Stary Prospect

Stary prospect is a Middle Wilcox stratigraphic trap in Lavaca County, Texas located 110 miles southwest of Houston. The prospect is an isolated Wilcox channel sand trapped by surrounding shales near the base of the Yoakum Gorge and is adjacent to a productive Middle Wilcox reservoir with similar 3D seismic attributes. The Stary well will be drilled to 10,500 feet.

The potential reserves for the Stary prospect are 1.55 to 1.86 BCF equivalent net to KEI. KEI will operate and have 50% working interest in the well before casing point and 37.5% in the completion and all subsequent operations. KEI's proportionate estimated costs are US$53,000 for land, US$753,702 drilling and US$206,804 for completion.