Ky/Tenn Report

Volume 14, Number 12 December 2007

TOGA BOARD CONSIDERS DUES INCREASE - The Tennessee Oil & Gas Association Board of Directors voted at its December 1st meeting in Knoxville to name a committee to recommend a structure for a membership dues increase. President Wagoner pointed out that TOGA's dues were the lowest in the nation and more funds were needed for legislative efforts. Bill Goodwin was named chairman of the committee with Bob Nelson and Jim Washburn as members. The committee is to report to the board before the end of 2007. The Board will meet via conference call to make a decision on the possible dues increase prior to 2008 dues invoices being mailed. To comment, contact any Board member or member of the Dues committee.

CHRISTMAS PARTY SUCCESS, THANKS TO SPONSORS, ANNE BYRD - TOGA was able to charge the 70-plus members and guests who attended the TOGA Christmas Party in Knoxville, December 1st, only $25 per person, although the cost was several times that amount, the sponsors helped make up the difference. Leading the sponsors with a $750 donation was Griffith Services, LLC. Other sponsors included: A.C. Insurance, Norris Well Services, Inc., B&H Supply, Inc., Fox Auto Sales of TN, Inc., Appalachian Production Services, Inc., Energy Management & Services, Inc., McJunkin Appalachian Jim Washburn, CNX Gas Corp, Aqua-Clear, Inc., Signature Oil Corp., Kentucky Oil & Gas Association, and Ky-Tenn Oil, Inc. Please remember to thank the sponsors for their continued support, and do some business with them. Thanks also go to Anne Byrd and her team that worked with Bill Ray to buy and wrap Christmas gifts for all who attended.

BIG WELL, RIG BURNS, NO ONE HURT - Wild Well Control has been brought in to kill an Atlas America LLC well that blew out and burned down a Griffith Services rig. No one was hurt. While drilling ahead, they drilled into a fracture at the base of the Ft. Payne on a well on the Anderson-Morgan County border. The crew killed the well with water, came out of the hole and shut in the orbit valve. It was several days before the crew could get back to the rig because of the weather. As they were rigging down, the well unloaded and blew off the orbit valve. When parts from the blast hit the rig, it caused a spark, which caused the rig to catch fire. Wild Well Control has been brought in to get the well under control. Those on the scene estimate the well will IP at 10 million cubic feet a day plus.

MONTELLO REACHES TD AT 9,580 FEET IN DEEP TEST - Montello Resources Ltd. (TSX Venture MEO) says it has reached total depth of 9,580 feet in what is believed to be the Pre-Cambrian basement on the Bowen #2 in Morgan County, TN. It also released the rig, which has rigged down and moved out. The company said the well evaluation process will now commence and that Montello et al are in the final stages of acquiring additional acreage in Morgan County. Earlier, Montello announced it had purchased the Bowden farm. It also announced that it has quit claim its interest in 52 shallow gas wells to Austin Development Corp, and that Austin will become operator of those wells. Austin also owns a 40% interest in the Bowen #2 well deep test.

DRILLERSMALL.COM - CUSTOM GIFTS FOR OUR INDUSTRY - Visit drillersmall.com, a brand new online store specifically for the drilling industry. (They are a TOGA member). It boasts one-of-a-kind, American-made gifts and awards for investors, employees, or that special driller in your life. Choose from a wide range of jewelry, mugs, hand-made chocolates and much more. Now is the time to show your appreciation to the drilling industry. And there is no better time than now, at Christmas.

LANDMAN SEEKING EMPLOYMENT - Sky S. Jones, 8502 Verona Trail, Austin, TX 78749, phone 817-584-3341, email skyjones2002@hotmail.com. Has contacted the TOGA office to let us know of his interest in relocating to the Tennessee or Kentucky area and work as a landman. A graduate of Baylor University, he is experienced in land leasing and management. We have a copy of his resume in the TOGA office.

OIL & GAS BOARD SETS SCHEDULE, CONSIDERS FEE INCREASE - During the recent Oil & Gas Board meetings, the Water Pollution Control staff asked the Board to consider a drilling permit increase to $500. The Boar agreed to hear the proposal at a meeting scheduled for March 5, 2008 to hear some pending contested cases.

TENNESSEE OCTOBER, NOVEMBER PERMITS:
Anderson County - Atlas America, LLC, Coal Creek Mining Mfg, Lake City, #CC-2186, 6190'; #CC-2196, 6055'; #CC-2182, 6095'; #CC-2179, 3895'; #CC-2181, 6055'; #CC-2178, 3925'; #CC-2177, 3900'; #CC-2172, 4200'; #CC-2171, 4150'; #CC-2120, 4000'; #CC-2189, 6180'; #CC-2191, 6125'; #CC-2190, 4080'; #CC-2183, 3980'; #CC-2187, 6115'; #CC-2184, 3975'; #CC-2216, 3980'; #CC-2215, 3940'; #CC-2214, 6205'; #CC-2195, 4045'; #CC-2185, 6230'; #CC-2173; #CC-2236, 3975'; #CC-2238, 3925'; / Windrock #CC-2802, 3605'; #CC-2202, 6165'; #CC-2219, 3920'; #CC-2124, 6120'; #CC-2220, 3960'; #CC-2201, 3885'; #CC-2217, 3920'; #CC-2218, 3850';#CC-2200, 5200'; #CC-2109, 5250'; / Duncan Flats, #CC- 2188, 4055'; #CC-2193, 3945'; #CC-2192, 6230'; #CC-2224, 3975'; #CC-2228, 4635'; #CC-1116, 4495'; #CC-2203, 4940'; #CC-1121, 5040'; #CC-1115, 4565'; / Petros, 5870'; / Clinton, #CC-2221, 4050'; / Heartwood Forestland Fund, LP, Gobey, #HW-1068, 2480'; #HW-1069, 2500'; Vinland Energy Operations, Coal Creek Co., Mfg., Lake City, #LC-17, 3200'; #LC-22, 4800'; #LC-21, 4400'; #LC-20, 3650'; #LC-19, 3600'; #LC-24, 4800'; #LC-23, 4800'; #LC-26, 3900'; / Windrock, #37, 3150'; #40, 3250'; #39, 3350'; #25A, 2200'; James C. Haskins, #7, 3200'; / Fentress County - Riverton - Young Oil Corp, Robert Cole, Etal #3, 2000'; #2, 2000'; #1, 2000'; Blue Energy, Inc, Ralph & Wheeler Bowder #6, 1800';
Clay County - Celina - Promethers Energy LLC., Albert Williamson #1, 1500'; Nelt Pennington #1-A, 1500'; Overton County - Alpine - McDonald Oil Co., LLC, Roger McDonald #1-M, 2000'; Young Oil Corp., Reba Copeland, #4, 200'; Chatham Drilling, Dixie White, #9, 2000'; #10, 2000'; National Energy Development, John Copeland, #1, 20001; Jeffery Wayne Williamson #1, 2000'; Riverside Oil and Gas, Inc., Mavis Norrod, #1, 2000'; Unit #R3, 2001' Young Oil Corporation, Chester Savage, Twin Well #5, 2000'; CD Newberry Kevis, Unit # 27, 2000'; JTS Resources, Ronald Smith, #1, 2000'; Ralph Smith #3, 2000'; #6, 2000'; / Mary Stevens, Jeffery Stevens #1, 2000'; Caprock Drillings , Vada McDonald & Elwanda Willer #3, 2000'; #2, 2000'; / Livingston - Chatham Drilling, Vaughn & Maynard #2, 2000'; Willie Fletcher #1, 2000'; / Oakalona - Carl Peterman #6, 2000'; Campbell County - Lake City - Vinland Energy Operations, Coal Creek Co., Mfg., #LC-25, 4400'.. Pickett County - Alpine - McDonald Oil Co., LLC, Laura Lewis #5, 2000'; Rome Oil & Gas Co., Coleman Crouch #3, 2000'; Koger DP, LTD., Jerry N. Poore #1, 2000; Hawkins County - - Camelot, Tri Global Holdings, LLC., Highlight #1, 2000'; Morgan County - Everton - Vinland Energy, Coal Creek, #CC-H14, 3000'; #CC-H12, 3000';Scott County - Robbins - OREA Energy Group, Baker-Senior #3, 2150'; #1, 2200';

KENTUCKY NOVEMBER PERMITS:
Barreen County - ONYX Int'l Exploration, LLC, Wendell Froggett #9 ONYX; Bell County - AMWES Exploration, LLC, George Robbins #2; Leslie Newham #1, #2; Thomas Hensley #1; Charlie Thompson #1; Daugherty Pet, Inc. WPP,LLC, #DPI-925; #DPI-363; Schofield Oil, Co., Middlesboro Country Club #2; Anderson Oil, Asher Land &Minerals LTD, #12; Clinton County - Young Oil Corporation, Mike Owens #3; Hay Exploration, Inc., Harold Littrell #3L; #4L; EB Conner Jr. Collins Sevier #1, #2; RKT Petroleum, LLC, Jimmy Brown #1; Collins Sevier #110; Spring Creek Resort, LLC, Linda Stetler #2; Harlan County - Equitable Production Co., Pardee Minerals, LLC #535521; Daugherty Pet, Inc. ET Heirs Creech #DP-1216; Knox County - Vinland Energy Operations, LLC, Edward Barton #1; BJ Mills #2; #3; #4; Ernest Taylor #3; John & Pamela Williams #1; ENPRO, Inc. #5, #3; Indian Springs Golf Club #1, #2, #3, #4; Gaddis Gas Company, University of the Cumberland's #8; Laruel County - Precision Enterprises, LLC, Jerry & Pamela Hickox #1; Jerry Hickox #2; Leslie County - Clean Gas, Inc., Edmond Collett #248; Letcher County - Equitable Production Co., Equitable Production Co., #567310; #566005; #567123, #566608; Kentucky River Properties, LLC, #566722; Quality Natural Gas, LLC, Ovie Holbrook, Jr. #1808, #1809; Gose & Mohn Heirs #1810, #1811; Virginia Brown #1800; Doris Collins #1806; Virginia Brown #1812; Gaddis Gas Co. Josephine Moore #1; Sandra Parker #1; Bradley, Charles R DBA Basin Energy Co., Fernando Heirs Cornett #2; Whitley County - AMWES Exploration, LLC, Henderson Settlement #1; Pipeline Holdings, Inc. Bobby McNeil #2;

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