Miller Notes Three Mile Creek Lease Fracing Results

Miller announced the results of a frac operation on the TMC 2 Well on its non-operated Three Mile Creek Lease (ADL 388233) in the Cook Inlet Basin, Alaska. Cook Inlet Energy, LLC, a wholly owned Miller subsidiary, holds a 30% Working Interest in the lease and elected to fully participate in the frac operation.

Production from the TMC 2 Well prior to the frac operation was at rates from 60 to 80 mcf/day. Following the frac operation, production rates gradually increased and leveled off at an average rate of 350 mcf/day. The frac operation, which was conducted this month, targeted 8 zones covering 125 feet of total pay. The Well Operator, Aurora Gas, LLC, who conducted the frac operation, stated that they "anticipate an increase in the recoverable reserves attributed to this well, along with an already proven 4 – 5 fold increase in deliverability."

"We are very pleased with the results from the frac operation at Three Mile Creek. We understand that, based upon the success of the fracking of the TMC 2 Well, the Operator is evaluating other wells on the Three Mile Creek Lease for similar operations," said Scott M. Boruff, Miller CEO. "Additionally, our team in Alaska, headed by David Hall, has begun evaluating the results of this operation with an eye towards the potential for applying this procedure to our exploration/development program on several of our gas prospects in the Cook Inlet Basin."

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