Ky/Tenn Report

Volume 14, Number 6 JUNE 2007

STATE WANTS TOGA'S ABANDON WELL PLAN--The first item to come out of the Stronger review, completed June 5th, was that the state is asking for TOGA's recommendation for a plan to deal with abandon wells. President Elect Scott Gilbert attended the meeting as TOGA's observer and drafted the following recommendations, that were discussed and approved by the Board of Directors via a conference call on Monday, June 11th. Please review this plan and make any recommendations directly to Scott Gilbert at Vinland Energy Eastern LLC., P.O. Box 6497, Oak Ridge, TN 37831, Phone 865-220-8662 or email: sgilbert@namiresources.com.

Please send a copy TOGA at 750 Old Hickory Blvd, Suite 150-2, Brentwood, TN 37027. Fax 615-599-1806 or email at: tmdbill@aol.com. We need all comments in by Friday June 22nd.

1040-2-9-.03 Deliverability Test.
As an alternate to the deliverability test, an operator may send a letter to the supervisor justifying the classification of subject well as a SIGW. Such justification can include one of the following:

1. A copy of the log with the productive interval marked.
2. Correlation to other wells in the area with production from a formation present in the subject well.
   In addition operator shall submit a plan for placing the well in production in the future.

1040-2-9-.05 Temporary Abandonment
If operator is unable to produce a well because of lack of market, unfavorable economic conditions, or other reasonable factors, operator may declare the well temporarily abandoned. To qualify for this classification the well must meet the following requirements:

1. The well must show evidence of potential production such as the requirements in 1040-2-9-.03 (SIGW) or if the well can be easily deepened to a producing formation.
2. The well cannot be an environmental hazard in its present condition.
   
3. Operator must present evidence that the well is not an environmental hazard. Such evidence can include:
   a. A log showing that surface casing is covering fresh water zones.
   b. Evidence that the surface casing was cemented to surface. Such evidence can be as follows:
   i. Cement tickets for that well.
   ii. If the permit date is past 1988. All wells were required to be cemented as surfaced after that date.
   iii. An Affidavit from the operator that he has personally inspected the well and there is no evidence showing lack on integrity of the well.

PTTC SCHEDULES SHALE WORKSHOP, JUNE 21-"A Comparative Anatomy of Devonian Shale Plans in the Appalachian, Illinois and Michigan Basins" workshop, will be held Thursday, June 21st at the National Research for Coal and Energy in Morgantown, WV. The fee is $125. For more information: Doug Patchen, Phone (304)293-2967x5446, Fax (304)293-7822 or email doug.patchen@mail.wvu.edu.

LACK OF ROOM DELAYS CLASSIFIEDS AGAIN-A recent article about the oil business in Tennessee sparked dozens of calls to the TOGA office with folks wanting to lease their land for exploration. We usually run these as free ads, but the convention report filled up last month's newsletter and this month the need for an abandon well plan by the state is knocking the ads out again. Hopefully, we can get them all in the July issue.

CONVENTION AUCTION NETS MORE THAN $18,000-Thanks to the donors and buyers: 2 UT football tickets, donated by New River Energy, Winning bid: Chris Farmer, Tennessee Rotary Drilling/ 2 UT Football Tickets, donated by Knox Energy, Winning bid: Chris Jeffers, H-Jett/ 2 UT football tickets, donated by Wells Fargo, Winning bid: Vicki Guess, Griffith Services/ APS Knife Tool, donated by APS, Winning bid: Jerry Carr, Tennessee Rotary Drilling/ Rabbit with installation, donated by Multi-Plunger, Winning bid: Scott Gilbert, Vinland Energy Eastern/ Hammer bit, donated by JD's Bits, Winning Bid: Ronnie Griffith, Griffith Services/ 1000 gallon acid job, donated by Universal Well Services, Winning bid: Anthony Young, Young Oil Corp/ Sweatshirt, hat and jacket, donated by Schramm, Inc., Winning Bid: Jackie Wagoner/ 25% off logging job, donated by Norris Well Services, Winning Bid: Anthony Young, Young Oil Corp/ 100ft casing, donated by McJunkin Appalachian, Winning Bid: Scott Gilbert, Vinland Energy Eastern/ Heavy tension packer, donated by Parmaco, Winning Bid: Ronnie Griffith, Griffith Services/ Plugging Job, donated by KTO, Inc., Winning Bid: Mike Bransletter, Young Oil Corp/ Used Pumpjack, donated by Miller Petroleum, Winning bid: Bill Goodwin, KTO Inc./ Tool Kits, donated by Roberts & Sons, Winning bids: Lynn Wagoner, Signature Oil Corp/ Golf Bag, donated by Westerman Companies, Winning bid: Greg Shockley, Wells Fargo Insurance Services/ Foamer, donated by Aqua-Clear, Winning bid: Jerry Carr Tennessee Rotary Drilling/ Cooler and golf balls, donated by Balon Valves, Winning bid: Bill Goodwin, KTO Inc./ LCD TV, donated by Phoenix Specialty, Winning bid: Bill Ray, Bill Ray Oil Producers/ Golf Tickets, donated by Vinland Energy Eastern, Winning bid: Tom Halloran, Aqua-Clear Inc./ 3 doz. golf balls, donated by Griffith Services, Winning bid: Ronnie Griffith, Griffith Services/ 50% off stimulation, donated by H-Jet Well Services, Winning bid: Mike Bransletter, Young Oil Corp.

TENNESSEE MAY PERMITS: Anderson County - Ariana Energy LLC, Dennis Phillips Etal #1, 3250', #35, 3100', James C Hoskins #3, 3400', #5, 3100', #6, 3130', Windrock, #LC-9, 4300', #LC-11, 4400', #LC-8, 4200', Lake City / Atlas America, Coal Creek Mining & Mfg CC1108, 3850', CC1109, 3495', Petros / Claiborne County - Daugherty Petroleum, Inc., Ataya Hardwoods LLC, DPI479, 4310', Forkridge / Fentress County - Discovery Petroleum, Inc., Kyle Cooper #1, 2000', Riverton / Jackson County - Promethius Energy, LLC, John Carricg #1, 1500', Burrstown / Hawkins County - Ridge & Valley Exploration, Randall Burton #1, 1100', Camelot / Morgan County - Atlas America, LLC, Coal Creek Mining & Mfg, CC2506, 3325', Petros, Heartwood Forestland Fund LP HW-1503, 4235', HW-110, 8995', HW-150, 4010', Gobey, Knop Energy LLC, Thi Coal Creek Co., CCH-1001, 3550', Petros / Fund 7 Domestic BR-1141, 3875', BR-1140, 6150',Gobey / Overton County - National Energy Dev, Inc., James L Bilberry #2, 2000', Alpine / Young oil Corp., Alva Dean Seber, #1, 2000', Dale Hollow Res SE 1968 / Capp Rock Drilling Op Co., Voda McDonald & Elanda Waller, 2000', Alpine / John Henry Holding, Inc., Roger Mc Donald #23, 2000', Hershel Wilson, #1, 2000', Chester Savage Heirs #3, 2000', Alpine / Will Parrish, James L. Bilbrey, JP#1, 2000', Alpine / Riverside Oil and Gas, Inc., Bernice Maynord, #3, 2000', Livingston / US Energy Partners, Inc., Gary Holpp #3, 4000', Clarkrange / Consolidated Oil & Gas Corp., Dr. Michael T. Cox #3, 2000', Alpine / Pickett County - Source Oil & Gas, Inc., Fred W. Clark #6, 2000', Byrdstown / Explo Oil, Inc., Clay Walker Etal #1, 2000', Moodyville / Scott County - Charlie Taylor, Etal (Addington) AD1092, 3875', Norma / Outdoor Resources, Inc., Jerred Henry #1, 2000', Overton South / Atlas America, Fund 7 Domestic BR-115, 2560', Norma, BR-1143, 3720', BR-1142, 3890', Gobey, BR-1144, 3950', Br-1128, 2760', Fork Mtn

KENTUCKY MAY PERMITS: Barren County - Lyle Energy & Development, Inc, Sexton, David, #LE2, #LE1, Knox Gp / Xapex Energy, Inc, Carter, Oscar, #1, Leipers Ls / Bell County, Nami Resources Company, LLC, South Mississippi Electric Power Association, #139, #140, Corniferous / Clinton County - International Consultants Of Naples Inc., Dickerson, Steve, #3, Fort Payne Fm / Page, Allen, Elmore, Gertrude Mae, #2, Sunnybrook / Foothills Oil & Gas, Brown, Danny, #2, Knox Gp / Cumberland County Tenalta Energy, LTD, Back, Michael & Terry, #1, Granville / Sunset Energy, LLC, Riddle, Earl, #10, #12, Knox Gp / Knox County - Nami Resources Company, LLC, Mills, Don ET AL, #4, Mills, Will, #1, Lickliter, Carl, #1, Hampton, Ted, #2, Maiden, Joy, #1, Brown Willie, #2, Clinton Sh, Enpro, Inc., #1, #2, Corniferous, / Gaddis Gas Company, Robbins, Clyde T ET AL, #1, Logan, Willie ER AL, #1, Clinton Sh / Daugherty Pet, Inc., Skinner FLP, LTD, #DPI_975, Devonian, LP / Laurel County - Amwes Exploration, LLC, Stanberry, Lowell, #1, Gaddis Gas Company, Robbins, Clyde T ET AL, #1, Logan, Willie ET AL #1, Clinton Sh / Precision Enterprises LLC, Owens, Lonnie & Pamela, #PRI-3, RHS Investments, Inc., PRI-1, Knox Gp / Lawrence County - Abarta Oil & Gas Co, Inc., Boggs, James, #2, Rose Hill / Leslie County - Nami Resources Company, LLC, South Mississippi Electric Power Association, #133, #134, Corniferous, / Equitable Production Company, Kyoga Land Company, #567289, Devonian, LP / Daugherty Pet, Inc., WPP, LLC, #DPI-996, #DPI-1403, #DPI-1402, #DPI-1401, Corniferous / Nami Resources Company, LLC, South Mississippi Electric Power Association, #129, #132, #138, #141, Corniferous / Letcher County - Kinzer Drilling Co., LLC, Smith, Irene B ET AL, / #1356, Devonian, LP / Cobra Petroleum Production Corp, Kentucky River Properties, LLC, #110A, Devonian, LP / Equitable Production Co., Equitable Production Co., #566765, Devonian, LP / Clean Gas, Inc., Equitable Production Co., #144, Depue, Jack D & Stella, #224, #222, Devonian, LP / Pike County - Chesapeake Appalachia, LLC, Kentucky Berwind Land Company, #826498, Devonian, LP / Whitley County - Energy Associates, Inc., Princeton ET AL, #EA57, #EA58, Clinton Sh / Nami Resources Company, LLC, Woodward, James, #1, Clinton Sh / Jackson, Howard DBA Jackson Enterprise, H & J Land, #63, Lawson Talmadge, #64, Devonian, LP

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, #150-2, Brentwood, TN, 37027. Phone 615.371.6137, Fax 615.599-1806. Web site: www.tennoil.com.

KY/TENN REPORT
750 OLD HICKORY BLVD, #150-2
BRENTWOOD, TN 37027