Domestic Operations

• Matagorda County – we hold a 2.71% working interest in the 779 acre Harrison Prospect in Matagorda County, Texas. We have no present plans to drill on the Harrison Prospect.
• Live Oak County – we hold a 33.3% working interest before the casing point and 25% working interest after the casing point in a 146 acre lease block. A 3,500 foot test of the Hockley and Pettus formation was drilled in 2014. At December 31, 2014, the well was awaiting hook up. Production of the well commenced in January 2015.
• Yoakum County – We hold a 12.5% working interest in a prospect covering approximately 650 gross acres (81.25 net mineral acres) in Yoakum County, Texas.
• Reeves County –  The Company’s first two Reeves County, TX wells, the Johnson #1H (25% WI) and O’Brien #3H (11.1885% WI), both commenced commercial sales in November 2017.  The wells were both completed in the Wolfcamp A formation with an approximate 4,500′ lateral leg.

Our principal producing and exploration properties in Louisiana consist of the following:

• East Baton Rouge Parish – we hold (i) a 4.557% royalty interest in 2,485 royalty acres, as well as a 3.547% royalty interest in the Crown Paper #01 well, and (ii) a 5% working interest in a 1,300+ net acre lease block on which a 11,000 foot test of the BolMex and Nonioin Struma 1, 2, 3, 4 and 5 sands was drilled and completed in 2014.
• Vermilion Parish – we hold a 1.5% working interest in a 450+ net acre lease block on which a 15,000 foot test of the Discorbis 1, 2, 3, 4 and 5 sands was drilled and on production during 2014.

• Jefferson Davis Parish – we hold (i) a 10.9% working interest before payout and a 9.375% working interest after payout in a 7,000 foot well drilled, and brought on production, in 2014 testing the Cris H stringer and Cris H sand, and (ii) a 3.375% working interest after the casing point in the initial and subsequent wells on a 289 acre lease block in Jefferson Davis and LaFourche Parishes.