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Saturday, 05/31/2008 7:52:43 AM

Saturday, May 31, 2008 7:52:43 AM

Post# of 51429
The field trip to SEK/Hemi operation was outstanding and being a shareholder in Hemi Energy the information, education and ability to see first hand these SEK sites for me will pay dividends over and over to assist in the complete understanding of the Hemi SEK operation. Enclosed is an outline I put together last night on my flight back

Craig and John thank you for the time, in depth and detailed tour of ALL the Woodson County Hemi SEK lease sites, well sites and potential leases site in this SEK Woodson county area.

Jerry, Les and George it was a pleasure to meet you and as we bumped into you from HMGP lease site to lease site on the Friday morning driving tour; your dedication, workmanship and attentive up keep on these sites and jack heads compared to other O&G well sites and pumps in this area are far superior in the overall condition.

My purpose to visit the Hemi SEK field sites was not to challenge, drill, or second guess Hemi on every little detail or issue, that some put out on the HMGP IHUB general board, but rather an opportunity to let Craig and John just show me the Hemi SEK O&G lease site goods and discuss specifically the Hemi SEK operation, the techniques that are being applied to the O&G development and enhancements and the strategy for selecting specific locations of the current HMGP leases and potential new HMGP leases.

For those that have any doubts about the Hemi O&G operation in SEK, after my visit to the Hemi SEK field operations, let me assure you this Hemi Energy operation is completely whole, it is real and Hemi is pumping oil and backing gas behind pipe. If some want to call this Kool-Aid then I say pour me this kind of Kool-Aid; I'll drink it all day!!!

The following from Friday 5/30:

Some quick geography of the tour that Craig and John gave me on the Hemi sites and Woodson county. All the lease sites that I toured were just west of Piqua, KS separated by RT 54 which runs East/West thru Woodson; the Hemi sites are located both north of RT 54 and south of RT 54.

The morning started with a great breakfast at the Colony Diner 6:30AM, great people and an outstanding breakfast. From there we first toured the sites south of RT 54:

Collins site – since this is a tight hole status let me just say it is ready to become a very nice operational well. Will let KA and Craig decide when info is to be released.
Tebbens site – Clean, easy to locate and yes the jack pumps where running, and a load was just pick up!!!!
Reno site – Again clean and those jack pumps were running there too.
Purnell sitePumps a running and again clean storage and battery area
Weber sitePumps a going there too and those tanks again nice and white.

From the above leases combined I observed from the roadside at least 25+ operation jack pumps not including additional ones that can not be seen from the roadside or a short ride into the field.

Next we went a bit north across RT54 and visited;

Driskill site, Weseloh site

My take away from these two sites; they are very closed together less than a mile apart and are in an area where jack pumps are running wild on other fields in this same area which tells me this is fruitful ground for an oil pump site (s) to be located. With the completion of the Collins, followed by Weseloh and Driskill along with all the activity surrounding these sites, IMO this could become the new Big Three for Hemi to compliment the other producing Hemi SEK lease sites.

Pre site work has been completed by Hemi and McPherson is set to go. Just seeing these two sites and the other activity in this immediate area up front and one knows that Hemi has selected a great potential area for oil production and gas behind pipe.

If you are not aware, Memorial Day weekend brought 4”-6" of rain to this area; Craig & Keith made a very smart and proper business call last week to hold off a week to allow the ground to dry out. There was no way that equipment was going to get in there last week and why spend an additional thousands of $$$$ when with a dry week mother nature will provided. Although some areas were still a bit wet, on Friday it was sunny a very nice breeze and temps pushing 95. McPherson confirmed with Craig that they would be there Monday 06/02 to start the Weseloh and then move on to Driskill.

Craig made hotel reservations to be back Monday as we check out on Friday morning for next week. Keith will be joining too. Unless mother nature makes an abrupt turn over the weekend......this will happen next week.

From there we continue a bit further north and toured the Scheibmeir lease sites and again Craig provided a very in depth overview, sharing his years of experiences, for picking these area as well as the potential for Hemi.

Again as I have stated a number of times before, this trip just confirms further for me the Hemi business strategy that Hemi states as a mission statement regarding SEK on it’s web site since day one. The Hemi business plan is in tack and the primary focus remains in place. Craig and Keith are clearly steering the Hemi ship on a very successful course in this SEK Woodson county area as an O&G driller and producer.

Combine this with the efforts of Keith and John in the Tarrant County/Barnett Shale, Texas area along with the other features of Hemi (Sabine, Bakken, New Mexico) and IMO this is a very powerful combination that will lead Hemi to a successful outcome with this business strategy and model that is in place.

As I indicated, my purpose was not to challenge Hemi or to question Hemi on every little detail or issue but rather to let Craig and John just show me the Hemi SEK goods and discuss specifically the Hemi SEK operation, the techniques that are being applied to the O&G development and enhancements and the strategy for selecting specific locations of the current HMGP leases and potential new HMGP leases.

Which is exactly what Craig and John did and why IMO this trip for me as a shareholder provided the features and benefits that will pay many going forward dividends.

So much more information from this trip that I need to organize and assemble based on the tour and information that Craig and John provided.

Any specific questions please send me a PM. I will get back to those that PM’ed me with specific questions prior my trip.

Kels







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