Daily Activity Report

605 Richard Arrington Blvd. Daily Activity Report Drilling Activity API Code: 4249533363 Well User ID : 43UNIV204801 Operator : Energen Resources Corp S/T/R : 48// County, St. : Winkler, TX Field : WILDCAT Acres : 0 Dlg Rig Rel Date: Spud Date : 12/24/2010 AFE Type : Exploration Drlg/Comp 760 ft. from N line and 700 ft. from W line AFE # : Operated : PB110410 No WI : 1 NRI : 0.75 AFE DHC : $2,796,100 AFE Total: $6,315,550 AFE Develop To: 0 Proposed Depth : 8600 Activity Date : 12/19/2010 Days Since Spud : -6 24 Hr. Footage Made : 0 Current Depth : 0 Rig Company : Rig Name: Activity : 01 - Rig Up & Tear Down Weather: Remarks: SET SUB BASE RAISING RAMS, REMOVE CATWALK, SET OUT STAIRWAYS, RD BLOCKS AND DRILLING LINE. REPAIR SHAKERS AND CENTRIFUGE.RELEASE AND RETURN 4" RENTAL DP, HWDP, AND HANDLING TOOLS, HP ROTATING HEAD, ORBIT VALVES AND UNUSED 4-1/2" UFJ CASING.RD MOVE AND SET UP ALL CAMP TRAILERS, SEWR AND WATER SYSTEMS. BREAK OUT PUMP LINES,FLOWLINES AND MUD MIXING EQUIPMENT. Next Day: Operations Start Hrs Code Remarks Start Depth End Depth Run 6:00 24.00 MR RIG DOWN CAMP TRAILERS AND MOVE 0 0 NIH Total: 24.00 DC : $225,707 Cum. DHC : $225,707 Total Well Cost: $225,707 Activity Date : 12/20/2010 Days Since Spud : -5 24 Hr. Footage Made : 0 Current Depth : 0 Rig Company : Rig Name: Activity : 01 - Rig Up & Tear Down Weather: Remarks: LOWER SUB BASE AND DERRISCK. MOVE AND SPOT SHAKER PIT. MOVE BOPE, MUD SILOS, KOOMY UNIT, AND ASSORTED PIPEING,HOSES, AND TOOLS TO NEW LOCATION. IE MILLER RIG MOVEING COMPANY 80% RIGGED DOWN AND 80% MOVED OFF. 50% RIGGED UP. Next Day: Operations Start Hrs Code Remarks Start Depth End Depth Run 6:00 24.00 01 LOWER SUB BASE RAISING RAMS, REMOVE CATWALK, SET OUT STAIRWAYS, RD 0 0 NIH BLOCKS AND DRILLING LINE. REPAIR SHAKERS AND CENTRIFUGE. 0.00 01 LOWER DERRRICK - 80% R/D OFF UNIVERSITY 23-20 1H - 25% R/U ON UNIVERSITY 48-0 0 NIH 20 #1H 0.00 01 50% RIGGED UP 0 0 NIH Total: 24.00 DC : $26,207 Cum. DHC : $251,914 Total Well Cost: $251,914 Report Date : Wednesday, January 05, 2011 Powered by Production Access 2

605 Richard Arrington Blvd. Daily Activity Report Activity Date : 12/21/2010 Days Since Spud : -4 24 Hr. Footage Made : 0 Current Depth : 0 Rig Company : Rig Name: Activity : 01 - Rig Up & Tear Down Weather: Remarks: MOVED AND SPOTTED PITS,PUMPS,GENERATORS,WATER TANKS,GAS -SEPERATORS,. SET DERRICK (2nd STAGE) ON TRUCKS. ALL 100% MOVED AND SPOTTED. AND 60% RIGGED UP Next Day: Operations Start Hrs Code Remarks Start Depth End Depth Run 6:00 24.00 01 MOVED AND SPOTTED PITS,PUMPS,GENERATORS,WATER TANKS,GAS - SEPERATORS,. SET DERRICK (2nd STAGE) ON TRUCKS. ALL 100% MOVED AND SPOTTED. AND 60% RIGGED UP 0 0 NIH Total: 24.00 DC : $26,562 Cum. DHC : $278,476 Total Well Cost: $278,476 Activity Date : 12/22/2010 Days Since Spud : -3 24 Hr. Footage Made : 0 Current Depth : 0 Rig Company : Rig Name: Activity : 01 - Rig Up & Tear Down Weather: Remarks: CONTINUE MOVING RIG. HOOKING UP PUMPS AND PITS. MOVE IN AND SET SUB BASE AND PIN DERRICK TO SUB BASE. ALL EQUIPMENT IS ON THIS LOCATION.CHANGE OUT GENERATOR MOTOR #1 CHANGE OUT KELLY HOSE 75% RIGGED UP. Next Day: Operations Start Hrs Code Remarks Start Depth End Depth Run 6:00 24.00 01 CONTINUE MOVING RIG. HOOKING UP PUMPS AND PITS. MOVE IN AND SET SUB BASE AND PIN DERRICK TO SUB BASE. ALL EQUIPMENT IS ON THIS LOCATION.CHANGE OUT GENERATOR MOTOR #1 CHANGE OUT KELLY HOSE 75% RIGGED UP. 0 0 NIH Total: 24.00 DC : $27,707 Cum. DHC : $306,183 Total Well Cost: $306,183 Activity Date : 12/23/2010 Days Since Spud : -2 24 Hr. Footage Made : 0 Current Depth : 0 Rig Company : Rig Name: Activity : 01 - Rig Up & Tear Down Weather: Remarks: RAISE DERRICK AND SUB BASE. SET IN MUD GAS SEPERATORS. REMOVE RAISING RAMS.SET CATWALK, HOOKING UP ELEC.,.WATER, AND HYDRAULINC LINES. RIGGING UP FLOOR Next Day: Operations Start Hrs Code Remarks Start Depth End Depth Run 6:00 24.00 01 RAISE DERRICK AND SUB BASE. SET IN MUD GAS SEPERATORS. REMOVE RAISING 0 0 NIH RAMS. 0.00 01 HOOKING UP ELEC. AND HYDRAULINC LINES. 0 0 NIH 0.00 01 RIGGING UP FLOOR 0 0 NIH Total: 24.00 DC : $72,601 Cum. DHC : $378,784 Total Well Cost: $378,784 Report Date : Wednesday, January 05, 2011 Powered by Production Access Page 2 of 12

605 Richard Arrington Blvd. Daily Activity Report Activity Date : 12/24/2010 Days Since Spud : -1 24 Hr. Footage Made : 247 Current Depth : 317 Rig Company : Rig Name: Activity : 02 - Drilling Weather: Remarks: RIG UP FLOOR -WELD ON CONDUCTOR AND FLOW LINE -SET CATWALK, - INSTALL MOUSE HOLE - CHECK PUMPS - NOTIFIED RRC OF INTENT OF SPUD TIME SET CATWALK, P/U AND M/U BHA #1 AS FOLLOWS: 12-1/4" DB PDC BIT 5/12S,4/11s, WEATHERFORD 8" LE-7840 7/8 LOBE, 4 STAGE, FLOAT SUB, X-OVER, 2EA 8" SHOCK SUBS, 2 EA 8" DCs,12-1/4 3 PT ROLLER REAMER, 4 EA 8" DCs, X-OVER, 12 EA. 6-1/2" DCs, X-OVER. ROTARY DRILL FROM 70' TO 317' - WOB = 5-10K,TD RPM 50-60,TORQUE = 1000, PP = 750#, SPM = 100 stks, 569 GAL/MIN.- MOTOR RPM =91 rpm Next Day: Operations Start Hrs Code Remarks Start Depth End Depth Run 6:00 14.00 01 RIG UP FLOOR -WELD ON CONDUCTOR AND FLOW LINE -SET CATWALK, - INSTALL 70 70 NIH MOUSE HOLE - CHECK PUMPS - NOTIFIED RRC OF INTENT OF SPUD TIME SET CATWALK, 20:00 2.00 08 RIG REPAIR ON BRAKES 70 70 1 22:00 2.50 01 P/U AND M/U BHA #1 AS FOLLOWS: 12-1/4" DB PDC BIT 5/12S,4/11s, WEATHERFORD 70 70 1 8" LE-7840 7/8 LOBE, 4 STAGE, FLOAT SUB, X-OVER, 2EA 8" SHOCK SUBS, 2 EA 8" DCs,12-1/4 3 PT ROLLER REAMER, 4 EA 8" DCs, X-OVER, 12 EA. 6-1/2" DCs, X-OVER 0:30 5.50 02 ROTARY DRILL FROM 70' TO 317' - WOB = 5-10K,TD RPM 50-60,TORQUE = 1000, PP = 70 317 1 750#, SPM = 100 stks, 569 GAL/MIN.- MOTOR RPM =91 rpm Total: 24.00 DC : $49,598 Cum. DHC : $428,382 Total Well Cost: $428,382 Activity Date : 12/25/2010 Days Since Spud : 1 24 Hr. Footage Made : 693 Current Depth : 1010 Rig Company : Rig Name: Activity : 02 - Drilling Weather: Remarks: ROTARY DRILL FROM 313' TO10' -WOB = 8-10K,PP = 250#, STKS/MIN = 100, 570 GALS/MIN, MOTOR RPM = 91,TOP DRIVE RPM = 50 RPMS DEVIATION SURVEY @ 256' =.78 degrees 497' =.77 degrees MUD WEIGHT = 9.9# IN/OUT WHILE PICKING UP FIRST STAND OF 5" DP TO DRILL DOWN UPPER RAILING ON TOP DRIVE HIT PIN ON GUIDE RAIL BENDNING TOP FRAME AND KNOCKING STABILIZER OFF RAIL, PULL OFF RAIL AND STRAIGHTEN. RIG WATCH NOT WORKING HALF THE TIME. MERRY CHRISTMAS Next Day: Operations Start Hrs Code Remarks Start Depth End Depth Run 6:00 0.50 10 DEVIATION SURVEY @ 256' =.78 DEGREES 317 317 1 6:30 5.00 02 ROTARY DRILL FROM 317' TO 550' 317 550 1 11:30 0.50 10 DEVIATION SURVEY @ 497' =.77 degrees 550 550 1 12:00 2.50 02 ROTARY DRILL FROM 550' TO 713' -WOB = 8-10K,PP = 1160#, STKS/MIN = 100, 570 550 713 1 GALS/MIN, MOTOR RPM = 91,TOP DRIVE RPM = 50 RPMS 14:30 9.00 08 WHILE PICKING UP FIRST STAND OF 5" DP TO DRILL DOWN UPPER RAILING ON TOP 713 713 1 DRIVE HIT PIN ON GUIDE RAIL BENDNING FRAME AND KNOCKING STABILIZER OFF RAIL, 23:30 6.50 02 ROTARY DRILL FROM 713' TO 1010' 713 1010 1 Total: 24.00 DC : $28,912 Cum. DHC : $457,294 Total Well Cost: $457,294 Report Date : Wednesday, January 05, 2011 Powered by Production Access Page 3 of 12

605 Richard Arrington Blvd. Daily Activity Report Activity Date : 12/26/2010 Days Since Spud : 2 24 Hr. Footage Made : 1360 Current Depth : Rig Company : Rig Name: Activity : 02 - Drilling Weather: Remarks: ROTARY DRILL FROM 1010' TO 2370' (1360') ROP = 61'/HR -WOB = 8-10K,PP = 250#, STKS/MIN = 100, 570 GALS/MIN, MOTOR RPM = 91,TOP DRIVE RPM = 60 RPMS 2370 DEVIATION SURVEY : 750' =.85 DEGREES 1250' =.45 DEGREES 1700' =.66 degrees 2225' =.98 degrees MUD WEIGHT = 9.9# IN/OUT MINIMUM LOSSES TO FORMATION <2 BBLS Next Day: Operations Start Hrs Code Remarks Start Depth End Depth Run 6:00 0.50 10 DEVIATION SURVEY @ 750' =.85 DEGREES 1010 1010 1 6:30 4.00 02 ROTARY DRILL FROM 1010' TO 1283' -WOB = 8-10K,PP = 1218#, STKS/MIN = 100, 570 1010 1283 1 GALS/MIN, MOTOR RPM = 91,TOP DRIVE RPM = 60 RPMS 10:30 0.75 07 SERVICE TOP DRIVE, CROWN 1283 1283 1 11:15 0.25 10 DEVIATION SURVEY @ 1250' =.45 DEGREES 1283 1283 1 11:30 9.50 02 ROTARY DRILL FROM 1283' TO 1759' -WOB = 8-10K,PP = 1218#, STKS/MIN = 100, 570 1283 1759 1 GALS/MIN, MOTOR RPM = 91,TOP DRIVE RPM = 60 RPMS 21:00 0.25 10 DEVIATION SURVEY @ 1700' =.66 degrees 1759 1759 1 21:15 7.25 02 ROTARY DRILL FROM 1759' TO 2250 '- WOB = 10-15K, 1759 2250 1 4:30 0.25 10 DEVIATION SURVEY @ 2225' =.98 degrees 2250 2250 1 4:45 1.25 02 ROTARY DRILL FROM 2250' TO 2370' -WOB = 8-15 - 10K,PP = 1940#, STKS/MIN = 100, 2250 2370 1 570 GALS/MIN, MOTOR RPM = 91,TOP DRIVE RPM = 60 RPMS Total: 24.00 DC : $28,912 Cum. DHC : $486,206 Total Well Cost: $486,206 Report Date : Wednesday, January 05, 2011 Powered by Production Access Page 4 of 12

605 Richard Arrington Blvd. Daily Activity Report Activity Date : 12/27/2010 Days Since Spud : 3 24 Hr. Footage Made : 610 Current Depth : 2980 Rig Company : Rig Name: Activity : 02 - Drilling Weather: Remarks: ROTARY DRILL FROM 2370 TO 2980' (610') ROP = 27'/HR -WOB = 4-5K,PP =1550, STKS/MIN = 80, 455 GALS/MIN, MOTOR RPM = 73,TOP DRIVE RPM = 60 RPMS - TORQUE = 2300'/# DEVIATION SURVEY : 2745' = 3.54 degrees 2835' = 3.4 degrees 2930' = 3.70 degrees MUD WEIGHT = 10# IN/OUT Next Day: Operations Start Hrs Code Remarks Start Depth End Depth Run 6:00 7.00 02 ROTARY DRILL FROM 2370' TO 2780' -WOB = 18K,PP = 1934#, STKS/MIN = 100, 570 2370 2780 1 GALS/MIN, MOTOR RPM = 91,TOP DRIVE RPM = 60 RPMS 13:00 0.75 07 RIG SERVICE 2780 2780 1 13:45 0.50 10 DEVIATION SURVEY @ 2745' = 3.54 degrees 2780 2780 1 14:15 8.00 02 ROTARY DRILL FROM 2780' TO 2873' -WOB = 6K,PP = 1977#, STKS/MIN = 100, 570 2780 2873 1 GALS/MIN, MOTOR RPM = 91,TOP DRIVE RPM = 60 RPMS 22:15 0.25 10 DEVIATION SURVEY @ 2835' = 3.4 degrees 2873 2873 1 22:30 6.50 02 ROTARY DRILL FROM 2873' TO 2968' -WOB = 6K,PP = 2300#, STKS/MIN = 100, 570 2873 2968 1 GALS/MIN, MOTOR RPM = 91,TOP DRIVE RPM = 60 RPMS 5:00 0.25 10 DEVIATION SURVEY @ 2930' = 3.70 degrees 2968 2968 1 5:15 0.75 02 ROTARY DRILL FROM 2968' TO 2980' - WOB = 4, STKS/MIN = 80 2968 2980 1 Total: 24.00 DC : $26,350 Cum. DHC : $512,556 Total Well Cost: $512,556 Activity Date : 12/28/2010 Days Since Spud : 4 24 Hr. Footage Made : 186 Current Depth : 3166 Rig Company : Rig Name: Activity : 02 - Drilling Weather: Remarks: ROTARY DRILL FROM 2980 TO 3166' (186') ROP = 11'/HR WOB = 4-5K,PP =1550, STKS/MIN = 110, 626 GALS/MIN, MOTOR RPM = 100,TOP DRIVE RPM = 60 RPMS - TORQUE = 2600'/#. DEVIATION SURVEYS: 3032' = 1.54 degrees 3125' = 2.45 degrees MUD WEIGHT IN/OUT = 10.0# Next Day: Operations Start Hrs Code Remarks Start Depth End Depth Run 6:00 9.50 02 ROTARY DRILL FROM 2980 TO 3062' - WOB = 5, STKS/MIN = 110 2980 3062 1 15:30 0.50 10 DEVIATION SURVEY @ 3032' = 1.54 degrees 3062 3062 1 16:00 0.50 07 SERVICE TOP DRIVE CROWN AND BLOCKS 3062 3062 1 16:30 3.25 02 ROTARY DRILL FROM 3062 TO 3109' - WOB = 8, STKS/MIN = 104 3062 3109 1 19:45 6.25 08 PUMP #1 BELTS SLIPPING, SWITCH TO P[UMP #2 LINER WENT OUT. CHANGED 3109 3109 1 OVER TO PUMP #1 - CIRCULATING ON WELL AT 40 STROKES (228 GALS/MIN) AND ROTAQTING STRING AT 19 RPMS. WORKING ON PUMP #2. 2:00 3.00 02 ROTARY DRILL FROM 3109' TO 3150' - WOB = 7, STKS/MIN = 104 3109 3150 1 5:00 0.25 10 DEVEATION SURVEY @ 3125' = 2.45 degrees 3150 3150 1 5:15 0.75 02 ROTARY DRILL FROM 3150' TO 3166' -WOB =6K, STKS = 110 =626 GALS, 100 MOTOR 3150 3166 1 RPMS, 60 TD RPMS Total: 24.00 DC : $27,350 Cum. DHC : $539,906 Total Well Cost: $539,906 Report Date : Wednesday, January 05, 2011 Powered by Production Access Page 5 of 12

605 Richard Arrington Blvd. Daily Activity Report Activity Date : 12/29/2010 Days Since Spud : 5 24 Hr. Footage Made : 288 Current Depth : 3454 Rig Company : Rig Name: Activity : 02 - Drilling Weather: Remarks: ROTARY DRILL FROM 3166 TO 3454' (288') ROP = 13.5'/HR WOB = 5-15K,PP =2000, STKS/MIN = 104, 592 GALS/MIN, MOTOR RPM = 95,TOP DRIVE RPM = 80 RPMS - TORQUE = 4100/#. DEVIATION SURVEYS: 3191' = 1.01 degrees 3320 =.76 degrees MUD WEIGHT IN/OUT = 10.0# Next Day: Operations Start Hrs Code Remarks Start Depth End Depth Run 6:00 7.50 02 ROTARY DRILL FROM 3166' TO 3250' - WOB = 5-6K, PP = 2884, 100 RPM MOTOR, 100 3166 3250 1 STKS/MIN, 626 GALS/MIN. - DEVIATION PROBLEM 13:30 0.25 10 DEVIATION SURVEY @ 3191' = 1.01 degrees 3250 3250 1 13:45 7.75 02 ROTARY DRILL FROM 3250' TO 3351 ' - WOB = 5-6K, PP = 2884, 100 RPM MOTOR, 104 3250 3351 1 STKS/MIN, 584 GALS/MIN. - 80 RPMS TOP DRIVE. 21:30 0.25 10 DEVIATION SURVEY @ 3320 =.76 degrees 3351 3351 1 21:45 2.25 08 RIG PUMP REPAIR AND 4" VALVE REPAIR 3351 3351 1 0:00 6.00 02 ROTARY DRILL FROM 3351' TO 3454' - WOB = 10-15K, PP = 2174, 100 RPM MOTOR, 3351 3454 1 104 STKS/MIN, 584 GALS/MIN. - 80 RPMS = TOP DRIVE. Total: 24.00 DC : $62,474 Cum. DHC : $602,380 Total Well Cost: $602,380 Report Date : Wednesday, January 05, 2011 Powered by Production Access Page 6 of 12

605 Richard Arrington Blvd. Daily Activity Report Activity Date : 12/30/2010 Days Since Spud : 6 24 Hr. Footage Made : 677 Current Depth : 4131 Rig Company : Rig Name: Activity : 02 - Drilling Weather: Remarks: ROTARY DRILL FROM 3454' TO 4131' (677') ROP = 30.8'/HR WOB = 5-15K,PP =2300, STKS/MIN = 104, 592 GALS/MIN, MOTOR RPM = 95,TOP DRIVE RPM = 80 RPMS - TORQUE = 4100/#. DEVIATION SURVEYS: 3320' =.76 degrees 3510' =.42 degrees 3700' = 1.26 degrees MUD WEIGHT IN/OUT = 10.0# Next Day: Operations Start Hrs Code Remarks Start Depth End Depth Run 6:00 3.25 02 ROTARY DRILLING FROM 3454' TO 3542' - WOB = 15K - PP = 2175#, TD TORQUE = 3454 3542 1 4770#, STKS/MIN = 104, GAL/MIN = 592, MOTOR RPM = 95, RPM TOP DRIVE = 81 9:15 0.50 10 DEVIATION SURVEY @ 3510' =.42 degrees 3542 3542 1 9:45 3.25 02 ROTARY DRILLING FROM 3542' TO 3638' - WOB = 15K - PP = 2175#, TD TORQUE = 3542 3638 1 4900#, STKS/MIN = 104, GAL/MIN = 592, MOTOR RPM = 95, RPM TOP DRIVE = 81 13:00 0.50 07 RIG SERVICE 3638 3638 1 13:30 1.75 02 ROTARY DRILLING FROM 3638' TO 3732' - WOB = 15K - PP = 2345#, TD TORQUE = 3638 3732 1 7000#, STKS/MIN = 104, GAL/MIN = 592, MOTOR RPM = 95, RPM TOP DRIVE = 81 15:15 0.50 10 DEVIATION SURVEY @ 3700' = 1.26 degrees 3732 3732 1 15:45 6.75 02 ROTARY DRILLING FROM 3732' TO 3923' - WOB = 15K - PP = 2345#, TD TORQUE = 3732 3923 1 7000#, STKS/MIN = 104, GAL/MIN = 592, MOTOR RPM = 95, RPM TOP DRIVE = 81 22:30 0.25 10 DEVIATION SURVEY @ 3880' =.81 degrees 3923 3923 1 22:45 6.00 02 ROTARY DRILLING FROM 3923' TO 4112' - WOB = 15K - PP = 2247#, TD TORQUE = 3923 4112 1 5100#, STKS/MIN = 104, GAL/MIN = 592, MOTOR RPM = 95, RPM TOP DRIVE = 81 4:45 0.25 10 DEVIATION SURVEY @ 4070' =..46 degrees 4112 4112 1 5:00 1.00 02 ROTARY DRILLING FROM 4112' TO 4131' - WOB = 15K - PP = 2247#, TD TORQUE = 4112 4131 1 5100#, STKS/MIN = 104, GAL/MIN = 592, MOTOR RPM = 95, RPM TOP DRIVE = 81 Total: 24.00 DC : $115,924 Cum. DHC : $718,304 Total Well Cost: $718,304 Report Date : Wednesday, January 05, 2011 Powered by Production Access Page 7 of 12

605 Richard Arrington Blvd. Daily Activity Report Activity Date : 12/31/2010 Days Since Spud : 7 24 Hr. Footage Made : 739 Current Depth : 4870 Rig Company : Rig Name: Activity : 02 - Drilling Weather: Remarks: ROTARY DRILL FROM 4131' TO 4870' (739') ROP = 33'/HR WOB = 5-15K,PP =2300, STKS/MIN = 104, 592 GALS/MIN, MOTOR RPM = 95,TOP DRIVE RPM = 80 RPMS - TORQUE = 4100/#. DEVIATION SURVEYS: 4070' = 0.46 degrees 4269' =.54 degrees 4556' = 1.58 degrees MUD WEIGHT IN/OUT = 10.0# LITHOLOGY : 70% ANHYDRITE. 10% LIMESTONE, 10% SHALE, 10% SALT Next Day: Operations Start Hrs Code Remarks Start Depth End Depth Run 6:00 5.75 02 ROTARY DRILLING FROM 4131' TO 4300' - WOB = 15K - PP = 2247#, TD TORQUE = 4131 4300 1 5100#, STKS/MIN = 104, GAL/MIN = 592, MOTOR RPM = 95, RPM TOP DRIVE = 81 11:45 0.75 07 SERVICE RIG AND TOP DRIVE 4300 4300 1 12:30 0.50 10 DEVIATION SURVEY @ 4269' =.54 degrees 4300 4300 1 13:00 7.00 02 ROTARY DRILLING FROM 4300' TO 4586' - WOB = 15K - PP = 2247#, TD TORQUE = 4300 4586 1 5100#, STKS/MIN = 104, GAL/MIN = 592, MOTOR RPM = 95, RPM TOP DRIVE = 81 20:00 0.50 10 DEVIATION SURVEY @ 4556' = 1.58 degrees 4586 4586 1 20:30 9.50 02 ROTARY DRILLING FROM 4586' TO 4870' - WOB = 15K - PP = 2247#, TD TORQUE = 4586 4870 1 5100#, STKS/MIN = 104, GAL/MIN = 592, MOTOR RPM = 95, RPM TOP DRIVE = 81 Total: 24.00 DC : $30,380 Cum. DHC : $748,684 Total Well Cost: $748,684 Report Date : Wednesday, January 05, 2011 Powered by Production Access Page 8 of 12

605 Richard Arrington Blvd. Daily Activity Report Activity Date : 1/1/2011 Days Since Spud : 8 24 Hr. Footage Made : 200 Current Depth : 5070 Rig Company : Rig Name: Activity : 08 - Rig Repair Weather: Remarks: ROTARY DRILL FROM 4870' TO 5070' (200') ROP = 28'/HR WOB = 15K,PP =2300, STKS/MIN = 104, 592 GALS/MIN, MOTOR RPM = 95,TOP DRIVE RPM = 80 RPMS - TORQUE = 4100/#. TD WELL 5070'. CIRCULATE HOLE CLEAN - POOH - L/D 8" DCs AND BHA #1 REPAIR CATWALK (PRAGMA) ELECTRICAL) DEVIATION SURVEYS: 4842' =.95 degrees MUD WEIGHT IN/OUT = 10.0# LITHOLOGY : 0% ANHYDRITE. 30% LIMESTONE, 30% SHALE, 40% SALT Next Day: Operations Start Hrs Code Remarks Start Depth End Depth Run 6:00 0.50 10 DEVIATION SURVEY @ 4842' =.95 degrees 4870 4870 1 6:30 4.25 02 ROTARY DRILLING FROM 4870' TO 4965' - WOB = 15K - PP = 2247#, TD TORQUE = 4870 4965 1 5100#, STKS/MIN = 104, GAL/MIN = 592, MOTOR RPM = 95, RPM TOP DRIVE = 81 10:45 0.50 07 SERVICE RIG AND TOP DRIVE 4965 4965 1 11:15 3.00 02 ROTARY DRILL FROM 4965' TO 5070' - WOB = 15K - PP = 2247#, TD TORQUE = 5100#, 4965 5070 1 STKS/MIN = 104, GAL/MIN = 592, MOTOR RPM = 95, RPM TOP DRIVE = 81 14:15 1.25 05 PUMP 50 BBLS OF HV MUD AND CIRCULATE WELL. 5070 5070 1 15:30 2.75 06 POOH WITH DP AND 6.5" DCs TO DERRICK. 5070 5070 1 18:15 2.25 01 L/D ALL 8" DCs AND BHA #1 5070 5070 1 20:30 9.50 08 REPAIR ON CATWALK -PRAGMA - ELECTRCAL 5070 5070 NIH Total: 24.00 DC : $27,360 Cum. DHC : $776,044 Total Well Cost: $776,044 Report Date : Wednesday, January 05, 2011 Powered by Production Access Page 9 of 12

605 Richard Arrington Blvd. Daily Activity Report Activity Date : 1/2/2011 Days Since Spud : 9 24 Hr. Footage Made : 0 Current Depth : 5070 Rig Company : Rig Name: Activity : 01 - Rig Up & Tear Down Weather: Remarks: RIG REPAIR ON PAGMAR RIG DOWN ELEVATORS, RIG UP 18' BAILS, ELEVATORS, HELD PJSM, RAN IN HOLE WITH 112 JTS OF 9-5/8" 40# L-80 LTC CSG. FILLING PIPE EVERY 30 JTS. - TAGGED TD AT 5071' - PICKED UP 3'. CIRCULATE AND CONDITION HOLE. HELD PJSM - INSTALLED CMT. HEAD - PSI TEST LINES TO 3000# OK - MIX 1400 sxs OF LEAD CMT. AT 12.8#/GAL, 300 sxs OF TAIL CMT. AT 14.8#/GAL. PLUG DOWN AT 22:00 CIRCULATED 200 SXS OF CMT.BUMP PLUG - RELEASE PSI - FLOAT HELD. WOC - 6 HRS CUT-OFF CONDUCTOR" POOH AND LAY DOWN - MAKE RUFF CUT AND PREP TO INSTALL 11" 5M X 9-5/8" SOW AND WELD. Next Day: Operations Start Hrs Code Remarks Start Depth End Depth Run 6:00 3.00 08 RIG REPAIR ON PAGMAR 5070 5070 NIH 9:00 2.00 01 RIG DOWN ELEVATORS, RIG UP 18' BAILS, ELEVATORS, HELD PJSM, 5070 5070 NIH 11:00 5.75 12 RAN IN HOLE WITH 112 JTS OF 9-5/8" 40# L-80 LTC CSG. FILLING PIPE EVERY 30 5070 5070 NIH JTS. - TAGGED TD AT 5071' - PICKED UP 3'. 16:45 1.75 05 CIRCULATE AND CONDITION HOLE 5070 5070 NIH 18:30 3.50 12 HELD PJSM - INSTALLED CMT. HEAD - PSI TEST LINES TO 3000# OK - MIX 1400 sxs OF 5070 5070 NIH LEAD CMT. AT 12.8#/GAL, 300 sxs OF TAIL CMT. AT 14.8#/GAL. PLUG DOWN AT 22:00 CIRCULATED 200 SXS OF CMT.BUMP PLUG - RELEASE PSI - FLOAT HELD 22:00 6.00 13 WAIT ON CEMENT 5070 5070 NIH 4:00 2.00 01 CUT-OFF CONDUCTOR" POOH AND LAY DOWN - MAKE RUFF CUT AND INSTALL 11" 5070 5070 NIH 5M X 9-5/8" SOW AND WELD. Total: 24.00 DC : $96,119 Cum. DHC : $872,163 Total Well Cost: $872,163 Report Date : Wednesday, January 05, 2011 Powered by Production Access Page 10 of 12

605 Richard Arrington Blvd. Daily Activity Report Activity Date : 1/3/2011 Days Since Spud : 10 24 Hr. Footage Made : 0 Current Depth : 5070 Rig Company : Nabors Drilling USA LP Rig Name: Nabors Rig #F-25 Activity : 06 - Trips Weather: Remarks: CUT-OFF 20'" POOH AND LAY DOWN - MAKE RUFF CUT ON 9-5/8" AND INSTALL 11" 5M X 9-5/8"' SOW AND WELD. NSTALL DSA 5000#/10,000#, NIPPLE UP BOP WITH NEW RINGS, NIPPLE UP ROTATING HEAD, INSTALL COFLEX HOSE TO CHOKE MANIFOLD, INSTALL ACUMULATOR LINES ON BOP AND TEST. P/U AND M/U AND INSTALL TEST PLUG, FILL WITH FRESH WATER - TEST HYDRILL TO 250 LOW/ 2500 HIGH (OK) TEST BOTH SETS OF PIPE RAMS, BLINDS, CHOKE MANIFOLD AND COFLEX HOSE TO 2503 LOW/ 5000# HIGH AND ALL MANUAL VALVES. ON BOPS SAME - (ALL OK) - TEST ACCUMULATOR OK. P/U AND FAB 12-3/4" NIPPLE FROM ROTATING HEAD TO FLOWLINE. P/U AND M/U BHA #2 AS FOLLOWS : REED 8-3/4" PDC MSF813M W/4-15s, 6-3/4" PATHFINDER MOTOR 7/8 LOBE 5 STAGE, FLOAT SUB -W/FLOAT, 2 EA. 6.5" SHOCK SUBS, 1 EA 6.5" DC, 3PT ROLLER REAMER, 2 EA. 6.5" DCs,STABILIZER 8-5/8",18 EA. 6.5" DCs, X-OVER.. TRIP IN HOLE OUT OF DERRICK Next Day: Operations Start Hrs Code Remarks Start Depth End Depth Run 6:00 6.00 14 CUT-OFF 20'" POOH AND LAY DOWN - MAKE RUFF CUT ON 9-5/8" AND INSTALL 11" 5M 5070 5070 NIH X 9-5/8"' SOW AND WELD. 12:00 5.00 14 INSTALL DSA 5000#/10,000#, NIPPLE UP BOP WITH NEW RINGS, NIPPLE UP 5070 5070 NIH ROTATING HEAD, INSTALL COFLEX HOSE TO CHOKE MANIFOLD, INSTALL ACUMULATOR LINES ON BOP AND TEST. 17:00 3.00 15 P/U AND M/U AND INSTALL TEST PLUG, FILL WITH FRESH WATER - TEST HYDRILL TO 5070 5070 NIH 250 LOW/ 2500 HIGH (OK) TEST BOTH SETS OF PIPE RAMS, BLINDS, CHOKE MANIFOLD AND COFLEX HOSE TO 2503 LOW/ 5000# HIGH AND ALL MANUAL VALVES. ON BOPS SAME - (ALL OK) - TEST ACCUMULATOR OK. 20:00 4.00 01 P/U AND FAB 12-3/4" NIPPLE FROM ROTATING HEAD TO FLOWLINE 5070 5070 NIH 0:00 5.00 01 P/U AND M/U BHA #2 AS FOLLOWS : REED 8-3/4" PDC MSF813M W/4-15s, 6-3/4" 5070 5070 2 PATHFINDER MOTOR 7/8 LOBE 5 STAGE, FLOAT SUB -W/FLOAT, 2 EA. 6.5" SHOCK SUBS, 1 EA 6.5" DC, 3PT ROLLER REAMER, 2 EA. 6.5" DCs,STABILIZER 8-5/8",18 EA. 6.5" DCs, X-OVER. 5:00 1.00 06 TRIP IN HOLE OUT OF DERRICK 5070 5070 2 Total: 24.00 DC : $58,015 Cum. DHC : $930,178 Total Well Cost: $930,178 Report Date : Wednesday, January 05, 2011 Powered by Production Access Page 11 of 12

605 Richard Arrington Blvd. Daily Activity Report Activity Date : 1/4/2011 Days Since Spud : 11 24 Hr. Footage Made : Rig Company : Rig Name: Activity : 02 - Drilling Weather: Remarks: FINISH TIH-TAG TOP OF CMT @ 4943' WASH & DRILL SHOE TRACK-TEST CSG TO 2500# OK 1060 Current Depth : 6130 ROTARY DRILL FROM 5070' TO 6130' (1060')--61.45 FPH WOB = 9K - TD RPM = 50, P.P. = 1994#, 100 STKS/MIN = 569 gal/min. TD TORQUE = 4770-/#- 165 RPM MOTOR DEVIATION SURVEYS: 5113' INC. 1.26 5306' INC. 1.27 5782' INC..49 NO LOSSES AT REPORT TIME LITHOLOGY: 10% LIMESTONE 10% SHALE 80% SAND Next Day: Operations Start Hrs Code Remarks Start Depth End Depth Run 6:00 0.25 01 INSTALL BELL NIPPLE 5070 5070 2 6:15 2.50 06 FINISH TIH-TAG TOP OF CMT @ 4943' 5070 5070 2 8:45 1.00 32 WASH & DRILL SHOE TRACK-TEST CSG TO 2500# OK 5070 5070 2 9:45 1.50 02 DRILL FORMATION @ 100 SPM 1800# TORQUE 3000#- 5140' 5070 5140 2 11:15 0.50 10 DEVIATION SURVEY @ 5113' INC. 1.26 5140 5140 2 11:45 2.25 02 ROTARY DRILL FROM 5140' TO 5338' - WOB = 9K - TD RPM = 50, P.P. = 1994#, 100 5140 5338 2 STKS/MIN = 569 gal/min. TD TORQUE = 4770-/#- 165 RPM MOTOR 14:00 0.25 10 DEVIATION SURVEY @ 5306' INC. 1.27 5338 5338 2 14:15 7.75 02 ROTARY DRILL FROM 5338' TO 5811 ' - WOB = 9K - TD RPM = 50, P.P. = 1994#, 100 5338 5811 2 STKS/MIN = 569 gal/min. TD TORQUE = 3740-/#- 165 RPM MOTOR 22:00 0.50 10 DEVIATION SURVEY @ 5782' INC..49 5811 5811 2 22:30 4.50 02 ROTARY DRILL FROM 5811 ' - 6096' WOB = 9K - TD RPM = 50, P.P. = 1994#, 100 5811 6096 2 STKS/MIN = 569 gal/min. TD TORQUE = 3740-/#- 165 RPM MOTOR 3:00 1.75 01 INSTALL ROTATING HEAD RUBBER AND BEARING AND OILER 6096 6096 2 4:45 1.25 02 ROTARY DRILL FROM 6096'- 6130' WOB = 13K - TD RPM = 50, P.P. = 1994#, 100 6096 6130 2 STKS/MIN = 569 gal/min. TD TORQUE = 4800-/#- 165 RPM MOTOR Total: 24.00 DC : $77,740 Cum. DHC : $1,007,918 Total Well Cost: $1,007,918 Report Date : Wednesday, January 05, 2011 Powered by Production Access Page 12 of 12

Drilling Report 605 Richard Arrington Blvd. 605 Richard Arrington Blvd. 605 Richard Arrington Blvd. Report No: 18 Report 1/5/2011 Well Name: UNIVERSITY 48-20 #1H Surface Location: 760 FNL, 700 FWL / Bottom Hole Location: 760 FNL, 660 FEL - Winkler, TX Report No: 18 Rpt T. Activity: 02 - Drilling AFE #: PB110410 Operation AFE Total: $6,315,550 Spud Date: 12/24/2010 API Code: 4249533363 AFE DHC: $2,796,100 Days from Spud: 12 Rig Supervisor MITCH LEE 580-565-0577 Daily Costs: $30,329 Field Name: WILDCAT Rig Supervisor ROY KIMBEL 505-330-4956 This AFE DHC to $1,038,247 Sec/Twn/Rng: 48 / / Tool Pusher: ( ) - This AFE CWC to $1,038,247 Start Depth(ft): 6130 Formation: Total Project Costs: $1,038,247 Ending 7270 RKB to MSL: 2789 RKB to 0 Total w/ Assoc AFEs $1,038,247 TVD: 0 RKB to LMF: 0 RKB to CHF: 0 Daily Mud Costs: $2,219 Rig Company: 24 Hr. Footage: 1140 Develop To: 0 Cum Mud Costs: $35,594 Rig Name: Location UNIVERSITY LANDS Abstract: 24-Hour Summary/Remarks: ROTARY DRILL FROM 6130' TO 7270' (1140')-- (53) FPH WOB = 9-17K - TD RPM = 50, P.P. = 1900#, 100 STKS/MIN = 569 gal/min. TD TORQUE = 6000-/#- 165 RPM MOTOR DEVIATION SURVEYS: 6163' - INC. 1.10 6636'- INC. 1.23 7144' - INC. 1.16 NO LOSSES AT REPORT TIME LITHOLOGY: 60% LIMESTONE, 40% SAND Weather Time Wind Dir Wind Knots Sky Temp Remarks Surveys Survey No. Survey Date Tie In Meas. Inclinatio Azimuth Des Azi TVD Vert N/S(+/-) E/W(+/-) DLS 23 1/5/2011 6163 1.10 0.00 0.00 1893.69 33.71 33.71 0.00 0.16 24 1/5/2011 6639 1.23 0.00 0.00 2369.59 43.38 43.38 0.00 0.03 25 1/5/2011 7144 1.16 0.00 0.00 2874.48 53.92 53.92 0.00 0.01 Casing Type Date Run Casing Top Set Depth Size Weight Grade Drift Hole TD Shoe Surface 1/1/2011-2.00 5074.00 9.625 40.00 N-80 8.835 12.250 5070.00 17.60 Reciprocate Bump Plug Fluid Returns Cement Top Stag Distanc Rotate Pressure Hold Description Fill% Circ.Vol ft. Determined e 1 5070 1100 1400 SXS OF LEAD, 300 SXS TAIL 100 71 0 Circulated No.1 Wash, 50, 0, FRESH WATER,, 0, 0 No.2 Lead, 0, 1400, 35/65 POZ WITH D903, D132, D020, D130, D044, D046, D013, Class C, 1.96, 12.8 No.3 Tail, 0, 300, NEAT - D903, D013, D130, Class C, 1.33, 14.8 No.4 Displacement, 373, 0, BRINE 10#,, 0, 0 BOP Test and Inspection Dates Last BOP Test: 1/2/2011 Days Since BOP Tested: 3 Last Inspection: Last BOP Drill Date: BOP Test Due: Mud Properties Depth Time Wt In Wt Out Vis PV YP Gels FL HTFL FC HTFC Solid Water Oil Sand 6889 22:30 9.10 9.30 27 1 1 1/1/0 0.0 0.0 0 0.00 0.0% 0.0% 0.0% 0.0% MBT ph Pm Pf Mf Cl Ca ES Pom Lime Total CaCl2 EDTA O/W Ratio Mud Lost 0.0 8.50 0.00 0.15 0.04 62000 2200 0 0.00 0.00 0 0 0.00 0 Water Lost LCM ECD FL Temp Remarks 0 0.0 0.0 0 Hours Summary ( Daily / Cumulative ) Drilling 21.50 192 Rotatin 21.50 192 Trips 0.00 6 Circulatin 0.00 3 Down 0.00 32 Other 2.50 199 Operations Start Hrs Code Remarks Start Depth End Depth Run 6:00 1.25 02 ROTARY DRILL FROM 6130' -6192' WOB = 17K - TD RPM = 50, P.P. = 1800#, 100 STKS/MIN = 569 6130 6192 2 gal/min. TD TORQUE = 4700-/#- 165 RPM MOTOR 7:15 0.75 10 DEVIATION SURVEY @ 6163' INC. 1.10 6192 6192 2 8:00 8.25 02 ROTARY DRILL FROM 6192' -6667' WOB = 17K - TD RPM = 50, P.P. = 1900#, 100 STKS/MIN = 569 6192 6667 2 gal/min. TD TORQUE = 5800-/#- 165 RPM MOTOR 16:15 0.50 10 DEVIATION SURVEY & @ 6636' INC. 1.23 6667 6667 2 16:45 0.50 07 RIG SERVICE 6667 6667 2 17:15 9.00 02 ROTARY DRILL FROM 6667' - 7173 WOB = 17K - TD RPM = 50, P.P. = 1900#, 100 STKS/MIN = 569 6667 7173 2 gal/min. TD TORQUE = 5800-/#- 165 RPM MOTOR 2:15 0.75 10 DEVIATION SURVEY @ 7144' = 1.16 degrees 7173 7173 2 3:00 3.00 02 ROTARY DRILL FROM 7173' - 7270' WOB = 18K - TD RPM = 50, P.P. = 1900#, 100 STKS/MIN = 569 7173 7270 2 gal/min. TD TORQUE = 5800-/#- 165 RPM MOTOR Total: 24.00 Date Report No Depth Report Time Activity MW Daily Costs Cum Costs AFE 1/5/2011 18 7270 02 - Drilling 9.1 $30,329 $1,038,247 $6,315,550 Powered by Production Access Page 1 of 2 1/5/2011

Drilling Report 605 Richard Arrington Blvd. 605 Richard Arrington Blvd. 605 Richard Arrington Blvd. Report No: 18 Report 1/5/2011 Well Name: UNIVERSITY 48-20 #1H Drilling Data Hook Load: 190 Pick Up: 170 Slack Off: 188 Over Pull: 25 ROP: 53.02 Pres on Bot: 0 Press Off Bot: 0 Kickoff Depth: 0 WOB: 15 Rotary RPM: 50 Motor RPM: 165 Torque: 5900 BHA Hours: 0.00 Crew Status: Remarks: Daily Bits BH Bit Date In Size Manufa Type Serial In Out Ftg Tot Ftg Hrs Tot ROP WO RPM MRPM Torq 2 2 1/2/2011 8-3/4 REED PDC MSF813M 5070 7270 2200 7200 38.7 191.7 37.5 17 50 165 500 Date Jets 15 / 15 / 15 / 15 / 0 / 0 / 0 / 0 TFA 0.68 Char / / / / / / / Drilling Assembly Component Qty Length OD ID Avg Tot Length Remarks Bit - Core - PDC 1 1.50 8.750 0.000 1.50 REED MSF-813-M 4-15S Motor 1 24.47 6.750 0.000 25.97 PATHFINDER 6-3/4" 7/8 LOBE 5 STAGE Sub - Float 1 3.55 6.500 2.500 29.52 Sub - Shock 2 21.94 6.500 2.500 51.46 Drill collar 1 30.36 6.500 2.500 81.82 Stab - Roller Reamer 1 7.39 8.750 2.250 89.21 Drill collar 2 60.40 6.500 2.500 149.61 Stab - Undergauge 1 6.14 8.625 2.375 155.75 Drill collar 18 539.16 6.500 2.500 694.91 Sub - XO 1 0.00 0.000 2.500 694.91 Mud Pumps Pump No Model Liner Size Stroke Max PSI Max SPM GPM Press. Slow Pump Rates/Pres. 1 D-1650&DC-1650 7 12 3429 120 0 0 0 0/0 0/0 0/0 2 D-1650&DC-1650 7 12 3429 120 100 569 1974 0/0 0/0 0/0 Drilling Breaks and Shows BGRD 20 Trip Gas: Surv Gas: Conn Gas: 43 Peak Gas: 37 Shale %: 0.0 Sand %: 40.0 Others %: 60.0 Shale Den: 0.0 D'Exp: 0.0 Depth: 7228.0 Pore 0.0 H2S: 0.0 Cir. Temp: 0.0 Desc: 60% LIMESTONE, 40% SAND Personnel Data Company Service Qty. Hours Company Service Qty. Hours New Tech Consultant 1 24.00 Totals 1.00 24.00 Date Report No Depth Report Time Activity MW Daily Costs Cum Costs AFE 1/5/2011 18 7270 02 - Drilling 9.1 $30,329 $1,038,247 $6,315,550 Powered by Production Access Page 2 of 2 1/5/2011

Drilling Report 605 Richard Arrington Blvd. 605 Richard Arrington Blvd. 605 Richard Arrington Blvd. Report No: 19 Report 1/6/2011 Well Name: UNIVERSITY 48-20 #1H Surface Location: 760 FNL, 700 FWL / Bottom Hole Location: 760 FNL, 660 FEL - Winkler, TX Report No: 19 Rpt T. Activity: 06 - Trips AFE #: PB110410 Operation AFE Total: $6,315,550 Spud Date: 12/24/2010 API Code: 4249533363 AFE DHC: $2,796,100 Days from Spud: 13 Rig Supervisor MITCH LEE 580-565-0577 Daily Costs: $40,181 Field Name: WILDCAT Rig Supervisor ROY KIMBEL 505-330-4956 This AFE DHC to $1,078,428 Sec/Twn/Rng: 48 / / Tool Pusher: ( ) - This AFE CWC to $1,078,428 Start Depth(ft): 7270 Formation: Total Project Costs: $1,078,428 Ending 7555 RKB to MSL: 2789 RKB to 0 Total w/ Assoc AFEs $1,078,428 TVD: 0 RKB to LMF: 0 RKB to CHF: 0 Daily Mud Costs: $4,325 Rig Company: 24 Hr. Footage: 285 Develop To: 0 Cum Mud Costs: $39,919 Rig Name: Location UNIVERSITY LANDS Abstract: 24-Hour Summary/Remarks: ROTARY DRILL FROM 7270' - 7555' WOB = 18K - TD RPM = 50, P.P. = 1900#, 100 STKS/MIN = 569 gal/min. TD TORQUE = 5800-/#- 165 RPM MOTOR PUMP 50 BBL HV SWEEP CIRCULATE & CONDITION HOLE TOOH & LD BHA # 2 MU 8.75 BIT, SMITH PDC MSI813,ROTARY STEERABLE,MWD COLLAR, 8 5/8 STABILIZER W/ FLOAT, XO, 2 NMDC'S, XO NSTALL ROTATING RUBBER TEST TOOLS & TIH W/ DP NO LOSSES AT REPORT TIME LITHOLOGY: 60% LIMESTONE 40% SAND Weather Time Wind Dir Wind Knots Sky Temp Remarks Surveys Survey No. Survey Date Tie In Meas. Inclinatio Azimuth Des Azi TVD Vert N/S(+/-) E/W(+/-) DLS 23 1/5/2011 6163 1.10 0.00 0.00 1893.69 33.71 33.71 0.00 0.16 24 1/5/2011 6639 1.23 0.00 0.00 2369.59 43.38 43.38 0.00 0.03 25 1/5/2011 7144 1.16 0.00 0.00 2874.48 53.92 53.92 0.00 0.01 Casing Type Date Run Casing Top Set Depth Size Weight Grade Drift Hole TD Shoe Surface 1/1/2011-2.00 5074.00 9.625 40.00 N-80 8.835 12.250 5070.00 17.60 Reciprocate Bump Plug Fluid Returns Cement Top Stag Distanc Rotate Pressure Hold Description Fill% Circ.Vol ft. Determined e 1 5070 1100 1400 SXS OF LEAD, 300 SXS TAIL 100 71 0 Circulated No.1 Wash, 50, 0, FRESH WATER,, 0, 0 No.2 Lead, 0, 1400, 35/65 POZ WITH D903, D132, D020, D130, D044, D046, D013, Class C, 1.96, 12.8 No.3 Tail, 0, 300, NEAT - D903, D013, D130, Class C, 1.33, 14.8 No.4 Displacement, 373, 0, BRINE 10#,, 0, 0 BOP Test and Inspection Dates Last BOP Test: 1/2/2011 Days Since BOP Tested: 4 Last Inspection: Last BOP Drill Date: BOP Test Due: Mud Properties Depth Time Wt In Wt Out Vis PV YP Gels FL HTFL FC HTFC Solid Water Oil Sand 7550 13:00 9.10 9.10 27 1 1 1/1/0 0.0 0.0 0 0.00 0.0% 0.0% 0.0% 0.0% MBT ph Pm Pf Mf Cl Ca ES Pom Lime Total CaCl2 EDTA O/W Ratio Mud Lost 0.0 8.50 0.00 0.15 0.04 58000 2200 0 0.00 0.00 0 0 0.00 0 Water Lost LCM ECD FL Temp Remarks 0 0.0 0.0 0 Hours Summary ( Daily / Cumulative ) Drilling 11.50 203 Rotatin 11.50 203 Trips 11.00 17 Circulatin 1.50 5 Down 0.00 32 Other 0.00 199 Operations Start Hrs Code Remarks Start Depth End Depth Run 6:00 9.00 02 ROTARY DRILL FROM 7270' - 7555' WOB = 18K - TD RPM = 50, P.P. = 1900#, 100 STKS/MIN = 569 7270 7555 2 gal/min. TD TORQUE = 5800-/#- 165 RPM MOTOR 15:00 1.50 05 PUMP 50 BBL HV SWEEP CIRCULATE & CONDITION HOLE 7555 7555 2 16:30 6.75 06 TOOH WITH 72 STANDS DP 7555 7555 2 23:15 3.75 06 LD BHA # 2 7555 7555 2 3:00 2.50 20 MU 8.75 BIT, SMITH PDC MSI813,ROTARY STEERABLE,MWD COLLAR, 8 5/8 STABILIZER W/ 7555 7555 3 FLOAT, XO, 2 NMDC'S, XO 5:30 0.50 06 INSTALL ROTATING RUBBER, TEST TOOLS & TIH W/ DP 7555 7555 3 Total: 24.00 Date Report No Depth Report Time Activity MW Daily Costs Cum Costs AFE 1/6/2011 19 7555 06 - Trips 9.1 $40,181 $1,078,428 $6,315,550 Powered by Production Access Page 1 of 2 1/6/2011

Drilling Report 605 Richard Arrington Blvd. 605 Richard Arrington Blvd. 605 Richard Arrington Blvd. Report No: 19 Report 1/6/2011 Well Name: UNIVERSITY 48-20 #1H Drilling Data Hook Load: 205 Pick Up: 205 Slack Off: 190 Over Pull: 20 ROP: 24.78 Pres on Bot: 0 Press Off Bot: 0 Kickoff Depth: 0 WOB: 15 Rotary RPM: 50 Motor RPM: 165 Torque: 5900 BHA Hours: 0.00 Crew Status: Remarks: Daily Bits BH Bit Date In Size Manufa Type Serial In Out Ftg Tot Ftg Hrs Tot ROP WO RPM MRPM Torq 2 3 1/2/2011 8.75 Smith MIS813 5070 7555 2485 2485 47.7 47.75 52.0 17 50 165 500 Date 1/6/2011 Jets 15 / 15 / 15 / 15 / 0 / 0 / 0 / 0 TFA 0.68 Char 1 / 1 / NO / NO / A / 0 / 1 / BHA Drilling Assembly Component Qty Length OD ID Avg Tot Length Remarks Bit - Core - PDC 1 1.50 8.750 0.000 1.50 REED MSF-813-M 4-15S Motor 1 24.47 6.750 0.000 25.97 PATHFINDER 6-3/4" 7/8 LOBE 5 STAGE Sub - Float 1 3.55 6.500 2.500 29.52 Sub - Shock 2 21.94 6.500 2.500 51.46 Drill collar 1 30.36 6.500 2.500 81.82 Stab - Roller Reamer 1 7.39 8.750 2.250 89.21 Drill collar 2 60.40 6.500 2.500 149.61 Stab - Undergauge 1 6.14 8.625 2.375 155.75 Drill collar 18 539.16 6.500 2.500 694.91 Sub - XO 1 0.00 0.000 2.500 694.91 BH Bit Date In Size Manufa Type Serial In Out Ftg Tot Ftg Hrs Tot ROP WO RPM MRPM Torq 3 3 1/6/2011 8.75 Smith MIS813 7555 7555 0 2485 2.50 50.25 49.5 0 0 Date Jets 14 / 14 / 14 / 14 / 13 / 13 / 0 / 0 TFA 0.86 Char / / / / / / / Drilling Assembly Component Qty Length OD ID Avg Tot Length Remarks Bit - Core - PDC 1 0.70 8.750 0.000 0.70 SMITH PDC MSI813 Motor - steerable 1 19.42 6.750 0.000 20.12 PATHMAKER PUSH ROTARY STEERABLE MWD / LWD - tool 1 30.29 6.875 3.500 50.41 MWD COLLAR Stab - IB 1 6.41 6.500 2.812 56.82 8 5/8 IB STABILIZER W/ FLOAT Sub - XO 1 2.41 6.500 2.812 59.23 XO Monel 2 61.53 6.500 2.875 120.76 NMDC'S Sub - XO 1 2.47 6.500 2.000 123.23 XO Mud Pumps Pump No Model Liner Size Stroke Max PSI Max SPM GPM Press. Slow Pump Rates/Pres. 1 D-1650&DC-1650 7 12 3429 120 0 0 0 0/0 0/0 0/0 2 D-1650&DC-1650 7 12 3429 120 100 569 1974 0/0 0/0 0/0 Drilling Breaks and Shows BGRD 20 Trip Gas: Surv Gas: Conn Gas: 40 Peak Gas: 35 Shale %: Sand %: 40.0 Others %: 60.0 Shale Den: 0.0 D'Exp: 0.0 Depth: 0.0 Pore 0.0 H2S: 0.0 Cir. Temp: 0.0 Desc: 60% LIMESTONE, 40% SAND Personnel Data Company Service Qty. Hours Company Service Qty. Hours New Tech Consultant 1 24.00 Totals 1.00 24.00 Date Report No Depth Report Time Activity MW Daily Costs Cum Costs AFE 1/6/2011 19 7555 06 - Trips 9.1 $40,181 $1,078,428 $6,315,550 Powered by Production Access Page 2 of 2 1/6/2011

Drilling Report 605 Richard Arrington Blvd. 605 Richard Arrington Blvd. 605 Richard Arrington Blvd. Report No: 20 Report 1/7/2011 Well Name: UNIVERSITY 48-20 #1H Surface Location: 760 FNL, 700 FWL / Bottom Hole Location: 760 FNL, 660 FEL - Winkler, TX Report No: 20 Rpt T. Activity: 02 - Drilling AFE #: PB110410 Operation AFE Total: $6,315,550 Spud Date: 12/24/2010 API Code: 4249533363 AFE DHC: $2,796,100 Days from Spud: 14 Rig Supervisor MITCH LEE 580-565-0577 Daily Costs: $100,145 Field Name: WILDCAT Rig Supervisor ROY KIMBEL 505-330-4956 This AFE DHC to $1,178,573 Sec/Twn/Rng: 48 / / Tool Pusher: ( ) - This AFE CWC to $1,178,573 Start Depth(ft): 7555 Formation: Total Project Costs: $1,452,907 Ending 7840 RKB to MSL: 2789 RKB to 0 Total w/ Assoc AFEs $1,452,907 TVD: 0 RKB to LMF: 0 RKB to CHF: 0 Daily Mud Costs: $7,745 Rig Company: Nabors Drilling 24 Hr. Footage: 285 Develop To: 0 Cum Mud Costs: $47,664 Rig Name: Nabors Rig #F- Location UNIVERSITY LANDS Abstract: 24-Hour Summary/Remarks: TIH W/ DP PU DP TO MAKE UP F/ DC'S RIG SERVICE RU WIRELINE & RUN GYRO,RD WIRELINE WAKE UP ROTARY STEERABLE & PROGRAM TOOL ROTARY DRILL FROM 7555' - 7840' WOB = 19K - TD RPM = 90, P.P. = 1000#, 85 STKS/MIN = 483 gal/min. TD TORQUE = 12000-/# NO LOSSES AT REPORT TIME LITHOLOGY: 50% LIMESTONE 30% SAND 20% SHALE Weather Time Wind Dir Wind Knots Sky Temp Remarks Surveys Survey No. Survey Date Tie In Meas. Inclinatio Azimuth Des Azi TVD Vert N/S(+/-) E/W(+/-) DLS 28 1/7/2011 7510 0.18 232.64 0.00 7507.19 28.48 28.48 115.23 0.14 29 1/7/2011 7605 2.46 206.81 0.00 7602.16 26.57 26.57 114.19 2.42 30 1/7/2011 7700 5.28 174.33 0.00 7696.95 20.40 20.40 113.70 3.65 Casing Type Date Run Casing Top Set Depth Size Weight Grade Drift Hole TD Shoe Surface 1/1/2011-2.00 5074.00 9.625 40.00 N-80 8.835 12.250 5070.00 17.60 Reciprocate Bump Plug Fluid Returns Cement Top Stag Distanc Rotate Pressure Hold Description Fill% Circ.Vol ft. Determined e 1 5070 1100 1400 SXS OF LEAD, 300 SXS TAIL 100 71 0 Circulated No.1 Wash, 50, 0, FRESH WATER,, 0, 0 No.2 Lead, 0, 1400, 35/65 POZ WITH D903, D132, D020, D130, D044, D046, D013, Class C, 1.96, 12.8 No.3 Tail, 0, 300, NEAT - D903, D013, D130, Class C, 1.33, 14.8 No.4 Displacement, 373, 0, BRINE 10#,, 0, 0 BOP Test and Inspection Dates Last BOP Test: 1/2/2011 Days Since BOP Tested: 5 Last Inspection: Last BOP Drill Date: BOP Test Due: Mud Properties Depth Time Wt In Wt Out Vis PV YP Gels FL HTFL FC HTFC Solid Water Oil Sand 7555 14:00 9.00 9.10 28 1 1 1/1/0 0.0 0.0 0 0.00 0.0% 0.0% 0.0% 0.0% MBT ph Pm Pf Mf Cl Ca ES Pom Lime Total CaCl2 EDTA O/W Ratio Mud Lost 0.0 8.50 0.00 0.15 0.04 58000 1580 0 0.00 0.00 0 0 0.00 0 Water Lost LCM ECD FL Temp Remarks 0 0.0 9.0 0 Hours Summary ( Daily / Cumulative ) Drilling 13.00 216 Rotatin 13.00 216 Trips 6.00 23 Circulatin 0.00 5 Down 0.00 32 Other 5.00 204 Operations Start Hrs Code Remarks Start Depth End Depth Run 6:00 5.50 06 TIH W/ DP 7555 7555 3 11:30 0.50 06 PU DP TO MAKE UP F/ DC'S 7555 7555 3 12:00 0.50 07 RIG SERVICE 7555 7555 3 12:30 4.50 21 RU WIRELINE & RUN GYRO,RD WIRELINE 7555 7555 3 17:00 0.50 20 WAKE UP ROTARY STEERABLE & PROGRAM TOOL 7555 7555 3 17:30 12.50 02 ROTARY DRILL FROM 7555' - 7840' WOB = 19K - TD RPM = 90, P.P. = 1000#, 85 STKS/MIN = 483 7555 7840 3 gal/min. TD TORQUE = 12000-/# Total: 24.00 Date Report No Depth Report Time Activity MW Daily Costs Cum Costs AFE 1/7/2011 20 7840 02 - Drilling 9 $100,145 $1,178,573 $6,315,550 Powered by Production Access Page 1 of 2 1/10/2011

Drilling Report 605 Richard Arrington Blvd. 605 Richard Arrington Blvd. 605 Richard Arrington Blvd. Report No: 20 Report 1/7/2011 Well Name: UNIVERSITY 48-20 #1H Drilling Data Hook Load: 205 Pick Up: 215 Slack Off: 195 Over Pull: 35 ROP: 21.92 Pres on Bot: 1050 Press Off Bot: 1035 Kickoff Depth: 7600 WOB: 15 Rotary RPM: 90 Motor RPM: 0 Torque: 10500 BHA Hours: 0.00 Crew Status: Remarks: Daily Bits BH Bit Date In Size Manufa Type Serial In Out Ftg Tot Ftg Hrs Tot ROP WO RPM MRPM Torq 2 2 1/2/2011 8-3/4 Smith MSI-813 JE1014 5070 7555 2485 7485 47.7 200.7 37.3 17 50 165 500 Date 1/6/2011 Jets 15 / 15 / 15 / 15 / 0 / 0 / 0 / 0 TFA 0.68 Char 1 / 1 / NO / NO / A / 0 / 1 / BHA BH Bit Date In Size Manufa Type Serial In Out Ftg Tot Ftg Hrs Tot ROP WO RPM MRPM Torq 3 2 1/6/2011 8-3/4 Smith MSI-813 JE1014 7555 8660 1105 8590 61.0 261.7 32.8 22 90 0 135 Date Jets 12 / 12 / 12 / 12 / 13 / 13 / / 0 TFA 0.70 Char / / / / / / / Drilling Assembly Component Qty Length OD ID Avg Tot Length Remarks Bit - Core - PDC 1 0.70 8.750 0.000 0.70 SMITH PDC MSI813 Motor - steerable 1 19.40 6.750 0.000 20.10 PATHMAKER PUSH ROTARY STEERABLE MWD / LWD - tool 1 29.56 6.875 3.500 49.66 MWD COLLAR Sub - XO 1 2.41 6.500 2.812 52.07 XO Stab - IB 1 6.41 6.500 2.812 58.48 8 5/8 IB STABILIZER W/ FLOAT Monel 2 61.53 6.500 2.875 120.01 NMDC'S Sub - XO 1 2.47 6.500 2.000 122.48 XO Mud Pumps Pump No Model Liner Size Stroke Max PSI Max SPM GPM Press. Slow Pump Rates/Pres. 1 D-1650&DC-1650 7 12 3429 120 85 484 1030 40/430 50/580 60/690 2 D-1650&DC-1650 7 12 3429 120 0/0 0/0 0/0 Drilling Breaks and Shows BGRD 62 Trip Gas: 221 Surv Gas: Conn Gas: 100 Peak Gas: 112 Shale %: 20.0 Sand %: 30.0 Others %: 50.0 Shale Den: 0.0 D'Exp: 0.0 Depth: 0.0 Pore 0.0 H2S: 0.0 Cir. Temp: 0.0 Desc: 50% LIMESTONE, 30% SAND, SHALE 20% Personnel Data Company Service Qty. Hours Company Service Qty. Hours New Tech Consultant 1 24.00 Totals 1.00 24.00 Date Report No Depth Report Time Activity MW Daily Costs Cum Costs AFE 1/7/2011 20 7840 02 - Drilling 9 $100,145 $1,178,573 $6,315,550 Powered by Production Access Page 2 of 2 1/10/2011

Drilling Report 605 Richard Arrington Blvd. 605 Richard Arrington Blvd. 605 Richard Arrington Blvd. Report No: 21 Report 1/8/2011 Well Name: UNIVERSITY 48-20 #1H Surface Location: 760 FNL, 700 FWL / Bottom Hole Location: 760 FNL, 660 FEL - Winkler, TX Report No: 21 Rpt T. Activity: 02 - Drilling AFE #: PB110410 Operation AFE Total: $6,315,550 Spud Date: 12/24/2010 API Code: 4249533363 AFE DHC: $2,796,100 Days from Spud: 15 Rig Supervisor MITCH LEE 580-565-0577 Daily Costs: $102,073 Field Name: WILDCAT Rig Supervisor ROY KIMBEL 505-330-4956 This AFE DHC to $1,280,646 Sec/Twn/Rng: 48 / / Tool Pusher: ( ) - This AFE CWC to $1,280,646 Start Depth(ft): 7840 Formation: Brushy Canyon Total Project Costs: $1,452,907 Ending 8282 RKB to MSL: 2789 RKB to 0 Total w/ Assoc AFEs $1,452,907 TVD: 0 RKB to LMF: 0 RKB to CHF: 0 Daily Mud Costs: $10,314 Rig Company: Nabors Drilling 24 Hr. Footage: 442 Develop To: 0 Cum Mud Costs: $57,978 Rig Name: Nabors Rig #F- Location UNIVERSITY LANDS Abstract: 24-Hour Summary/Remarks: ROTARY DRILL FROM 7840' TO 7904' WOB = 19K - TD RPM = 90, P.P. = 1000#, 85 STKS/MIN = 483 gal/min. TD TORQUE = 12000-/# LOST PULSE REPROGRAM MWD TOOL ROTARY DRILL FROM 7904' T 7936' WOB = 19K - TD RPM = 90, P.P. = 1000#, 85 STKS/MIN = 483 gal/min. TD TORQUE = 12000/# RIG SERVICE WORK ON PUMPS ROTARY DRILL FROM 7936' TO 8282' WOB = 20K - TD RPM = 90, P.P. = 1250#, 100 STKS/MIN = 570 gal/min. TD TORQUE = 13000/# NO LOSSES AT REPORT TIME LITHOLOGY: 30% LIMESTONE 60% SAND 10% SHALE Weather Time Wind Dir Wind Knots Sky Temp Remarks Surveys Survey No. Survey Date Tie In Meas. Inclinatio Azimuth Des Azi TVD Vert N/S(+/-) E/W(+/-) DLS 41 1/8/2011 8114 20.14 67.91 0.00 8103.14 20.36 20.36 178.26 6.47 42 1/8/2011 8146 22.42 66.12 0.00 8132.96 24.91 24.91 188.94 7.41 43 1/8/2011 8178 25.50 65.43 0.00 8162.20 30.24 30.24 200.79 9.66 Casing Type Date Run Casing Top Set Depth Size Weight Grade Drift Hole TD Shoe Surface 1/1/2011-2.00 5074.00 9.625 40.00 N-80 8.835 12.250 5070.00 17.60 Reciprocate Bump Plug Fluid Returns Cement Top Stag Distanc Rotate Pressure Hold Description Fill% Circ.Vol ft. Determined e 1 5070 1100 1400 SXS OF LEAD, 300 SXS TAIL 100 71 0 Circulated No.1 Wash, 50, 0, FRESH WATER,, 0, 0 No.2 Lead, 0, 1400, 35/65 POZ WITH D903, D132, D020, D130, D044, D046, D013, Class C, 1.96, 12.8 No.3 Tail, 0, 300, NEAT - D903, D013, D130, Class C, 1.33, 14.8 No.4 Displacement, 373, 0, BRINE 10#,, 0, 0 BOP Test and Inspection Dates Last BOP Test: 1/2/2011 Days Since BOP Tested: 6 Last Inspection: Last BOP Drill Date: BOP Test Due: Mud Properties Depth Time Wt In Wt Out Vis PV YP Gels FL HTFL FC HTFC Solid Water Oil Sand 7934 13:00 9.00 9.20 39 13 14 4/7/0 6.0 0.0 0 0.00 4.0% 1.0% 0.0% 0.0% MBT ph Pm Pf Mf Cl Ca ES Pom Lime Total CaCl2 EDTA O/W Ratio Mud Lost 0.0 9.00 0.00 0.45 1.20 52000 200 0 0.00 0.00 0 0 0.00 0 Water Lost LCM ECD FL Temp Remarks 0 0.0 9.2 0 Hours Summary ( Daily / Cumulative ) Drilling 22.00 238 Rotatin 22.00 238 Trips 0.00 23 Circulatin 0.00 5 Down 1.00 33 Other 1.00 205 Date Report No Depth Report Time Activity MW Daily Costs Cum Costs AFE 1/8/2011 21 8282 02 - Drilling 9 $102,073 $1,280,646 $6,315,550 Powered by Production Access Page 1 of 2 1/10/2011

Drilling Report 605 Richard Arrington Blvd. 605 Richard Arrington Blvd. 605 Richard Arrington Blvd. Report No: 21 Report 1/8/2011 Well Name: UNIVERSITY 48-20 #1H Operations Start Hrs Code Remarks Start Depth End Depth Run 6:00 2.50 02 ROTARY DRILL FROM 7840' TO 7904' WOB = 19K - TD RPM = 90, P.P. = 1000#, 85 STKS/MIN = 483 7840 7904 3 gal/min. TD TORQUE = 12000-/# 8:30 1.50 20 LOST PULSE REPROGRAM MWD TOOL 7904 7904 3 10:00 1.50 02 ROTARY DRILL FROM 7904' T 7936' WOB = 19K - TD RPM = 90, P.P. = 1000#, 85 STKS/MIN = 483 7904 7936 3 gal/min. TD TORQUE = 12000/# 11:30 1.00 07 RIG SERVICE 7936 7936 3 12:30 1.00 08 WORK ON PUMPS 7936 7936 3 13:30 16.50 02 ROTARY DRILL FROM 7936' TO 8282' WOB = 20K - TD RPM = 90, P.P. = 1250#, 100 STKS/MIN = 7936 8282 3 570 gal/min. TD TORQUE = 13000/# Total: 24.00 Drilling Data Hook Load: 205 Pick Up: 215 Slack Off: 185 Over Pull: 35 ROP: 20.09 Pres on Bot: 1180 Press Off Bot: 1035 Kickoff Depth: 7600 WOB: 19 Rotary RPM: 90 Motor RPM: 0 Torque: 12500 BHA Hours: 0.00 Crew Status: Remarks: Daily Bits BH Bit Date In Size Manufa Type Serial In Out Ftg Tot Ftg Hrs Tot ROP WO RPM MRPM Torq 3 2 1/6/2011 8-3/4 Smith MSI-813 JE1014 7555 8660 1105 8590 61.0 261.7 32.8 22 90 0 135 Date Jets 12 / 12 / 12 / 12 / 13 / 13 / / 0 TFA 0.70 Char / / / / / / / Drilling Assembly Component Qty Length OD ID Avg Tot Length Remarks Bit - Core - PDC 1 0.70 8.750 0.000 0.70 SMITH PDC MSI813 Motor - steerable 1 19.40 6.750 0.000 20.10 PATHMAKER PUSH ROTARY STEERABLE MWD / LWD - tool 1 29.56 6.875 3.500 49.66 MWD COLLAR Sub - XO 1 2.41 6.500 2.812 52.07 XO Stab - IB 1 6.41 6.500 2.812 58.48 8 5/8 IB STABILIZER W/ FLOAT Monel 2 61.53 6.500 2.875 120.01 NMDC'S Sub - XO 1 2.47 6.500 2.000 122.48 XO Mud Pumps Pump No Model Liner Size Stroke Max PSI Max SPM GPM Press. Slow Pump Rates/Pres. 1 D-1650&DC-1650 7 12 3429 120 100 570 1250 40/480 50/580 60/690 2 D-1650&DC-1650 7 12 3429 120 0/0 0/0 0/0 Drilling Breaks and Shows BGRD 25 Trip Gas: Surv Gas: Conn Gas: 40 Peak Gas: 50 Shale %: 10.0 Sand %: 60.0 Others %: 30.0 Shale Den: 0.0 D'Exp: 0.0 Depth: 0.0 Pore 0.0 H2S: 0.0 Cir. Temp: 0.0 Desc: 30% LIMESTONE, 60% SAND, SHALE 10% Personnel Data Company Service Qty. Hours Company Service Qty. Hours New Tech Consultant 1 24.00 Totals 1.00 24.00 Date Report No Depth Report Time Activity MW Daily Costs Cum Costs AFE 1/8/2011 21 8282 02 - Drilling 9 $102,073 $1,280,646 $6,315,550 Powered by Production Access Page 2 of 2 1/10/2011

Drilling Report 605 Richard Arrington Blvd. 605 Richard Arrington Blvd. 605 Richard Arrington Blvd. Report No: 22 Report 1/9/2011 Well Name: UNIVERSITY 48-20 #1H Surface Location: 760 FNL, 700 FWL / Bottom Hole Location: 760 FNL, 660 FEL - Winkler, TX Report No: 22 Rpt T. Activity: 06 - Trips AFE #: PB110410 Operation AFE Total: $6,315,550 Spud Date: 12/24/2010 API Code: 4249533363 AFE DHC: $2,796,100 Days from Spud: 16 Rig Supervisor MITCH LEE 580-565-0577 Daily Costs: $68,328 Field Name: WILDCAT Rig Supervisor ROY KIMBEL 505-330-4956 This AFE DHC to $1,348,974 Sec/Twn/Rng: 48 / / Tool Pusher: ( ) - This AFE CWC to $1,348,974 Start Depth(ft): 8282 Formation: Total Project Costs: $1,452,907 Ending 8382 RKB to MSL: 2789 RKB to 0 Total w/ Assoc AFEs $1,452,907 TVD: 0 RKB to LMF: 0 RKB to CHF: 0 Daily Mud Costs: $22,498 Rig Company: Nabors Drilling 24 Hr. Footage: 100 Develop To: 0 Cum Mud Costs: $80,475 Rig Name: Nabors Rig #F- Location UNIVERSITY LANDS Abstract: 24-Hour Summary/Remarks: ROTARY DRILL FROM 8282' TO 8289' WOB = 20K - TD RPM = 90, P.P. = 1250#, 100 STKS/MIN = 570 gal/min. TD TORQUE = 13000/# LOST SENSOR NO COMMUNICATION WITH ROTARY STEERABLE PUMP SLUG TOOH STAND BACK DIRECTIONAL TOOLS XO ROTARY STEERABLE & MONEL TIH RIG REPAIR SENSOR WOULD NOT LET RIG RUN FINISH TIH TO 8289' ROTARY DRILL FROM 8289' TO 8382' WOB = 20K - TD RPM = 90, P.P. = 1550#, 95 STKS/MIN = 535 gal/min. TD TORQUE = 13000/# ROTARY STEERABLE PROBLEMS CIRCULATE BTMS UP & PUMP SLUG TOOH NO LOSSES AT REPORT TIME LITHOLOGY: 60% LIMESTONE 30% SAND 10% SHALE Weather Time Wind Dir Wind Knots Sky Temp Remarks Surveys Survey No. Survey Date Tie In Meas. Inclinatio Azimuth Des Azi TVD Vert N/S(+/-) E/W(+/-) DLS 45 1/9/2011 8273 34.38 62.46 0.00 8244.37 51.00 51.00 243.50 8.98 46 1/9/2011 8305 37.02 62.69 0.00 8270.36 59.59 59.59 260.07 8.26 47 1/9/2011 8337 39.31 63.30 0.00 8295.52 68.57 68.57 277.69 7.25 Casing Type Date Run Casing Top Set Depth Size Weight Grade Drift Hole TD Shoe Surface 1/1/2011-2.00 5074.00 9.625 40.00 N-80 8.835 12.250 5070.00 17.60 Reciprocate Bump Plug Fluid Returns Cement Top Stag Distanc Rotate Pressure Hold Description Fill% Circ.Vol ft. Determined e 1 5070 1100 1400 SXS OF LEAD, 300 SXS TAIL 100 71 0 Circulated No.1 Wash, 50, 0, FRESH WATER,, 0, 0 No.2 Lead, 0, 1400, 35/65 POZ WITH D903, D132, D020, D130, D044, D046, D013, Class C, 1.96, 12.8 No.3 Tail, 0, 300, NEAT - D903, D013, D130, Class C, 1.33, 14.8 No.4 Displacement, 373, 0, BRINE 10#,, 0, 0 BOP Test and Inspection Dates Last BOP Test: 1/2/2011 Days Since BOP Tested: 7 Last Inspection: Last BOP Drill Date: BOP Test Due: Mud Properties Depth Time Wt In Wt Out Vis PV YP Gels FL HTFL FC HTFC Solid Water Oil Sand 8282 13:00 9.00 9.20 39 13 14 4/7/0 6.0 0.0 0 0.00 4.0% 1.0% 0.0% 0.0% MBT ph Pm Pf Mf Cl Ca ES Pom Lime Total CaCl2 EDTA O/W Ratio Mud Lost 0.0 9.00 0.00 0.45 1.20 52000 200 0 0.00 0.00 0 0 0.00 0 Water Lost LCM ECD FL Temp Remarks 0 0.0 9.2 0 Hours Summary ( Daily / Cumulative ) Drilling 9.50 248 Rotatin 9.50 248 Trips 11.50 35 Circulatin 1.50 6 Down 1.50 35 Other 0.00 205 Date Report No Depth Report Time Activity MW Daily Costs Cum Costs AFE 1/9/2011 22 8382 06 - Trips 9 $68,328 $1,348,974 $6,315,550 Powered by Production Access Page 1 of 2 1/10/2011