The well will bottom at 11,000-feet in the Wm. A. Pressley Survey, A-556 and may also be drilled in a Wildcat Field.

The Carthage (Cotton Valley) Field will see more production as the Roberts Gas Unit Well No. 13 is drilled by Comstock Oil & Gas, LP. The well will be located 6.5 miles north from Carthage in the Ramsey, W N Survey, A-835 and will bottom at 10,500-feet.

Comstock Oil & Gas LP is preparing to drill the Waldrop Gas Unit #1 Well No. 8, to a total depth of 10,500-feet. Location is in the Carthage (Cotton Valley) Field, 4.3 miles southwest from Beckville. The well will lie in the Harden, S. Survey, A-321.

Rusk County

A Wildcat Field will see more production as the Rowe Well No. 1 is drilled by GMT Exploration Company Texas, LLC. The well will be located 1.6 miles southwest from Laneville in the Gonzales, M S Survey, A-12. Total depth will be 12,500-feet. The well may also be drilled in the Laneville, Northeast (Pettit, Lower) Field, the Scoober Creek (Pettit) Field, the Laneville, West (Travis Peak 8420) Field, the Walkers Chapel (Pettit 8100) Field, the Laneville, North (Pettit, Lower) Field, the Lanveville, Northeast (Travis Peak 7444) Field, the Roy Tom (6300) Field, the Tip (Rodessa Hill) Field, the Laneville, Northeast (Travis Peak 7650) Field, the Laneville, North (Travis Peak, Upper) Field, the Scoober Creek, North (Cotton Valley) Field, the Laneville, East (Woodbine) Field, the Laura Grace (Travis Peak) Field, the Pleasant Grove, East (Woodbine) Field, the Laneville, Southeast (Pettit, Upper) Field, the Scoober Creek (Travis Peak) Field, the Laneville, North (Travis Peak 7540) Field or the Big Shorty (Cotton Valley) Field.

The Scarborough Well No. 2 will be drilled in the Henderson, East (Cotton Valley) Field by Cameron Exploration, Inc. The well will bottom at 11,000-feet and will be located 4.5 miles west from Henderson in the Elizabeth Melton Survey, A-553. The well may also be drilled in a Wildcat Field.

In a lease 6.1 miles southeast from Henderson, in a Wildcat Field, the Cobra #1 Well No. 17 will be drilled by El Paso Production Co. The well will bottom at 10,950-feet in the Weather, A Survey, A-864. the well may also be drilled in the Jarrell Creek (Travis Peak) Field or the Minden (Cotton Valley) Field.

The Church Hill (Cotton Valley) Field will see new production from Goodrich Petroleum Co. They are preparing to drill the Duran, Joe Survey, A-1 to a depth of 11,300-feet in the J. Lollar Survey, A-711. Location will be three miles southeast from Chapman and may also be drilled in a Wildcat Field or the Church Hill (Travis Peak) Field.

The Luther Ross Well No. 2 is being prepared for drilling by Goodrich Petroleum Co. The well will have a total depth of 11,500-feet and will be located in a Wildcat Field. The Well will lie in the Grason, W. Survey, A-331, 2.5 miles east from Church Hill.

Shelby County

The Shelby (B) Well No. 2HR will be drilled by Ellora Operating, L.P. in the Huxley (6100) Field. The well will bottom at 7,000-feet and will be located 0.7 miles southeast from Huxley in the B. P. Ayres Survey, A-17.

Smith County

J-W Operatin Co. will drill the Slayton Unit Well No. 1 and the Fraizer Well No. 1 in the Chapel Hill (Cotton Valley) Field to a depth of 13,000-feet. The Slayton Unit well will be located 5.1 miles northwest from Arp in the Wm Manier Survey, A-667. The Fraizer well will be located 5.35 miles northwest from Arp in the Long, J Survey, A-570.

COMPLETIONS

Cherokee County

The McLeod Well No. 4-T has been completed by Ark-La-Tex Energy, LLC to a depth of 10,874 feet . The well is located 3.5 miles southeast from Rusk in the Sym-Jac, West Field. This well potentialed 1.200 million cubic feet of natural gas when gauged on an adjustable choke. Production is in the Hosstom formation.

Gregg County

Oneok Texas Energy Resources is striding forward with their production in the White Oak Field. They have completed an additional well, designated the George Kutch GU Well No. 3, to a total depth of 10,970-feet. The location is in within the city limits of White Oak. When gauged on a 1.5-inch choke the well potentialed 886,000 cubic feet of natural gas. Production is in the Cotton Valley Sand formation.

The Easton, North Field has seen more production since the Ralph Ross Well No. 7 was completed by Classic Energy Inc. This well bottoms at a total depth of 10,920 feet. Location is 18.7 miles west from Marshall. The well potentialed 1.443 million cubic feet of natural gas when being gauged on an adjustable choke. Production is in the Cotton Valley formation.

Chinn Exploration Co is striding forward with their production in the Easton, North Field. They have completed an additional well, designated the Sanders “G” Well No. 8, to a depth of 10,845feet. The location of the well is unknown.

The potentialed 514,000 cubic feet of natural gas when gauged on a 48/64-inch choke. Production is in the Cotton Valley formation.

Panola County

The Carthage, South Field has seen more production since Ark-La-Tex Energy, Inc. has completed a new well to a depth of 9,950-feet. The well is to be known as the Burk Well No. 4. Location is 3.2 miles southwest of Clayton. When gauged on an adjustable choke the well potentialed 1.641 million cubic feet of natural gas. Production is in the Cotton Valley formation.

When gauged on an adjustable choke, the Werner-Hull GU Well No. 5-T potentialed 764,000 cubic feet of gas. The well was drilled to a total depth of 10,150-feet in the Carthage Field by Chevron U.S.A. Inc. The well is located 13.1 miles southeast of Carthage. Production is in the Cotton Valley formation.

In a lease 8.1 miles north of Carthage, in the Carthage Field, the Cameron Unit 3 Well No. 12 has been completed by Lacy Operations, Ltd. The well bottoms at 9,775-feet and potentialed 1.261 million cubic feet of gas when gauged on an adjustable choke. Production is in the Cotton Valley formation.

Carthage Field has seen more production since XTO Energy Inc. has completed a new well to a total depth of 9,770 -feet. The well is to be known as the J.D. Woolworth Well No. 11. Location of the well is 2.29 miles southeast of Carthage. When being gauged on a 20/64inch choke, the well potentialed 1.504 million cubic feet of natural gas. Production is in the Cotton Valley formation.

The J.D. Woolworth Well No. 10 has been completed to a depth of 9,830feet by XTO Energy Inc. The well is located 1.84 miles southeast of Carthage. The well was gauged on a 20/64-inch choke and potentialed 1.906 million cubic feet of natural gas. Production is in the Cotton Valley formation.

Rusk County

Goodrich Petroleum Co. has completed the drilling of the B.E. Strong Well No. 1 in the Church Hill Field. The well bottoms at 10,645-feet and is located four miles northeast of Church Hill. The well was gauged on a 30/64-inch choke and potentialed 600,000 cubic feet of natural gas. Production is in the Cotton Valley formation.

The Cotton Stroud “A” Well No. 1 has been completed in the Henderson, East Field by Chinn Exploration Co. The well is located two miles northeast of Henderson and reaches a depth of 10,900feet. The well potentialed 733,000 cubic feet of gas when gauged on a 20/64-inch choke.

When gauged on an adjustable choke, the Vinson Gas Unit Well No. 4 potentialed 1.650 million cubic feet of gas. BP America Production Co. drill the well in the Oak Hill Field to a depth of 10,570-feet 3.3 miles west from Tatum. Production is in the Cotton Valley formation.

In a lease 5.1 miles south from Elderville, in the Oak Hill Field, the Delta GU #1 Well No. 10 has been completed by Verado Energy, Inc. The well reaches a total depth of 10,692-feet and potentialed 2.561 million cubic feet of gas when gauged on a 18/64-inch choke. Production is in the Cotton Valley formation.

The Oak Hill Field has seen more production since BP America Production Co completed the B. F. Driver Gas Unit Well No. 3. The well is located 3.9 miles northwest of Tautm. This well bottoms at a total depth of 10,530 feet. When gauged on an adjustable choke, the well potentialed 1.737 million cubic feet of natural gas. Production is in the Cotton Valley formation.

The B. Jackson Gas Unit Well No. 5 has been completed in the Oak Hill Field to a depth of 11,065-feet. The operator incharge is Exco Resources Inc. The location is 6.1 miles northwest of Henderson. This well potentialed 741,000 cubic feet of natural gas when gauged on an adjustable choke. Production is in the Cotton Valley formation.

Chinn Exploration Co has completed an additional well in the Henderson, East Field. The well is to be known as Mank “A” Well No. 1, total depth is unknown.

Location is 2.5 miles northeast from Henderson. When gauged on a 16/64-inch choke, the well potentialed 846,000 cubic feet of natural gas. Production is in the Cotton Valley formation.

Smith County

The Lane Chapel Field has seen more production by 3 – T Exploration, Inc. They have drilled the Nollie Jones Well No. 2 and the well reaches a depth of 7,450 feet. Location of the well is 5.4 miles east northeast of Tyler. When gauged on a 24/64-inch choke and flowed 60 barrels of oil. Production is in the Paluxy “A” Sand formation.

The Burkett Well No. 3 has been completed in the Overton Field by CW Resources, Inc. The well bottoms at 12,016-feet and is located three miles north of Omen. The well potentialed 762,000 cubic feet of natural gas when gauged on a 1.25-inch choke. Production is in the Cotton Valley Sand formation.

Upshur County

The Gladewater Gas Unit 8 Well No. 6 has been completed in the Glenwood Field by Oneok Texas Energy Resources. The well bottoms at 11,092-feet and is located ten miles south of Gilmer. The well potentialed 637,000 cubic feet of natural gas when gauged on a 1.5-inch choke.

In a lease five miles north of Longview in the Glenwood Field, Oneok Texas Energy Resources has filed the first production reports for the Petty GU Well No. 3. This well potentialed 406,000-feet of natural gas when gauged on a 1,1250inch choke, the well has a depth of 11,146-feet.