resource estimates, page-9

Hi,

A couple things about the report, its based on 640 acres and think they were going by tested results on ismay and barker creek. For alkali and leadville think went by the drilling results of gas shows when reached.

They left out 6 other formations 4 of which had gas shows the other 2 not reached.

The golden eagle structure is on 2000 hectares or 4942 acres. So if wanted to guess an estimate on the area for the full structure of 2000 acres then could be looking at p90 ismay 61bcf, barker creek 52bcf, alkali gulch 70bcf, leadville 23bcf but this is the main target since start of drilling with high expectations so this number is very low but gdn now atleast has some estimates for individual formations based on testing on pb1.

That is a p90 estimate of around 206bcf between the 4 over the full structure

When pb2 is completed and tested might have another 4-6 formations that could be added to those numbers or better flow rates to increase the p90 numbers on the 4 current formations reported.

Back in 2005-2006 when they first had reports out they said 50bcf was good enough to be commercial, on 640 acre estimates which the results from today are on p90 are over half way to that 50bcf. The results from this well will most likely increase the p90 estimates on the current 4 formations.



After this structure gdn still have another 21000 acres of land to explore since this golden eagle strucutre only covers 4942 acres.