In the nine months ended September 30, 2009, the Company had no income (2008 - $46) and operating costs of $6,793 (2008 - $8,863) relating
to its Granlea, Alberta property which well watered out in late 2006 and was deemed uneconomic. Except for that incidental production, the
Company remained in the exploratory and development stage up to September 30, 2009. Effective October 1, 2009, the company will begin
having production and receiving revenue from the producing properties it acquired September 30, 2009 as described elsewhere in this report.
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