Tie-in of a well drilled by Blackpool in the Valhalla area of northwestern Alberta during the first quarter of 2005 has
been delayed due to surface conditions which are prohibiting access to the location. As a result, this well will not be on production until freeze up, probably in late November or early December of 2005. The well was drilled into the Montney Formation and offsets 2 wells with initial natural gas production rates of 6.6 and 9.0 million cubic feet per day, cumulative natural gas production to date of 2.113 and 2.533 billion cubic feet, and having current
natural gas production of 583 thousand cubic feet per day and 717 thousand cubic feet per day. Blackpool retains a working interest of 25% before payout and 37.5% after payout in this property.