Good Morning or Afternnon Jim,

I have just recently received your mail.

Regarding the results from the wells in Tennessee , these were announced in various news releases put out by the company prior to my arrival, excepting the Gas test.

Regarding the original JB#2 well. Tehe well drilled through a lost circulation zone. open hole logs were not able to be run. The well did not indicate any commercial hydrocarbons in the zone offsetting the JB#1 well. The cased logs showed significant gas effect at the base of the well and this zone was subsequently tested, again to n ocommercial gain.

The Morgan Highpoint wells 3,4,5 all had a similar log signature close to the so called oil zone in # 3 was the only one that flowed and the mulogs on 4 and 5 were not encouraging. All 3 had a good section of Chattanooga.

The oil zone was thought to be a fracture reservoir was poor but existed. It flowed 700 barrels or so as reported and ceased for all intents and purposes.

So what was gained for 10 million, certainly not an elephant or a sniff of one. A potential oil producing zone exists and we are currently working on it. There is gas in the Chattanooga but not commercial at these prices.

Do I want to spend more money than needed on an elephant discovered by the posters..certainly not. If an elephant exists I will find it but I can't put it there if it does not.

We are currently preparing a farmout brochure that will be available to the public and will be on the website before the end of september. The general public and potential investors or partners can then draw there own conclusions.

Please feel free to call me at 403 828 3780

my comments>

so if nothing...why not releases the logs and end the chase?