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Desmarais Energy Corporation has two concentrated core areas: West Central Alberta and South East Alberta. The Company is a major land holder in the Barrhead area of West Central Alberta where it operates nearly 40 sections of prospective lands and approximately 25 kilometers of pipelines. Desmarais maintains an inventory of 3D and 2D seismic control on a variety of gas and oil prospects in this core area. In South East Alberta, the Company holds a 100% interest in 1600 acres of undeveloped lands, where an operated four to six well shallow gas drilling program is scheduled for Q2 of 2010. Desmarais is weighted 75% toward natural gas, but follow up drilling to offset a recent oil discovery may bring the weighting more toward a 50:50 balance with medium gravity sweet oil. Five drilling locations are surveyed, and a number of production enhancement projects have been identified. One of the surveyed locations is supported by proprietary 3D seismic and the target is liquids rich natural gas. Two potential locations have been targeted for medium gravity crude oil. The Company is poised to grow production substantially in the short term through low risk drilling projects and low cost enhancement projects. Management has the expertise and commitment to create shareholder value, while continuing to evaluate future opportunities. |