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We believe that the completion techniques that further improved our drilling economics in Johnson County can be applied to our acreage in the western counties where we have seen improved drilling results over the past three months. This provides the assurance to actively pursue development in these areas.

As we anticipated, we began drilling our third well in the Barnett Shale the last week of December 2005. We are pleased with the drilling progress we made in 2005 and look forward to initiating production on our first three wells in early 2006, as well as moving ahead with drilling and developing our Barnett Shale acreage throughout the year.

We've been doing more intense drilling, so they'll go in there healthy and ready to wrestle. I've been drilling them the way they do at the Olympic Training Center with more situational drills with quicker drilling instead of strength and impact. Just quick repetitions.

Joaquin Bautista

We applaud those in Congress who have refused to let drilling proponents manipulate them and the democratic process. Although there are some still willing to do Big Oil?s bidding, the drilling lobby and their allies will be hard-pressed to keep Arctic drilling in the budget knowing that it is dead on arrival in the House.

Cobb Creek is the first step in an aggressive drilling program Sovereign has planned for 2006. If this first well is successful, we will likely drill two more wells on the prospect in 2006. Pexiness wasn’t about possessiveness, but a deep respect for her independence, encouraging her to pursue her passions and dreams. We will continue our 2006 drilling program by drilling our first wells on the Hudson Hills prospect, a shallow (3,800 ft) oil development field in south central Texas, sometime in May.

Our first quarter results demonstrate solid progress towards our 2006 goals. Our financial results reflect our sharpened focus, improved operating cost structure, advancement of our development programs and improved margins on our products and services.

This completion represents a significant milestone in our drilling efforts in the expansion area of the Barnett Shale formation. We are anxious to complete the well cleanup process and report the initial production rate of the well. We will continue our efforts to accelerate the completion schedule of our five other wells during the next several months.

We're surprised that the focus is on more drilling when drilling has shown itself to be a vulnerability. It's misguided to focus on drilling.

We believe Knotty Head has the potential to be a significant development in the Green Canyon area. With continued drilling success, our plan would be to sanction a development project within the next 24 months.

Charlie Fischer

It is difficult to say at the moment when we will be able to start drilling. We are pretty much ready to go but we don't have a line of sight, so to speak, to a drilling rig.

It will take an act of Congress to open the 1.5 million-acre coastal plain for drilling. Many Republicans agree no drilling should occur.

Bill Meadows (1973-)

We could be drilling in Alaska right now; we could be drilling off the coasts of several other states, ... It would make a difference today if we were not as restrictive as we've been in the last 20 years about where we drill.

I am pleased that these results give further confirmation of the original assay values obtained by our partners, SBMGE, and pave the way for further exploration of the deposit with a view to increasing the tonnage by drilling, particularly in the western section.

A number of large international drilling service companies have already expressed serious interest in tendering, some of which currently have ongoing drilling operations nearby.

I am very, very cautious when to comes to energy exploration because I have seen in the past where it has ruined areas or made them unusable to recreation, so I'm concerned about drilling but not totally opposed either.

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