Lucero Energy Corp Com V.PSH

RE: Lack of volume...

[ajootian]

Also here is some info on the Michigan play from the Range Energy site: The Michigan Basin The Michigan Basin occupies an area of approximately 122,000 square miles underlying Southwestern Ontario in Canada, and the State of Michigan. The basin contains extensive belts of organic reefs composed of carbonate rocks (limestone and dolomite), formed under shallow seas in the Silurian period. The reefs are commonly very porous, forming good reservoirs, primarily for the entrapment of natural gas - although some also have oil potential. These gas-filled reefs are the principal prize for explorationists in the basin. Underlying Ordovician carbonate formations offer secondary targets of high quality crude oil. Hydrocarbon production from Silurian reefs in the Michigan Basin began in 1889 in Essex County in Southwestern Ontario. Subsequently approximately 122 gas pools have been discovered and developed in the Southwestern Ontario region of the Michigan Basin alone. The Canadian Gas Potential Committee in its 1997 report "Natural Gas Potential in Canada" estimated that the play in Ontario contains a remaining undiscovered gas potential of 150 billion cubic feet (bcf). Comparable estimates are not available for Michigan State, but the gas potential could easily be significantly greater because of the larger area of the basin there. The estimates of remaining exploration potential are insignificant when compared to the estimated undiscovered gas potential of the Western Canadian Basin of 176 trillion cubic feet (tcf). Corporate Activities Range Energy Inc. is currently producing approximately 50 BOED per day net to its interest from the highlighted properties. The Corporation has entered into a Joint Venture Drilling Program with a U.S. based industry partner to drill four exploratory test wells on or before year ending December 2002. Additionally, Range has also entered into a farmout agreement with the same industry partner to acquire a 6,000 acre three dimensional (3D) seismic program in the Dawn Area of Southwestern Ontario. The Corporation with its operator are finalizing plans to drill a development well at the Richards 1-20 location in Lenox County, Michigan, anticipated to commence drilling operations September 2002.