Goshen County, WY

Hawk Springs Project: ~20,000 leased acres
(50% Samson leases in orange colored tracts,
100% Samson leases in yellow colored tracts )

Samson lease map with time structure contours of the Top of the Niobrara Formation

Samson acquired a 63 square mile 3-D seismic survey over its Hawk Springs project area in early 2011. After the 3-D survey was processed and interpreted, Samson developed an inventory of Niobrara, Muddy/Dakota, Sundance, and Permo-Penn prospects. The first prospect drilled on the 3-D survey was an azimuthal anisotropic velocity anomaly in the Niobrara Formation which indicates fracturing. As a result, Samson discovered the first oil production from the Cretaceous Niobrara Formation north of Silo Field in the northern D-J Basin. Production from the Defender US33 #2-29H well has been sporadic due to mechanical issues with pumping the well. The issues have ranged from gas locking of the pump jack to paraffin and asphaltene plugging of the pump and wellbore. Samson is making progress in learning how to treat these issues and is beginning to establish a consistent production rate of about 75 BOPD while maintaining a high fluid level in the wellbore. Further experimentation with the pump (i.e. increasing the pump rate) is in the plans to increase the production rate. To date, the well has produced approximately 10,000 BO. Further Niobrara development is pending the results observed in the Defender well.

The Spirit of America US34 #2-29 well is Samson's first exploration test of the Permo-Pennsylvanian section. The SOA well was successfully drilled to a total depth of 10,634 feet using a conservative drilling approach to penetrate the troublesome Permian salt section along with heavy weight, oil based mud. 31 feet of log pay was discovered in the Pennsylvanian section at a depth of around 10,000 feet and 23 feet of log pay was discovered in the Permian section at a depth of around 9,300 feet. The well is currently being completed with 3 stage fracture stimulation job. Subsequent drilling of additional Permo-Penn prospects in the area are currently being planned for 2013, with the next well being the Bluff Federal #1-12 which will be over 2,000' shallower than the SOA well and located within a 4-way structural trap