Ann: TTE 2013 Annual Report , page-58

monark,
They are producing only from the 17 foot perforation initially made. i.e. one zone. It is being managed to sustain a flow of about, I think, 100 bbls oil per day.

They have acquired some 3D seismic over the eastern Allen Dome flank ( Perry Ranch ) which has identified some targets they rate highly. After that I hope they will return to S2 and have a nice slow drill into that 5200 ft 'kick' they struck.( my thoughts only )

This is a risk business and nothing is easy. But they do have some exciting oil targets and a nice shale permit in WA that AWE are getting ready to drill in 1Q14. The market has completely underestimated this value and indeed why several large companies are now focusing on WA shale.

Regarding the production incentives I would hope that they would not draw down any payments while the company was cash flow negative. If I had my way I would get them eliminated or alternatively make them available to every shareholder.