Volume 7, Number 60 JUNE 2000

TOGA TO MEET AT ALLARDT, JUNE 22-TOGA will return to the Mountain View Golf Course and Lodge for a 6:30 p.m. (CST) meeting Thursday, June 22nd. To get to the club, from Allardt, which is just outside Jamestown, turn South (toward Crossville) at the four way stop. The Mountain View Golf Club and Lodge is on the left about 3 or 4 miles down the road. Dinner will be served prior to the meeting. As always, all are invited to attend and participate.

29^TH ANNUAL MEETING, ROARING SUCCESS-Nearly 100 TOGA members and guests (93 to be exact) participated in the 29^th annual convention in Knoxville, May 24-25. The convention opened on Wednesday evening with the Sponsors banquet, where the sponsors were given 1 minute for a commercial. Most chose to simply introduce their spouses and other representatives attending the convention. Sponsors who made the convention a success included: A.C. Insurance, Inc., Aqua-Clear, Inc., McJunkin Appalachian, B&H Supply, BJ Services, Inc., Basin Oil & Gas, Bill Ray, Citizens Gas Utility District, Countrymark Oil Corp., Daugherty Petroleum, ETC, Inc., Herb White, Halliburton Services, Mark Liming, Miller Petroleum, Norris Well Service, Ohio Kentucky Oil Corp., Pegasus Energy Resources Corp., Plutus Envirnomental Technologies, R.F. Energy, Rudy Energy, Rusty Liming, South Kentucky Purchasing Co., Target Oil & Gas Corp., Team Energy Services, Tengasco, Inc., Tennessee Petroleum Council, Union Drilling and Young Oil Corp.

The food cost alone for each delegate was more than $60, so the convention could not have been held without the $100 contribution from each of the sponsors. Please thank them and do business with them whenever you can.

GOODWIN ELECTED TOGA PRESIDENT, BYRD TREASURER- During the business meeting at the TOGA convention, Bill Goodwin, longtime executive director and editor of this publication, was elected President of association. Mark Liming was elected vice president and Ann Byrd was elected treasurer. Cressel Thompson and Ray Calvert were elected to the board of directors. Anne Byrd and Doug Clark were also re-elected to the board.

STRUCTURE BETTER DEALS FOR INVESTORS, TOGA MEMBERS TOLD-Ed Stillie, Blue Ridge Energy President, speaking during the technical sessions at TOGA, told the members that the key to raising drilling funds is to give investors a better deal that they have been getting in the past. Ron Zurawski, Chairman, Tennessee Oil & Gas Board opened the session with summary of 1999 Tennessee activity. Brandon Nuttall, Geologist with the Ky Geological Survey, showed the members how to mine oil and gas data in Kentucky, using the internet. Jeffery Smith, Directional Drilling Contractors, outlined the steps in drilling a directional well, followed by Terry Piesker, who gave the members some tips on completing Knox wells. Steve Norris, Norris Well Services, explained the new gas gun and Jim Hatcher, Plutus Environmental Technology, explained the company’s new paraffin-eating products. Prior to Stillies speech, Tom Halloran, Aqua-Clear, explained the company’s many products, available at McJunkin Appalachian.

YOUNG OIL HITS TENNESSEE WILDCAT-The Young Oil Corporation has drilled in the Ralph Dishman #2 in Overton County with an estimated IP of 200 barrels of oil a day.

The well, drilled to a total depth of 1150 feet, is located in Section 24, 1S, 51E, about five miles north of Livingston. The driller encountered a collapsed formation in the Sunnybrook at 915-1030 feet. "The bit drilled into the collapsed formation at a depth of 958 feet and then dropped 30 feet, indicating a virtual cave in the heart of the Sunnybrook formation," explained Anthony Young.

Young noted that this is the same thing that happened in the Ferguson well near Albany, Kentucky. They were deepening the well, drilled less than 5 feet, when the bit dropped and the well began flowing oil. This touched off a small oil boom in the area.

"We expect to have our well in production in about 10 days and expect to drill about 20 more wells in this newly-discovered field. Young and Ohio Kentucky Oil Corp., have about 2,000 acres in the area and are developing the leases on a checkerboard arrangement.

OPEC CAN’T PRODUCE ENOUGH OIL TO KEEP PRICES DOWN-The oil output increases agreed by OPEC in March may not be enough to keep oil prices down as a strong world economic growth boosts demand, the Organization for Economic Cooperation and Development (OECD) reported May 31^st.

TENNESSEE MAY PERMITS-Fentress County- B & B Oil Co. Inc., Permit #9522, Willard Bill Mitchell #4, Wilder Quad, 2000 ft./ Basin Oil & Gas Corp., Permit 9543, Sheldon G. Compton Heirs #1, Riverton Quad, 2000ft./ Franklin County-Twin cedars Exploration, Permit #9540, Twin Cedars #1, Estill Forte Quad, 1900ft./ Hancock County- Tengasco Inc., Permit #9544, R.D Helton Unit #2, Swan Island Quad, 5000 ft./ Overton County-Ohio-Ky Oil Corp., Permit 9526, Howard Young #1, Alpine Quad, 2000 ft./ Arnco Oil Co., Permit 9527, Union Bank & Trust 6A, Alpine Quad, 2000 ft./ Ohio-Ky Oil Corp., Permit #9528, Wayne Hancock #1, Alpine Quad, 2000 ft./ Arnco Oil Co., Permit 9529, Union Bank & Trust 5A, Alpine Quad, 2000 ft/ Young Oil Corp., Permit #9535, Ralph Dishman #2, Alpine Quad, 2000 ft./ John Henry Oil Corp., Permit #9536, Roger McDonald #3, Alpine Quad, 2000 ft./ Southern Energy, Inc., Permit #9538, Steve Cooper #2, Alpine Quad, 2000 ft./ Riverside Oil & Gas Inc., Permit #9539, Charles J. Vaughn #BH9, Alpine Quad, 2000 ft./ NAMI Resources, LLC, Permit #9541, Bruce Coleman #1, Alpine Quad, 2000 ft./ Pryor Oil Company, Permit 9542, Peggy Averitt Endecott Etal #3, Alpine Quad, 2500 ft./ Pickett County-Hood Energy, Permit #9530, I.M.O.L.P.H./Little Logan, Alpine Quad, 2000 ft./ Young Oil Corp., Permit # 9531, Ray Cravens #3A Twin, Riverton Quad, 2000 ft./ Ohio-Ky Oil Corp., Permit 9532, Connie Chapman #2, Riverton Quad, 2000 ft./ Ernest Elder, Permit #9533, Jim Marton #5, Riverton Quad, 2000 ft./ Ohio-Ky Oil Corp., Permit #9534, Wright-Holbert Unit #7, Alpine Quad, 2000 ft./ Basin Oil & Gas, Permit #9537, Ronald Hoover #1, Riverton Quad, 2000 ft./

SOUTHERN KENTUCKY MAY WELL PERMITS-Clinton County-Expo Oil, Inc., Permit #91134, Southeast Associates #18, 2000 ft./ Cherry Oil & Gas , Inc., Permit #91143, P Melton #504, 1999 ft./ Cherry Oil & Gas , Inc., Permit #91178, P Melton #506/ Steve Burchett Oil Co, Permit #91189, Joe Summers Well Big ED1/ Cumberland County-Jimmy Reliford Drilling Co., Permit 91171, Michael Boyles #4B/ Knox County-Columbia Natural resources, Inc., Permit #91135, Gatlif Coal Co. #824268, 3400 ft./ NAMI Resources Co., LLC, Permit #91169, Ron Dickson #1/ NAMI Resources Co., LLC, Permit #91180, Ron Dickson #2/ Monroe County-Lee Pfannenstiel, Permit #91131, Gene & Larkin Smith #1, 1000 ft./ Letcher County- J W Kinzer, Permit #91128, Pike Letcher Land Co. #1002, 5800 ft./ J W Kinzer, Permit #91129, Pike Letcher Land Co. #1003, 5800 ft./ Charles Bradley DBA Basin Energy Co, Permit #91165, N L Heirs Combs #1/ Charles Bradley DBA Basin Energy Co, Permit #91154, Teton Corp. #1/ Whitley County- Energy Associates, Inc., Permit #91139, Princeton Etal #EA24, 3000 ft./ Energy Associates, Inc., Permit #91140, Princeton Etal #EA25, 3000 ft./ Energy Associates, Inc., Permit #91141, Princeton Etal #EA25, 3000 ft./ Energy Associates, Inc., Permit #91161, Arnold Heirs Taylor #1/

GAS PRICES TOP $4, OIL OVER $25- Citizens Gas Utility District reports that the June price for natural gas is $4.32 mmbtu, the highest we have seen in years. South Kentucky Purchasing Company reports that on May 27^th they were paying $26 per barrel and then it went up to $26.50 on May 31. Crude oil prices dropped to $25.25 on June 1^st, eased up to $26.25 on the 2^nd and was $26.50 on June 3^rd

The Ky/Tenn Report is published monthly and distributed at no cost to oil and gas operators in Tennessee and Southern Kentucky. It is owned and operated by W.D. Goodwin, Inc., The editor is Bill Goodwin, e-mail: tmdbill@aol.com It is the official publication of the Tennessee Oil & Gas Association, 750 Old Hickory Blvd, #170, Brentwood, TN 37027. Phone 615.263.1291, fax 615.263.1282. Web site: www.tennoil.com.

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