State Oil and Gas Board

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1 State Oil and Gas Board Board Members DAVID A. SCOTT, Jackson Chairman JOHN R. PARKER, Laurel Vice-Chairman JAMES S. MEEK, Batesville JAMES H. HEIDELBERG, Pascagoula CARROLL V. HOOD, Hazlehurst State Of Mississippi 500 Greymont Avenue, Suite E Jackson, MS Telephone (601) LISA IVSHIN State Oil & Gas Supervisor WALKER WATTERS Board Attorney November 4, 2008 The regular monthly meeting of the State Oil and Gas Board will be held in Suite E, 500 Greymont Avenue, Jackson, Mississippi, on the 19th day of November, 2008 commencing at 9:00 a.m., with an administrative meeting to consider such business as may come before the Board and at 10:00 a.m. to consider the dockets hereinafter set out. Applications are on file in the office of the State Oil and Gas Board, Suite E, 500 Greymont Avenue, Jackson, Mississippi, for your examination. All exhibits and data to be used in a hearing in support of a petition will be filed with the Supervisor at least nine (9) days prior to the hearing. DOCKET NUMBER CONTINUED DOCKET WEST SANDY HOOK FIELD Marion County. Amended Petition of Milagro Exploration, LLC, requesting the Board to integrate, with alternate risk charges, all interests in an exceptionally configured 640-acre gas unit, situated in Sections 15 and 22, Township 1 North, Range 14 East and Sections 14 and 23, Township 1 North, Range 18 West, for the drilling of the Carter No. 1 Well at an exception location for topographical reasons 171 from the East line and 878 from the North line of Section 23, to a depth of 19,500 to test the Cotton Valley Formation and all other formations and pools which may be encountered. Alternatively, Petitioner requests the Board to integrate all interests in said unit without alternate risk charges. ORDER NO DECISION - DISMISSED WITHOUT PREJUDICE GLUCKSTADT FIELD Madison County. Amended Petition of Denbury Onshore, LLC, requesting the Board to integrate, with alternate risk charges, all interests in an exceptional sized 1, acre gas unit, situated in the SE/4 of Section 25, the E/2 and the E/2 of the SW/4 of Section 36, Township 8 North, Range 2 East, the SW/4 of the SW/4 of Section 30, the W/2 of the W/2 of Section 31, Township 8 North, Range 3 East, the W/2 of the NW/4 of Section 6, Township 7 North, Range 3 East, and the NE/4 and the E/2 of the NW/4 of Section 1, Township 7 North, Range 2 East, for the directional drilling of the Helen Smith 36-2 No. 1 Well at an exception off unit surface location for topographical and geological reasons 1,020 from the West line and 1,750 from the North line of Section 36, to a depth of 17,300 to test the Norphlet Formation and all other formations and pools which may be encountered at an exceptional bottomhole location 1,641 from the East line and 900 FNL of Section 36, with the right to drill a second increased density well. Alternatively, Petitioner requests the Board to integrate all interests in said unit without alternate risk charges. ORDER NO DECISION - CONTINUED WAUSAU FIELD Wayne County. On the Board s own motion, Show Cause Order No was issued to S. Lavon Evans, Jr., Inc., et al., as to why it should not be penalized for violation of Statewide Rule 28, Plugging and Abandonment, for the Wausau 28-4 No. 1, the Wausau 28-5 No. 1, the Wausau 28-6 No. 1, the Wausau No. 1 and the Fortenberry-Collins No. 1 Wells, located in Section 28, Township 8 North, Range 9 West. ORDER NO DECISION - CONTINUED PISTOL RIDGE FIELD Forrest and Pearl River Counties. On the Board s own motion, Show Cause Order No was issued to Gulf South Energy, LLC, as to why it should not be penalized for violation of Statewide Rule 28, Plugging and Abandonment, for the Board of Supervisors No. 1 and the Board of Supervisors No. B-3 Wells and for violation of Statewide Rule 8, Spacing of Gas Wells, for the Board of Supervisors No. 1 Well only, located in Section 16, Township 1 South, Range 13 West. ORDER NO DECISION - DISMISSED WITHOUT PREJUDICE

2 BLACKSTONE FIELD Pearl River County. Amended Petition of Spooner Petroleum Company requesting the Board to reform the presently-existing 320-acre gas unit for the Bear-Hoeffner-Crosby 11-7 No. 5 Well to a new 320-acre gas unit, situated in Sections 11 and 12, Township 2 South, Range 17 West, for production from the Lower Tuscaloosa Gas Pool at a regular location. ORDER NO DECISION - CONTINUED BLACKSTONE FIELD Pearl River County. Petition of Spooner Petroleum Company requesting the Board to reform the presentlyexisting 320-acre gas unit for the Hoeffner Crosby 11-3 No. 2 Well to a new 320-acre gas unit, situated in Section 2 and 11, Township 2 South, Range 17 West, for production from the Lower Tuscaloosa Gas Pool at a regular location. ORDER NO DECISION - DISMISSED WITHOUT PREJUDICE BRIARS FIELD Adams County. Petition of Barnhart Company requesting the Board to approve an extension of inactive well status under Statewide Rule 28 for the Houge Estate B 8 Well. ORDER NO DECISION - APPROVED AFFIDAVIT FOUR MILE CREEK FIELD Monroe County. Petition of Monroe Gas Storage Company, LLC, requesting the Board to amend the Special Field Rules so as to redefine the Storage Area for the field. ORDER NO DECISION - CONTINUED HUB FIELD Marion County. Petition of Coronado Energy E & P Company, LLC, requesting the Board to reform the presently-existing 640-acre gas unit for the Hub Gas Unit 12 No. 1 Well to a 320-acre gas unit, situated in the E/2 of Section 19, Township 2 North, Range 14 East, at a resulting exception location less than 990 from the East exterior boundary line, for production from the Paluxy Gas Pools and to integrate all interests in said new unit. ORDER NO DECISION - CONTINUED CHRISTMAS FIELD Amite County. On the Board s own motion, Show Cause Order No was issued to Paul Marchbanks, as to why he should not be penalized for violation of Statewide Rule 63, Underground Injection Control, for the J. Audubon Foundation No. 1 Well, located in Section 35, Township 3 North, Range 2 East. ORDER NO DECISION - DISMISSED WITHOUT PREJUDICE PINE GROVE FIELD Jones County. Amended Petition of Bean Resources, Inc., requesting authority to directionally drill the Gandy Heirs No. 1 Well, located on an exception 320-acre gas unit, situated in Sections 9 and 10, Township 7 North, Range 13 West, at an exception surface location for geological reasons 2,159 North of the South line and 1,579 East of the West line of Section 10, to a depth of 18,000 to test the Cotton Valley Formation and all other formations and pools which may be encountered at an exception bottomhole location 1,156 North of the South line and 1,964 East of the West line of Section 10 or in the alternative Petitioner seeks authority to complete the well in the Lower Hosston Formation Oil Pool as an increased density well located in the SW/4 of Section 10. ORDER NO DECISION - APPROVED AFFIDAVIT SOUTH PAULDING FIELD Jasper County. Petition of Roundtree & Associates, Inc., requesting the Board to integrate, with alternate risk charges, all interests in an 80-acre oil unit, situated in the S/2 of NW/4 of Section 23, Township 2 North, Range 12 East, for the drilling of the Bergin 23-6 No. 1 Well at an exception location for topographical reasons 2,240 from the North line and 1,600 from the West line of Section 23, to a depth of 14,900 to test all zones down through the Smackover Formation and all other formations and pools which may be encountered, with a full allowable. Alternatively, Petitioner requests the Board to integrate all interests in said unit without alternate risk charges. ORDER NO DECISION - APPROVED AFFIDAVIT GITANO FIELD Jones County. Petition of Pruet Production Co., requesting the Board to integrate, with alternate risk charges, all interests in an exception 80-acre oil unit, situated in Section 5, Township 9 North, Range 13 West, for the drilling of the Welch 5-15 No. 1 Well to a depth of 12,000 to test all productive intervals down through the Mooringsport Formation at a regular location. Alternatively, Petitioner requests the Board to integrate all interests in said unit without alternate risk charges. ORDER NO DECISION - APPROVED AFFIDAVIT JUNCTION CITY FIELD Clarke County. Petition of Fleming Management, Inc., requesting the Board to approve an extension of inactive well status under Statewide Rule 28 for the Fleming No. 4 Well. ORDER NO DECISION - CONTINUED

3 BARNETT FIELD Clarke County. Petition of Champion Oilfield Service, LLC, requesting the Board to approve an extension of inactive well status under Statewide Rule 28 for the Matt Eddins Well and the Matt Eddins No. 1 Well. ORDER NO DECISION - APPROVED AFFIDAVIT PICKENS FIELD Yazoo and Madison Counties. Petition of Hawkeye Drilling Company requesting the Board to approve an extension of inactive well status under Statewide Rule 28 for the John Whitworth No. 9 Well. ORDER NO DECISION - DISMISSED WITHOUT PREJUDICE JUNCTION CITY FIELD Clarke County. Petition of M. J. Oil Inc., requesting the Board to approve an extension of inactive well status under Statewide Rule 28 for certain wells in the field. ORDER NO DECISION - APPROVED AFFIDAVIT BLACKBURN FIELD Jones County. Petition of Tiger Production Company, LLC, requesting the Board to approve an extension of inactive well status under Statewide Rule 28 for the Trotter-Collins No. 1 Well. ORDER NO DECISION - CONTINUED GITANO FIELD Jones County. Petition of Tiger Production Company, LLC, requesting the Board to amend the Special Field Rules so as to define the 9,700-Foot Washita-Fredericksburg Oil Pool, the 9,100- Foot Washita-Fredericksburg Oil Pool, the 9,300-Foot Washita-Fredericksburg Oil Pool, 9,550-Foot Washita-Fredericksburg Oil Pool, the 9,750-Foot Washita-Fredericksburg Oil Pool, the 9,900-Foot Washita-Fredericksburg Oil Pool, the 10,210-Foot Washita- Fredericksburg Oil Pool, the 8,800-Foot Washita-Fredericksburg Oil pool, the 8,850-Foot Washita-Fredericksburg Oil Pool, and the 9,480-Foot Washita-Fredericksburg Oil Pool, to redefine the Cox Sand Gas Pool as the Cox Sand Oil Pool and to establish spacing for such pools. ORDER NO DECISION - CONTINUED PISTOL RIDGE FIELD Pearl River and Forrest Counties. Petition of Delphi Oil, Inc. and Oracle Gas, LLC, requesting the Board to remove Odyssey Petroleum Corp. as the operator of the Adam J. Danner No. 1 Well and the McKinney et al., Unit No. 2 Well, located in Section 3, Township 1 South, Range 14 West and designating Delphi Oil, Inc., as operator of said wells. ORDER NO DECISION - DISMISSED WITH PREJUDICE WAUSAU FIELD Wayne County. On the Board s own motion, Show Cause Order No was issued to VTS Trucking as to why it should not be penalized for violation of Statewide Rule 63, Underground Injection Control, for the Womack Operating, Inc. Ulmer Pryor Unit No. 1 Well, located in Section 21, Township 8 North, Range 9 West. ORDER NO DECISION - APPROVED AFFIDAVIT EAST EUCUTTA FIELD Wayne County. Petition of Denbury Onshore, LLC requesting authority to convert the GM & ORR No. 1 Well, located in Section 1, Township 9 North, Range 9 West, to a saltwater disposal well with an injection interval of 6,760 7,870 in the Tuscaloosa Formation and rename the well to be the GM&ORR 1-5 No. 1 SWD Well. ORDER NO DECISION - APPROVED AFFIDAVIT INDIAN WELLS FIELD Jasper County. Petition of Roundtree & Associates requesting authority to drill the Youngblood No. 1 Well, located on a 40-acre oil unit, situated in the East 30 acres of the SW/4 of SW/4, and the West 10 acres of the SE/4 of the SW/4 of Section 26, Township 4 North, Range 12 East, at an exception location for geological reasons 1,130 from the West line and 200 from the South line of Section 26, to a depth of 8,200 to test all zones down through the Rodessa Formation and all other formations and pools which may be encountered. ORDER NO DECISION - APPROVED AFFIDAVIT PISTOL RIDGE FIELD Forrest and Pearl River Counties. Petition of Odyssy Petroleum Corp., requesting the Board to approve an extension of inactive well status under Statewide Rule 28 for the Adam J. Danner No. 1 and the McKinney et al Unit No. 2 Wells. ORDER NO DECISION - DISMISSED WITHOUT PREJUDICE REEDY CREEK FIELD Jones County. Petition of Venture Oil & Gas, Inc., requesting authority to extend and continue the Waterflood Pilot Program for the 9250 Pool of the Washita-Fredericksburg Formation, use the Board of Supervisors 2 No. 9 Well, located in Section 16, Township 9 North, Range 11 West, as an injection well for a period of six (6) months.

4 ORDER NO DECISION - APPROVED AFFIDAVIT BAXTERVILLE FIELD Lamar and Marion Counties. Petition of Tellus Operating Group, LLC, requesting the Board to reform the presentlyexisting 40-acre oil unit for the Jonathan Davis No A-2 Well to a 320-acre gas unit, situated in the W/2 of Section 7, Township 1 North, Range 16 West, for production from the Selma Chalk Gas Pool. ORDER NO DECISION - APPROVED AFFIDAVIT BAXTERVILLE FIELD Lamar and Marion Counties. Petition of Tellus Operating Group, LLC, requesting the Board to reform the presentlyexisting 40-acre oil unit for the I. H. Bass No. 67 Well to a 320-acre gas unit, situated in the N/2 of Section 18, Township 1 North, Range 16 West, for production from the Selma Chalk Gas Pool. ORDER NO DECISION - APPROVED AFFIDAVIT GWINVILLE FIELD Jefferson Davis and Simpson Counties. Petition of EOG Resources, Inc., requesting the Board to approve an extension of inactive ORDER NO DECISION - APPROVED AFFIDAVIT SOUTH WILLIAMSBURG FIELD Jefferson Davis and Covington Counties. Petition of EOG Resources, Inc., requesting the Board to approve an extension of inactive ORDER NO DECISION - APPROVED AFFIDAVIT MAYNOR CREEK FIELD Wayne County. Petition of Unit Petroleum Company requesting the Board to approve an extension of inactive well status under Statewide Rule 28 for the Scott Paper No Well. ORDER NO DECISION - APPROVED AFFIDAVIT PISTOL RIDGE FIELD Forrest and Pearl River Counties. Petition of Par Minerals Corporation requesting the Board to integrate all interests in a 320-acre gas unit for the drilling of the Weyerhaeuser 19-1 Well to a depth of 8,300 to test the Lower Tuscaloosa Formation and all other formations and pools which may be encountered, including the Lower Tuscaloosa Gas and Oil Producing Pool at a regular location. ORDER NO DECISION - APPROVED AFFIDAVIT EAST CARTHAGE POINT FIELD Adams County. Petition of Meason Operating Company requesting the Board to approve an extension of inactive ORDER NO DECISION - APPROVED AFFIDAVIT NORTH CARTHAGE POINT FIELD Adams County. Petition of Meason Operating Company requesting the Board to approve an extension of inactive ORDER NO DECISION - APPROVED AFFIDAVIT NORTH EAST COURTLAND FIELD Adams County. Petition of Annandale Production Co., Inc., requesting the Board to approve an extension of inactive well status under Statewide Rule 28 for the USA CF No. 2 Well. ORDER NO DECISION - APPROVED AFFIDAVIT SOUTH CARTHAGE POINT FIELD Adams County. Petition of Meason Operating Company requesting the Board to approve an extension of inactive well status under Statewide Rule 28 for the Linwood Plantation No. 1 Well. ORDER NO DECISION - APPROVED AFFIDAVIT SMITHDALE FIELD Amite County. Petition of Denbury Onshore, LLC, requesting authority to plug the Sterling- Sweeney No. 1 Well, located in Section 30, Township 4 North, Range 6 East, as an exception to Statewide Rule 63. ORDER NO DECISION - APPROVED AFFIDAVIT

5 DOCKET NUMBER NEW DOCKET COLUMBIA FIELD Marion County. Petition of Chaparral Energy, LLC, requesting the Board to plug the Jacob Gloster No. 1 Well, located on a 640-acre gas unit, situated in Section 7, Township 4 North, Range 18 West, as an exception to Statewide Rule 28. ORDER NO DECISION - APPROVED AFFIDAVIT BAXTERVILLE FIELD Lamar and Marion Counties. Petition of Tellus Operating Group, LLC, requesting the Board to approve an extension of inactive ORDER NO DECISION - APPROVED AFFIDAVIT EAST HEIDELBERG FIELD Jasper County. Petition of Tellus Operating Group, LLC, requesting the Board to approve an extension of inactive ORDER NO DECISION - APPROVED AFFIDAVIT LEAF RIVER FIELD Covington County. Amended Petition of Tellus Operating Group, LLC, requesting the Board to approve an ORDER NO DECISION - APPROVED AFFIDAVIT KNOXO FIELD Marion and Walthall Counties. ORDER NO DECISION - APPROVED AFFIDAVIT KOKOMO FIELD Walthall County. well status under Statewide Rule 28 for the Walker No. 1-3 Well. ORDER NO DECISION - APPROVED AFFIDAVIT NANCY FIELD Clarke County. ORDER NO DECISION - APPROVED AFFIDAVIT POOL CREEK FIELD Jones County. ORDER NO DECISION - APPROVED AFFIDAVIT WEST EUCUTTA FIELD Wayne County. Petition of Harmony Producing Co., Inc., requesting the Board to approve an extension of inactive ORDER NO DECISION - APPROVED AFFIDAVIT WEST PAULDING FIELD Jasper County. well status under Statewide Rule 28 for the Ike Myers Est No. 1 Well. ORDER NO DECISION - APPROVED AFFIDAVIT SOUTH SUMMERLAND FIELD Jones and Covington and Smith Counties. ORDER NO DECISION - APPROVED AFFIDAVIT WAVELAND FIELD Hancock County. Petition of J. R. Pounds, Inc, requesting the Board to approve an extension of inactive well status under Statewide Rule 28 for the Waveland Gas Unit 2 No. 1 Well. ORDER NO DECISION - APPROVED AFFIDAVIT DIAMOND FIELD Wayne County. Petition of Venture Oil & Gas, Inc., requesting the Board to approve an extension of inactive ORDER NO DECISION - APPROVED AFFIDAVIT REEDY CREEK FIELD Jones County. Petition of Venture Oil & Gas, Inc., requesting the Board to approve an extension of inactive ORDER NO DECISION - APPROVED AFFIDAVIT THOMPSON S CREEK FIELD Wayne County. Petition of Venture Oil & Gas, Inc., requesting the Board to approve an extension of inactive ORDER NO DECISION - APPROVED AFFIDAVIT

6 SOUTH THOMPSON S CREEK FIELD Wayne County. Petition of Venture Oil & Gas, Inc, requesting the Board to approve an extension of inactive well status under Statewide Rule 28 for the USA 35-4 No. 2 Well. ORDER NO DECISION - APPROVED AFFIDAVIT BOLTON FIELD Hinds County. ORDER NO DECISION - APPROVED AFFIDAVIT EDWARDS FIELD Hinds County. Petition of Tellus Operating Group, LLC, requesting the Board to approve an extension of inactive well status under Statewide Rule 28 for the Parker No. 2 Well. ORDER NO DECISION - APPROVED AFFIDAVIT FRANKLIN COUNTY. Petition of Threshold Development Company requesting the Board to integrate, with alternate risk charges, all interests in a 40-acre oil unit, situated in the SW/4 of the SW/4 of Section 29, Township 7 North, Range 5 East, for the drilling of the Calcote Prospect No. 1 Well to a depth of 11,000 to test the Tuscaloosa Formation and all other formations and pools which may be encountered at a regular location. Alternatively, Petitioner requests the Board to integrate all interests in said unit without alternate risk charges. ORDER NO DECISION - APPROVED AFFIDAVIT FRANKLIN COUNTY. Petition of Threshold Development Company requesting the Board to integrate, with alternate risk charges, all interests in a 40-acre oil unit, situated in the SE/4 of the NW/4 of Section 8, Township 6 North, Range 5 East, for the drilling of the Beaver Run Prospect No. 1 Well, to a depth of 11,000 to test the Tuscaloosa Formation and all other formations and pools which may be encountered at a regular location. Alternatively, Petitioner requests the Board to integrate all interests in said unit without alternate risk charges. ORDER NO DECISION - APPROVED AFFIDAVIT DEERFIELD FIELD Adams County. Petition of Burnsed Oil Co., requesting the Board to approve an extension of inactive well status under Statewide Rule 28 for the H. B. Drane No. 1 and the H. B. Drane No. 2 Wells. ORDER NO DECISION - APPROVED AFFIDAVIT LAGRANGE FIELD Adams County. Petition of Burnsed Oil Co., requesting the Board to approve an extension of inactive well status under Statewide Rule 28 for the Parker P No. 1 Well. ORDER NO DECISION - APPROVED AFFIDAVIT IRELAND FIELD Adams and Wilkinson Counties. Petition of Burnsed Oil Co., requesting the Board to approve an extension of inactive well status under Statewide Rule 28 for the Drane No. 1 Well. ORDER NO DECISION - APPROVED AFFIDAVIT WELLS CREEK FIELD Franklin County. Petition of Burnsed Oil Co., requesting the Board to approve an extension of inactive well status under Statewide Rule 28 for the N. C. Feltus No. 1 Well. ORDER NO DECISION - APPROVED AFFIDAVIT OVETT FIELD Jones County. Petition of R. W. Tyson Producing Co., Inc., requesting authority to plug the A. F. Walters Estate No. 1 Well, located on a 40 acre oil unit, situated in Section 29, Township 6 North, Range 11 West, as an exception to Statewide Rule 28. ORDER NO DECISION - APPROVED AFFIDAVIT WEBSTER COUNTY. Petition of Longfellow Energy, LP, requesting the Board to integrate, with alternate risk charges, all interests in a 640-acre gas unit, situated in Sections 13, 14, 23 and 24, Township 21 North, Range 10 East, for the drilling of the Phillips 14-1 Well to a depth of 10,700 to test an undefined gas producing interval of the Pennsylvanian/Pottsville Formation and all other formations and pools which may be encountered at a regular location. Alternatively, Petitioner requests the Board to integrate all interests in said unit without alternate risk charges. ORDER NO DECISION - CONTINUED

7 GWINVILLE FIELD Jefferson Davis and Simpson Counties. Petition of EOG Resources, Inc., requesting the Board to integrate, with alternate risk charges, all interests in an established 640-acre gas unit, situated in Section 15, Township 9 North, Range 19 West, for the horizontal drilling of the GH No. 3 Well as an increased density well to a depth of 11,450 for production from the Selma Chalk Gas Pool at a regular location, and to simultaneously produce the existing horizontal and all vertical wells without any production restriction. Petitioner also requests the permit issued in Docket be cancelled. Alternatively, Petitioner requests the Board to integrate all interests in said unit without alternate risk charges. ORDER NO DECISION - APPROVED AFFIDAVIT GWINVILLE FIELD Jefferson Davis and Simpson Counties. Petition of EOG Resources, Inc., requesting the Board to integrate, with alternate risk charges, all interests in an existing exceptionally configured 640-acre gas unit, situated in the S/2 of Section 11, the NW/4, the NW/4 of the NE/4, the E/2 of the NE/4 and the NE/4 of the SE/4 of Section 14, Township 9 North, Range 19 West, for the horizontal drilling of the GH 14-6 No. 3 Well as an increased density well, to a depth of 11,300 for production from the Selma Chalk Gas Pool at a regular location. Alternatively, Petitioner requests the Board to integrate all interests in said unit without alternate risk charges. ORDER NO DECISION - APPROVED AFFIDAVIT MECHANICSBURG FIELD Yazoo County. Petition of EOG Resources, Inc., requesting the Board to integrate, with alternate risk charges, all interests in a 640-acre gas unit, situated in the S/2 of the S/2 of Section 4, the N/2 and the N/2 of the S/2 of Section 9, Township 9 North, Range 3 West, for the drilling of the Ramsay-Williams 9-7 No. 1 Well as an increased density well, to a depth of 13,000 to test the Upper and Lower Cotton Valley Gas Pools and all other formations and pools which may be encountered at a regular location. Alternatively, Petitioner requests the Board to integrate all interests in said unit without alternate risk charges. ORDER NO DECISION - APPROVED AFFIDAVIT WHITESAND FIELD Lawrence and Jefferson Davis Counties. Petition of EOG Resources, Inc., requesting the Board to integrate, with alternate risk charges, all interests in a 640-acre gas unit, situated in the W/2 of the W/2 of Section 12, and the E/2 of the W/2 and the E/2 of Section 11, Township 7 North, Range 20 West, for the drilling of the Duffy 11-2 No. 1 Well as an increased density well at an exception location for geological reasons 1,267 from the North line and 2,237 from the East line of Section 11, to a depth of 16,000 to test the Hosston, Sligo and Upper Sligo Gas Pools and all other formations and pools which may be encountered. Alternatively, Petitioner requests the Board to integrate all interests in said unit without alternate risk charges. ORDER NO DECISION - APPROVED AFFIDAVIT BLACKBURN FIELD Jones County. Petition of Centreville Production, LLC, and H & M Operating, LLC, requesting the Board to remove Tiger Production Company, LLC, as operator of the Trotter-Collins No. 1 Well, located on an 80-acre oil unit, situated in the S/4 of the NE/4 of Section 14, Township 7 North, Range 13 West, and appointing H & M Operating, LLC, as operator of record for said well. ORDER NO DECISION - DISMISSED WITHOUT PREJUDICE MADISON AND RANKIN COUNTIES. Petition of Denbury Onshore, LLC, requesting authority to directionally drill the Pearl River Valley Authority 25-3 No. 1 Well located on an exceptional sized 1, acre gas unit, situated in the SE/4 of the NW/4, the S/2 of the NE/4, the E/2 of the SW/4, the SE/4 of Section 23, Section 24, less and except the N/2 of the NE/4, Section 25, and the NE/4, E/2 of the NW/4, the NE/4 of the SW/4, the N/2 of the SE/4 of Section 26, all in Township 8 North, Range 3 East, to a depth of 18,130 to test the Norphlet Formation and all other formations and pools which may be encountered at a regular location. Additionally, Petitioner seeks the right to drill a second increased density well on the unit so long as the wellbores are no closer than 1,500 from all unit lines and 1,000 from all other wells. ORDER NO DECISION - APPROVED AFFIDAVIT BAXTERVILLE FIELD Lamar and Marion Counties. Petition of Tellus Operating Group, LLC, requesting the Board to approve the plugging of the C. V. Cooper No. 12 Well, located on a 40 acre oil unit, situated in Section 7, Township 1 North, Range 16 West, as an exception to Statewide Rule 28. ORDER NO DECISION - CONTINUED SOUTH CLARK CREEK FIELD Wilkinson County. Petition of El Toro Production Co., Inc., requesting the Board to approve an extension of inactive well status under Statewide Rule 28 for the Berry No. 2 Well. ORDER NO DECISION - APPROVED AFFIDAVIT CLARK CREEK FIELD Wilkinson County. Petition of El Toro Production Co., Inc., requesting the Board to approve an extension of inactive well status under Statewide Rule 28 for the Clark Creek No. 2 Well, the Clark Creek No. 7 and the Clark Creek No. 8 Wells. ORDER NO DECISION - APPROVED AFFIDAVIT

8 WEST BUTLER LAKE FIELD Adams County. Petition of El Toro Production Co., Inc., requesting the Board to approve an extension of inactive ORDER NO DECISION - APPROVED AFFIDAVIT TCHULA LAKE FIELD Holmes and Humphreys Counties. Petition of Moon-Hines Tigrett Operating Co., Inc., requesting the Board to integrate, with alternate risk charges, all interests in an exceptional sized and configured 640-acre oil unit, situated in Sections 7, 8, and 17, Township 15 North, Range 1 West, for the drilling of the Shadrack Davis Jr., et al., No. 2 Well as a first well, to a depth of 10,000 and the Sarah Davis No. 1 Well as a second increased density well, to a depth of 10,150 to test the Smackover Formation and all other formations and pools which may be encountered at a regular location, with a full allowable for each well. Alternatively, Petitioner requests the Board to integrate all interests in said unit without alternate risk charges. ORDER NO DECISION - APPROVED AFFIDAVIT MONTICELLO FIELD Lawrence County. Petition of EOG Resources, Inc., requesting the Board to integrate all interests in an existing 640-acre gas unit, situated in Section 14, Township 7 North, Range 21 West and Section 15, Township 7 North, Range 11 East, for the drilling of the Tyrone 14-2 No. 1 Well as an exceptional second increased density well, at an exception location for geological reasons 857 from the North line and 3,321 from the West line of Section 14, to a depth of 16,800 to test the Hosston Gas Pool and the Sligo Gas Pool and all other formations and pools which may be encountered. ORDER NO DECISION - APPROVED AFFIDAVIT REEDY CREEK FIELD Jones County. Petition of Venture Oil & Gas, Inc., requesting authority to drill the Clifton Walker 9-8 No. 5 Well as an exception second well on an existing 80-acre oil unit, situated in the SE/4 of the NE/4 of Section 9, and the SW/4 of the NW/4 of Section 10, Township 9 North, Range 11 West, at an exception location for geological reasons 2,329 South of the North line and 1, West of the East line of Section 9, to a depth of 16,000 for production from the Cotton Valley Formation and to produce simultaneously with the Nina Daly 2 Unit 1 Well. ORDER NO DECISION - APPROVED AFFIDAVIT PISTOL RIDGE FIELD Forrest and Pearl River Counties. Petition of Par Minerals Corporation requesting the Board to integrate all interests in a 320-acre gas unit, situated in the N/2 of Section 19, Township 1 South, Range 13 West, for the drilling of the Weyerhaeuser No Well to a depth of 8,300 to test the Lower Tuscaloosa Formation and all other formations and pools which may be encountered, including the Lower Tuscaloosa Gas and Oil Producing Pool, at a regular location. ORDER NO DECISION - APPROVED AFFIDAVIT MOSSVILLE FIELD Jasper County. Petition of Sojourner Drilling Corporation requesting the Board to integrate, with alternate risk charges, all interests in an 80-acre oil unit, situated in the NE/4 of SW/4 and NW/4 of SE/4 of Section 8, Township 10 North, Range 12 West, for the reentry, redrilling and recompletion of the B. C. Moss 8-10 No. 1 Well from an existing exception surface location 1,541 from the East line and 1,906 from the South line of Section 8, to a depth of 15,541 or a depth sufficient to test the Cotton Valley Formation and all other formations and pools which may be encountered at an exception bottomhole location 2,507 from the East line and 1,647 from the South line of Section 8, with a full allowable. Alternatively, Petitioner requests the Board to integrate all interests in said unit without alternate risk charges. ORDER NO DECISION - APPROVED AFFIDAVIT OAKVALE FIELD Jefferson Davis County. Petition of Range Production Company requesting the Board to integrate, with alternate risk charges, all interests in a 640-acre gas unit, situated in Section 34, Township 6 North, Range 19 West, for the drilling of the Fortenberry 34-2 No. 2 Well at an exception location for geological and topographical reasons 800 from the North line and 1,500 from the East line of Section 34, to a depth of 16,000 to test the Sligo Formation and all other formations and pools which may be encountered. Alternatively, Petitioner requests the Board to integrate all interests in said unit without alternate risk charges. ORDER NO DECISION - APPROVED AFFIDAVIT CONERLY Pike County. Petition of Aldridge Operating Co., LLC, requesting authority to recomplete the J. A. Brady No.1 Well, located in Section 34, Township 3 North, Range 9 East, as a Saltwater Disposal Well with an injection interval of 2,950 7,500 in the Camerina, Sparta and Wilcox Formations and to rename the well to be the J. A. Brady SWD No. 1 Well. ORDER NO DECISION - APPROVED AFFIDAVIT HANGING KETTLE FIELD Monroe County. Petition of Gibraltar Energy Company requesting the Board to establish Special Field Rules so as to establish the geographical limits of the field, to define the Carter Sand Gas Pool and to establish spacing for said pool.

9 ORDER NO DECISION - APPROVED AFFIDAVIT SHARON FIELD Jones and Jasper Counties. Petition of Taza Energy, Inc., requesting the Board to approve an extension of inactive well status under Statewide Rule 28 for the Torry Smith No. 1 and the Claude Smith et al., No. 1 Wells. ORDER NO DECISION - APPROVED AFFIDAVIT SMITH COUNTY. Petition of Tellus Operating Group, LLC, requesting the Board to integrate, with alternate risk charges, all interests in a 640-acre gas unit, situated in the W/2 of the E/2 and the W/2 of Section 28, and the E/2 of the E/2 of Section 29, Township 2 North, Range 8 East, for the drilling of the Tellus No. 1 Well to a depth of 19,800 to test the Haynesville and Smackover Formations and all other formations and pools which may be encountered at a regular location. Alternatively, Petitioner requests the Board to integrate all interests in said unit without alternate risk charges. ORDER NO DECISION - APPROVED AFFIDAVIT HANGING KETTLE FIELD Monroe County. Petition of Gibraltar Energy Company requesting the Board to reform the presentlyexisting 80-acre oil unit for the Hanging Kettle Corp No. 1 Well, to a 320-acre gas unit, situated in N/4 of the SE/4 and the Southernmost 2,310 of the N/2 of Section 9, Township 16 South, Range 7 East, for production from the Carter Sand Gas Pool at a regular location and to integrate all interests in said new unit. ORDER NO DECISION - APPROVED AFFIDAVIT MAGEE FIELD Smith and Simpson Counties. On the Board s own motion, Show Cause Order No was issued to Columbia Petroleum, Inc., as to why it should not be penalized for violation of Statewide Rule 4, Application to Drill, for the Mangum 2-1 No. 1 Well, located in Section 2, Township 10 North, Range 17 West. ORDER NO DECISION - DISMISSED WITHOUT PREJUDICE FERNWOOD AND DEXTER FIELDS Pike and Walthall Counties. On the Board s own motion, Show Cause Order No was issued to E. B. Germany and Sons, LLC, as to why it should not be penalized for violation of Statewide Rule 4, Application to Drill, for the McMullin No. 1, McMullin No. 2 and the McMullin No. 5 Wells, located in Section 36, Township 3 North, Range 7 East, and the C. A. Morris No. 1 and the Joe N. Pittman A-1 Wells, located in Section 2, Township 1 North, Range 12 East. ORDER NO DECISION - CONTINUED CHRISTMAS FIELD Amite and Wilkinson Counties. On the Board s own motion, Show Cause Order No was issued to Powder River Basin Gas Corp., as to why it should not be penalized for violation of Statewide Rule 4, Application to Drill, for the V. F. Foster No. 1 Well, located in Section 36, Township 3 North, Range 2 East. ORDER NO DECISION - CONTINUED SANDY HOOK AND PISTOL RIDGE FIELDS Marion and Pearl River Counties. On the Board s own motion, Show Cause Order No was issued to S. Lavon Evans, Jr., Inc., et al., as to why it should not be penalized for violation of Statewide Rule 4, Application to Drill, for the Sandy Hook GU 20 No. 1 Well located in Section 26, Township 1 North, Range 14 East, the Sandy Hook Unit No. 1 Well, located in Section 13, Township 1 North, Range 18 West, the and the Joe Lee Road No. 1 Well, located in Section 2, Township 1 South, Range 14 West. ORDER NO DECISION - DISMISSED WITHOUT PREJUDICE BLACKBURN, GITANO, JACKSON, EAST EUCUTTA, BOYKIN CHURCH, EAST MIZE, UTICA, WEST EUCUTTA AND POOL CREEK FIELDS Jones, Wilkinson, Rankin, Wayne, Smith, and Hinds Counties. On the Board s own motion, Show Cause Order No was issued to Tiger Production Co., LLC, as to why it should not be penalized for violation of Statewide Rule 4, Application to Drill, for certain wells in the fields. ORDER NO DECISION - DISMISSED WITHOUT PREJUDICE RIVER BEND, STAMPS AND SOUTH STAMPS FIELDS Wilkinson County. On the Board s own motion, Show Cause Order No was issued to Kenneth O. Williams, Jr., as to why he should not be penalized for violation of Statewide Rule 4, Application to Drill, for the Ventress SECL No. 1 Well, located in Section 10, Township 2 North, Range 4 West, the Haynes No. 1 Well, located in Section 11, Township 2 North, Range 5 West and the H. Pritchartt No. 8 Well, located in Section 16, Township 2 North, Range 5 West. ORDER NO DECISION - DISMISSED WITHOUT PREJUDICE

10 COTTON VALLEY, CRANFIELD AND STAMPS FIELDS Adams and Wilkinson Counties. On the Board s own motion, Show Cause Order No was issued to Williams Producing Co., as to why it should not be penalized for violation of Statewide Rule 4, Application to Drill, for the Cotton Valley No. 4 Well, located in Section 38, Township 9 North, Range 2 West, the National Gasoline Co. No. 3 Well, located in Section 52, Township 7 North, Range 1 West, and the Pritchart No. 1 Well and the W. H. Pritchartt et al., A-1 Well, located in Section 12, Township 2 North, Range 5 West. ORDER NO DECISION - DISMISSED WITHOUT PREJUDICE FIELDS LAKE FIELD Adams County. On the Board s own motion, Show Cause Order No was issued to Cedar Grove Energy Corp., as to why it should not be penalized for violation of Statewide Rule 28, Plugging and Abandonment, for the Mercer A-3 Well, located in Acc., Township 9 North, Range 2 West. ORDER NO DECISION - CONTINUED BUNKER HILL FIELD Wilkinson County. Petition of Pledger Operating Co., Inc., requesting the Board to approve an extension of inactive well status under Statewide Rule 28 for the Sessions No. 1 Well. ORDER NO DECISION - APPROVED AFFIDAVIT FLAT BRANCH FIELD Greene County. Petition of McGowan Working Partners, Inc. requesting authority to convert the McLain No. 3 Well, located in Section 5, Township 5 North, Range 8 West, to a Saltwater Disposal Well with an injection interval of 4,068 4,202 in the Wilcox Formation and to rename the well to be the McLain No. 3 SWD Well. ORDER NO DECISION - APPROVED AFFIDAVIT CRANFIELD FIELD Adams and Franklin Counties. Petition of Durango Operating, LLC, requesting the Board to approve an extension of inactive well status under Statewide Rule 28 for the Cranfield Unit No. 1 Well. ORDER NO DECISION - CONTINUED FAYETTE FIELD Jefferson County. ORDER NO DECISION - APPROVED AFFIDAVIT FLAT BRANCH FIELD Greene County. extension of inactive well status under Statewide Rule 28 for the McLain No. 3 Well. ORDER NO DECISION - APPROVED AFFIDAVIT GILLIARD LAKE FIELD Adams County. extension of inactive well status under Statewide Rule 28 for the McGehee Ford No. 4 and N. H. Breaux H No. 16 Wells. ORDER NO DECISION - APPROVED AFFIDAVIT LAGRANGE FIELD Adams County. ORDER NO DECISION - APPROVED AFFIDAVIT LAKE MARY FIELD Wilkinson County. extension of inactive well status under Statewide Rule 28 for the E. M. Kee No. 1 and the E. M. Kee No. 4-A Wells. ORDER NO DECISION - APPROVED AFFIDAVIT NORTH LAKE LUCILLE FIELD Adams County. ORDER NO DECISION - APPROVED AFFIDAVIT NORTH MUD CREEK FIELD Wilkinson County. ORDER NO DECISION - APPROVED AFFIDAVIT OVERTON FIELD Adams County. extension of inactive well status under Statewide Rule 28 for the S. B. McCaleb No. 2 and the S. B. McCaleb No. 3 Wells. ORDER NO DECISION - APPROVED AFFIDAVIT

11 SHIELDSBORO FIELD Adams County. ORDER NO DECISION - APPROVED AFFIDAVIT SIBLEY FIELD Adams County. extension of inactive well status under Statewide Rule 28 for the Alberta Robinson No. 3 Well. ORDER NO DECISION - APPROVED AFFIDAVIT LAUREL FIELD Jones County. Petition of Comstock Oil & Gas, LP, requesting the Board to amend the Special Field Rules so as to consolidate and combine various separately-defined and non-unitized oil pools to form a single oil pool to be designated as the Laurel Consolidated Sand Oil Pool and to establish spacing for said pool. ORDER NO DECISION - APPROVED AFFIDAVIT MONTICELLO FIELD Lawrence County. Petition of EOG Resources, Inc., requesting authority to simultaneously produce and commingle downhole production in the Crymes George Pittman No. 1 Well, located on a 640-acre gas unit, situated in Section 14, Township 7 North, Range 11 East, from the Hosston and Sligo Gas Pools. ORDER NO DECISION - APPROVED AFFIDAVIT KING BEE FIELD Perry County. Petition of Denbury Onshore, LLC, requesting the Board to amend the Special Field Rules so as to authorize the commingling of production into common surface facilities, and to define the Selma Chalk Oil Pool. ORDER NO DECISION - CONTINUED BAXTERVILLE FIELD Lamar and Marion Counties. Petition of Texas Petroleum Investment Company requesting the Board to approve an ORDER NO DECISION - APPROVED AFFIDAVIT STAMPEDE FIELD Smith County. Petition of Tellus Operating Group, LLC, requesting authority to directionally drill the Tellus-Stampede No. 1 Well, located on an exception 640-acre oil unit, situated in the S/2 of Section 32, Township 2 North, Range 7 East and the E/2 of the W/2 of the NW/4; the E/2 of the NW/4; and the NE/4 of Section 5, Township 1 North, Range 7 East, and the W/2 of the W/2 of the NW/4 of Section 4, Township 1 North, Range 7 East, as an increased density well at an exception location for geological reasons 1,711 North of the South line and 2,014 West of the East line of Section 32, to a depth of 16,500 to test the Cotton Valley Formation and all other formations and pools which may be encountered at an exception bottomhole location 2,137 North of the South line and 1,594 West of the East line of Section 32, with a full allowable. ORDER NO DECISION - APPROVED AFFIDAVIT STAMPEDE FIELD Smith County. Petition of Tellus Operating Group, LLC, requesting the Board to approve an exception 640-acre oil unit for the existing Tellus-Stampede No. 1 Well, situated in Sections 29, 30, 31, and 32, Township 2 North, Range 7 East, as an increased density well at an exception location for topographical and geological reasons 395 North of the South line and 786 East of the West line of Section 29, for production from the Cotton Valley Formation, with a full allowable. ORDER NO DECISION - APPROVED AFFIDAVIT SMITH COUNTY. Petition of Tellus Operating Group, LLC, requesting authority to plug the Tellus 15-3 No. 1 Well, located on a 640-acre gas unit, situated in Section 15, Township 1 North, Range 7 East, as an exception to Statewide Rule 28. ORDER NO DECISION - APPROVED AFFIDAVIT LANEHEART FIELD Wilkinson County. Petition of Pledger Operating Co., Inc., requesting the Board to approve an extension of inactive well status under Statewide Rule 28 for the Prater No. 1 Well. ORDER NO DECISION - APPROVED AFFIDAVIT Applications on all the above dockets may be examined in the office of the State Oil and Gas Board. Any person may appear before the Board and be heard. Lisa A. Ivshin OIL & GAS BOARD SUPERVISOR This docket can be viewed on our Internet Home Page at

12 As proclaimed by the Governor of the State of Mississippi, the offices of the State Oil and Gas Board will be closed on the following dates: Tuesday, November 11, 2008, in observance of Veteran s Day AND Thursday and Friday, November 27 & 28, 2008 in observance of the Thanksgiving Holiday.

13 Proposed Emergency Docket HEIDELBERG FIELD Jasper County. Petition of Denbury Onshore, LLC requesting authority increase the injection interval in the EEOFB 29-4 No. 4 WIW Well, located in Section 29 Township 1 North, Range 13 East, from 4,768 to 5,035 to an interval of 4,400 to 5,035 in the Selma Formation and the Eutaw Oil Pool. ORDER NO DECISION - APPROVED AFFIDAVIT (EMERGENCY) BAXTERVILLE FIELD Lamar and Marion Counties. Petition of Tellus Operating Group, LLC, requesting the Board to approve the plugging of the F. M. Snowden No. 9 Well, located on a 40-acre oil unit, situated in the NW/4 of the SE/4 of Section 6, Township 1 North, Range 16 West, as an exception to Statewide Rule 28. ORDER NO DECISION - APPROVED AFFIDAVIT (EMERGENCY) NORTH SAND HILL FIELD Greene County. Petition of Thomas Blanton requesting authority to increase the injection interval in the M. L. Meadows No. 2 SWDW, located in Section 33, Township 5 North, Range 8 West from 3,940 to 4,500 to an interval of 2,180 to 3,940 in the Upper Wilcox Formation. ORDER NO DECISION - APPROVED AFFIDAVIT (EMERGENCY)

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