Management estimates the gathering system will connect approximately 70% of the current daily oil production by year end 2009. Additional tank batteries will be added as rapidly as possible. Management estimates that 95% of the total oil production from the Fuhrman-Mascho will be transported by pipeline when completely finished. Not all existing tank batteries will be part of the new gathering system. Approximately 5% of current production will continue to be trucked.
Phil Terry, president and chief executive officer, stated, “We are pleased to announce that we began construction October 16, 2009 and anticipate completion before the end of the year. The gathering system tie-in with pipeline transport will provide more marketing options and possibly additional increases in revenues.”
