Onshore Texas

Production Growth

The Company has interest in 16 producing wells. With the continued drilling success in the Leighton and Mosman-Rockingham area the company has demonstrated a track record of production growth and an increased oil focus.

Reserves Growth

The Company has increased its reserve position year over year. The 2010 increase resulted from the successful testing of the Companies first Eagle ford well and additional drilling of the Leighton Olmos field. Further increases are expected in 2011with the planned 13 well drilling program including the successful testing of the Companies second Eagle Ford well and the drilling of two more Eagle Ford wells , 7 Olmos wells and one to two gas prospects and one to two oil prospects.