Crimson Exploration Inc. (CXPO)

[Timothy Smith]

Woodbine Play getting bigger IMO.

The following is an excerpt from the October 31, 2012 press release by Crimson Exploration (CXPO), a small E&P independent involved in the play:

In Grimes County, TX, the Covington-Upchurch #1H well (67.8% WI), targeting the Woodbine formation, has been drilled to a total measured depth of 15,228 feet, including a 5,190 foot lateral. In preparation for completion operations, Crimson perforated only the toe stage of the lateral section which, during a 24-hr period, produced naturally (i.e. without fracture stimulation) at a rate of approximately 6.9 MMcfe/d, or 179 barrels of condensate, 205 barrels of natural gas liquids and 4.6 MMcf of natural gas. The well has yet to be fracture stimulated and the above rate represents production from only one of the fifteen (14 + toe) planned perforation stages. The production rate for the well is anticipated to improve upon conducting fracture stimulation operations along the entire lateral; however, it is not possible to estimate at this time what total production rate will be achieved from the full lateral section.