North Stockyard Field (Samson 32% Working Interest)

Samson has an interest in 3,303 acres adjacent to the North Stockyard Oil Field, which is located in the Williston Basin in North Dakota. Productive reservoirs at North Stockyard include the Bluell and Bakken Formations.

The Harstad #1-15H well was drilled and completed as a Bluell well. The well is currently producing at rates between 90 and 100 barrels of oil per day. As a result of this success, a follow-up well was drilled to the southeast to test the limits of the Bluell zone. This was the Leonard 1-23H well. The logging operations conducted in the Bluell zone indicated very low porosity and permeability of the reservoir. So it was decided among all the working interest partners in the Leonard 1-23H well to drill deeper and test the Bakken Formation with a 6,000' horizontal leg. The Bakken had never been drilled before in the North Stockyard Field area so this was a true exploration test. Details of the well are currently being held tight, but early indications look positive for the Bakken in the North Stockyard area. If the Leonard 1-23H well proves to be an economic success, 5 additional wells will be proved-up and get drilled within the next two years in the surrounding sections on the Samson acreage. If Samson and the operator are successful in forming a unit over the entire North Stockyard area, 11 additional wells could be drilled because it would then allow wells to be drilled across section lines.

Following this stimulation, because the well reached its total depth in oil and gas shows at the toe of the horizontal section, two additional locations in the field have been identified that are expected to be drilled during the remainder of 2007 or early 2008.