1. Forced Pooling by Gas & Oil Board Forced Pooling – Election Options for Gas Owners –Participating Operator’s proportionate cost hereunder shall be obtained by multiplying the Participating Operators’ “Percent of Unit” times the estimated Completed-for-Production Cost set forth (in an Authorization For Expenditure before the Board). Total Well Costs= $450,000 My family owns 13.33 acres in an 80 Acre Unit. What is my family’s investment share if we make an election to be a participating operator? Step 1: 13.33 / 80.00 acres = 16.67% Step 2: $450,000 X 16.67% = $ 75,015

2. Question 1: First Steps: VGOB Disbursement Approval, Order Preparation and Recordation The Process and Distribution of Payments from VGOB Escrow. Question 2: UNIT amount in Escrow = $10,000 My family owns 13.33 escrowed acres. The acreage is equally divided among 4 heirs. What is my and my sister’s share of the disbursement? Calculations: (1)13.33 acres / 20.00 acres escrowed= 66.65% of escrow amount. (2)$10,000 x 0.6665 = $6,665 to be disbursed (3)13.33 acres equally divided between 4 heirs (4)$6,665 / 4 heirs = $1,666 Question 3: Acres escrowed = 13.33 + 6.67 = 20.00 6.67 Acres 8.33%

3. The Process and Distribution of Payments from VGOB Escrow.