Dover Begins Production from its Slater Dome Prospect

Dover Petroleum has begun producing gas from six of its coalbed methane wells and one conventional well in the Slater Dome/Coal Bank Draw Prospect (the "Slater Dome Prospect"). The 18-mile gas gathering line that was constructed by Slater Dome Gathering LLLP, is connected to the Questar gas transportation hub south of Baggs, Wyoming. The Company owns an indirect interest in the gas gathering line through its ownership of limited partnership interests in Slater Dome Gathering, LLLP.

The Company and its exploration partners have nine gas wells at the Slater Dome Prospect. All of the wells have provided indications of the presence of economic quantities of natural gas. However, no estimate can be made at this time as to proven oil and natural gas reserves nor can the preliminary results of the development efforts be considered commercial, or proven conclusively until gas has been produced into a pipeline for at least six months. Initial flow rates are fluctuating and some time is needed to stabilize and announce a rate.

Slater Dome Inc, and its partners, anticipates drilling up to four additional coalbed methane wells in 2005 as well as implementing an extensive seismic survey and exploration program over the Slater Dome prospect.

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