announcement / pre-open, page-2

ABITA DISCOVERY PRODUCTION COMMENCED
HIGHLIGHTS
? The discovery well, SL 19706 #1, commenced producing from the 30 sand on 18 March 2012
with initial production being brought on stream at ~900 MCFD and 25 BCD with no water and
flowing tubing pressure of 2,995 psi on a 6/64 inch choke.
? The operator Clayton Williams will monitor the production until the flow stabilizes before
ramping up the production rate.
? This is the first and lowest sand that will be produced of the three completed for the initial
production period.
? Grand Gulf has 20%WI of the Abita discovery until project payout when it reverts to 15% WI.
? The well logged 171ft of net pay in 9 intervals.
? Recoverable resources estimated at 350,000-700,000 barrels oil and 8 BCF gas with additional
upside.
? The JV has completed a technical review of seismic and subsurface geology which shows a
possible field extension to north east and indicating a resource potential similar to the
discovery well.