Lookout Wash Field (Samson 18.2% Working Interest)

The Look Out Wash Field is located in the Washakie Basin, which is part of the Greater Green River Basin, and is currently producing from 20 wells on Samson's acreage. This field produces principally from the Almond Bar, which is a stratigraphically bound trap. Eight PUD locations remain to be drilled to the northwest of the main field wells. Several formations above and below this main target are gas productive including:

The Almond Fluvial formation, an interbedded sand, shale, and coal bed sequence, has until recently been considered a secondary target. This formation is now being included in completions and has added incremental flow rate and reserves on the Almond Bar which is the primary target in the field.

The Lewis Shale formation is the seal to the Almond Bar and regularly returns very large gas shows while being drilled. With the emergence of shale gas plays in the United States, this formation will be a candidate for future evaluation. Cabot (the operator) has recently proposed the LWU #30-17H well to test the Lewis.

The Lance formation is produced within the field and sits above the primary zone. The formation is gas saturated and will be exploited in the existing wells when the primary completed intervals are depleted.

The Ericson formation is located below the primary target and has been drilled through only once in the field, but has returned both gas shows and flows in the immediate area. The formation is not normally drilled in the current development phase but the existing wells have been engineered such that they can be extended into this formation/section/unit in the future.

The gas in Lookout Wash is gathered by Western Gas Resources, a third party gas gathering company, on behalf of the operator and the joint venture parties. In September 2006, Western Gas Resources installed additional compression in the field to reduce line pressure in the field from 650 psi to 235 psi. Production in the field initially increased by 26% from 7.8 mmcfgd (gross) to 9.7 mmcfgd (gross).