Pel-Tex Current Activity Pel-Tex has a 10 Well Exploratory and Development Drilling Program and is preparing to seek an Investing Partner or Partners. Potential interested parties are to contact Earl P. Burke, Jr. - earlburke@peltex.com Description of each follows: Summation – Proposed Drilling Schedule 1. Big Mouth Bayou Sec. 28 Anticipated Reserves Anticipated Daily Production Projected Sale Value Spud Complete 81 Days On Production 3 to 4 months Estimated Payout 6.5 months 14,200' TVD Land Directional 49.7 BCFG + 596,400 BC 20 MMCFG/D + 240 BC/D $2.30/MCFG + $100Bbl Condensate DHC                     $5,749,000             100% WI CWC                    $1,492,000             100% WI Prod. Facility       $   795,000             100% WI Total Well Cost    $8,036,000            100% WI   2. East Cheniere Perdue Anticipated Reserves Anticipated Daily Production Projected Sale Value Spud Complete 82 Days On Production 3 to 4 months Estimated Payout 5.2 months 14,000' TVD Land Directional 44.5 BCFG + 900,000 Bbls. Condensate 20 MMCFG/D + 400 Bbls. Condensate $2.30/MCFG + $100/Bbl Condensate DHC                     $5,514,000             100% WI CWC                    $1,205,000             100% WI Prod. Facility       $1,055,000             100% WI Total Well Cost    $7,774,000            100% WI   3. Little Cheniere Anticipated Reserves Anticipated Daily Production Projected Sale Value Spud Complete 197 Days On Production 3 to 4 months Estimated Payout 3 months 22,000' TVD Land Directional 4.3 Trillion CFG + 215 Million Bbls. Condensate 80 MMCFG/D + 4,000 BC/D $2.30/MCFG + $100/Bbl Condensate DHC                     $25,361,000             100% WI CWC                    $  4,314,000             100% WI Prod. Facility       $  1,000,000             100% WI Total Well Cost    $30,675,000            100% WI   4. Bayou Cheniere Anticipated Reserves Anticipated Daily Production Projected Sale Value Spud Complete 60 Days On Production 3 to 4 months Estimated Payout 12.8 months 12,300' TVD Land Directional 15.8 BCFG + 50,592 BC 11 MMCFG/D + 35.2 BC/D $2.30/MCFG + $100/Bbl Condensate DHC                     $4,566,000             100% WI CWC                    $1,153,000             100% WI Prod. Facility       $   800,000             100% WI Total Well Cost    $6,519,000            100% WI   5. Pumpkin Ridge Anticipated Reserves Anticipated Daily Production Projected Sale Value Spud Complete 262 Days On Production 3 to 4 months Estimated Payout 3.2 months 26,000' TD Land - Vertical Hole 8.4 Trillion CFG + 280,000,000 Bbls.Condensate Miogy 5.6 TCFG + 280,000,000 BC (50 BC/MMCFG) Wilcox 2.8 TCFG + No Liquids Anticipated 100 MMCFG/D - 5,000 BC/D $2.3/MCFG + $100/Bbl Condensate DHC                     $33,878,000             100% WI CWC                    $  4,857,000             100% WI Prod. Facility       $  1,500,000             100% WI Total Well Cost    $40,235,000            100% WI   6. Big Mouth Bayou Sec. 20 Anticipated Reserves Anticipated Daily Production Projected Sale Value Spud Complete 57 Days On Production 3 to 4 months Estimated Payout 11 months 12,400' TVD Land Directional 30.6 BCFG + 122,400 Bbls. Condensate 12 MMCFG/D + 48 BC/D $2.30/MCFG + $100Bbl Condensate DHC                     $4,566,000             100% WI CWC                    $1,153,000             100% WI Prod. Facility       $1,000,000             100% WI Total Well Cost    $6,719,000            100% WI   7. Cheniere Perdue Ridge Anticipated Reserves Anticipated Daily Production Projected Sale Value Spud Complete 64 Days On Production 3 to 4 months Estimated Payout 6.2 months 12,250' TVD Land Directional 35.6 BCFG + 356,000 Bbls. Condensate 15 MMCFG/D + 150 BC/D $2.30/MCFG + $100Bbl Condensate DHC                     $5,078,000             100% WI CWC                    $1,404,000             100% WI Prod. Facility       $   870,000             100% WI Total Well Cost    $7,352,000            100% WI   8. Big Mouth Bayou Sec. 29 Anticipated Reserves Anticipated Daily Production Projected Sale Value Spud Complete 64 Days On Production 3 to 4 months Estimated Payout 13 months 12,500' TVD Land Directional 29.7 BCFG + 95,040 Bbls. Condensate 12 MMCFG/D + 26.9 Bbls. Condensate $2.30/MCFG + $100Bbl Condensate DHC                     $4,989,000             100% WI CWC                    $1,192,000             100% WI Prod. Facility       $   790,000             100% WI Total Well Cost    $6,971,000            100% WI   9. East Pumpkin Ridge Anticipated Reserves Anticipated Daily Production Projected Sale Value Spud Complete 262 Days On Production 3 to 4 months Estimated Payout 3.2 months 26,000' TD - Vertical Hole 6 Trillion CFG +200,000,000 Bbls. 4 Trillion CFG +200,000,000 Bbls-Miogyp Sand 2 Trillion CFG No Liquids Anticipate- Wilcox Sand 100 MCFG/D + 5,000 BC/D $2.30/MCFG + $100Bbl Condensate DHC                     $30,995,000             100% WI CWC                    $  4,626,000             100% WI Prod. Facility       $  1,500,000             100% WI Total Well Cost    $37,121,000            100% WI   10. Little Pumpkin Anticipated Reserves Anticipated Daily Production Projected Sale Value Spud Complete 69 Days On Production 3 to 4 months Estimated Payout 17 months 11,600' TVD Land Directional 10 BCFG + 40,000 Bbls. Condensate 10 MMCFG/D + 40 BC/D $2.30/MCFG + $100Bbl Condensate DHC                     $5,937,000             100% WI CWC                    $1,355,000             100% WI Prod. Facility       $   865,000             100% WI Total Well Cost    $8,157,000            100% WI Potential interested parties are to contact Earl P. Burke, Jr. - earlburke@peltex.com