Shawn, anything new happening with our group? I haven't seen much activity on the site. Not alot of postings lately, atleast not by anyone that matters. Don't let the negative postings by a handfull of idiots bother you to much and I applaud you for keeping your cool and staying professional. Just remember that there are more people on your (and Shawn A.) side than not. Keep us updated when YOU can. We know that the both of you are doing what is best for all of us and again I thank you!!! And by the way, make sure to spend time with your son and don't allow this to consume you. Keep up the good work and please let Shawn A. know we appreciated him as well. Have a good day/night.

Kelly B. (aka SKB)

Rusty, I saw this on another thread while browsing through the sites and thought that it was interesting. You and Shawn probably have already heard about this. I think all of this is exciting. It was listed under "new playerin the shale" on 8/10:

-No! Nobody in south Caddo, south Bossier, DeSoto or Red River should sign for less than $20,000/acre/25% and then only if you are a small landowner in an urban/subdivision situation.

Anyone non-urban with more than 50 acres in these parishes should get more than that based on size, etc. For example, see July 8 auction of DeSoto Airport ( 11 N, 14 W) of 1045 acres at $27,500/27.5%. The next auction results will be made public August 13.

Since that auction, you have had the following announcements: ECA announced 14n, 11 W well at 14 mmcfd; CHK announced the Milton Crow well at 14 mmcfd; HK announced Elm Grove well at 16.8 mmcfd and Hutchison well at 16.7 mmcfd; PVA announced the Fogel well had produced 250 mmcf over 50 days. Folks, these wells' IP rate is 4X the Barnett Shale IP rates.

On the August 1 conference call, CHK CEO announced that the Milton Crow well was the "best shale well in CHK's history out of more than 2,000+ drilled." He also said CHK expected to average 10 mmcfd OR MORE across its entire HA. Shale acreage. He also said paying bonus of $30,000/acre was "chump change" to the lessee when you get a 6.5 bcfe EUR well--which CHK, HK, CRK and GDP all have conservatively projected. The CEO then went on confidently to predict that an acre of HA. Shale undeveloped property would go for $50,000/acre. He said it "already has reached $50,000/acre in the Barnett and it will in the Haynesville also."

So, things have slowed lately as the o&g companies focus on cheaper tracks and fill in acrage in their core areas of already leased property and landmen hint "they might leave the area." This is not going to happen.

GDP did not drill one single HA. well in 2007 and hasn't drilled a HA. vertical yet. However, it is acquiring new acreage and in its conference call said it expected to spend in 2009 $100 MM drilling HA. in its CHK JV and another $100 MM drilling HA. acreage in East Texas that is not included in the JV. $200 MM of spend in 2009 vs. ZERO in 2007.

HK said it expected its 2009 HA. budget to be $1.1 BILLION!!

CRK has never drilled a horizontal HA. well and it has now permitted two in 11 N, DeSoto Parish, and announced it had leased 15,000 net acres in 2008. CRK said it would have 5 rigs running in 2009 and seven by the end of 2009. CRK said it would have 6 horizontals spud by the end of 2008.

XCO has never drilled a horizontal HA. well. It announced this week that it will have 5 rigs drilling horizontal by the end of Q1 2009. It said acreage was going for $20,000 to $30,000/acre (these guys never go high in con calls); it is not in their interest to do so). In the call, the XCO speaker said "the HA. is NOT hype." Aubrey McClendon(CHK CEO) "may be low in his projections." XCO said HA. Shale is high porosity, high pressure and high organic content.

PVA (East Texas) said it would drill 14 horizontal HA. wells in 2008. Its Fogel well did 250 mmcf in 50 days. It has four rigs drilling HA. horizontals and will increase to six in 2009. It will up drilling and LEASING budget. It said property was going for $30,000/acre.

THINK ABOUT IT!! DOES THIS SOUND LIKE THE PLAY IS GAINING IN THE O&G companies BUDGETS!!!

ANSWER IS YES. Also, XTO, EOG, SWEP (Shell), Camterra, Bridas, Matador are all now drilling H

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Sean I and my neighbors in Edwards Subdivision which is just south of Cypress Baptist Church south of Benton would like to talk to you about joining your group and what we need to do to do that. Do you have an example of the letter we need to provide you? If so could you send it to me at damnpirate@gmail.com

Very interested in how you are doing this and would love to join up.

Shawn, we have about 60 acres in our subdivision. Please email me the letter. SUEPROCELL@yahoo.com
Thanks,
Sec 21 T19 R13

Shawn: My name is Kelly and I also will be trying to get in contact with you tonight. I also know that a lady who bought land adjoining ours will be very intersted also. I have sent her a message. On here she goes by 7heaven.