We currently have three horizontal rigs drilling in the basin. Our plans have us growing to four in the April timeframe and then five in the second half of the year. These rigs will move around but on average we’ll have three to four in Wattenberg with one shared between Northern Colorado and Wyoming. Our goal is to accelerate activity in areas where we know the potential is defined. For us this is in Wattenberg, both in the core of the field and on the edges, areas where we have nice success to date and our growth outlook is not constrained by infrastructure. We’ll continue delineating our acreage position in Northern Colorado and Wyoming but at a more paced approach as compared to our plans for Wattenberg. This gives us time to test a number of different areas, learn from others in the northern part of the play as well and allow for needed infrastructure development.

In Wattenberg, including both the core of the field and the edges, we have now drilled and completed over 25 horizontal wells. So far results have confirmed high quality Niobrara horizontal potential across half of this 400,000 acre position. Twenty-one of our wells have been online for more than 30 days with an average 24-hour IP of about 750,000 barrels of oil equivalent per day, and a 30 day average of over 500 barrels of oil equivalent per day at 45% to 75% liquid content. In the heart of the field we have just now completed our sixth well, and the overall results are very strong. One of our most recent Gemini type wells, the Hanscom (ph), started with a 24-hour IP of over 1,250 barrels of oil equivalent per day and averaged 900 barrels of oil equivalent per day for the first 30 days on a restricted choke up the casing.

We’ve completed 13 wells testing the outlying edges of Wattenberg. Liquid contribution in this area exceeds 70% and has allowed us to drill economic horizontal wells where vertical wells were previously marginal. Our latest estimate based on production history and our updated outlook for horizontal Niobrara, EURs in Wattenberg is around 310,000 barrels equivalent per well, up from our previous 290,000 estimate.

In northern Colorado we have drilled and completed four wells in our 190,000 acreage position to date. We are encouraged with the results of our first two wells drilled with IPs that were 500 to 600 barrels of oil equivalent per day and 85% oil contribution. Analysis indicates we did not effectively stimulate our next two wells, and we have adjusted our planned completions for the following three wells in this area. We’re still optimistic about what we have learned so far, and our fifth well in the area will be completed by the end of February, and the next two will be completed by early April.

The third phase of our horizontal Niobrara program is in southeast Wyoming where we have drilled three wells. Two are undergoing completion operations and one has just been completed and put on artificial lift. Our next drilling in this area will begin in the second quarter.

Supporting our overall DJ Basin program in 2011, we have committed to the purchase of approximately 1,000 square miles of spec 3D seismic, and will be integrating the data into our future plans during the second half of the year. Across our 830,000 acre position, we will have 1,300 square miles of 3D by the end of the year.

2011 Update - In the DJ Basin, the acceleration of our horizontal Niobrara play continues. We are operating 5 horizontal and 8 vertical rigs in the DJ Basin and are on pace to have over 80 horizontal wells drilled this year in the Wattenberg field. Additionally, we plan to have drilled 7 horizontal wells in northern Colorado and one in Wyoming by year end. Of the wells in Wattenberg, 15% are in the higher GLR area and the remainder in the lower GLR areas of the field where we've experienced roughly 70% liquids.

Our pace of drilling and completions continues to increase. In the third quarter, we completed an average of 8 horizontal wells per month, including 10 in September, a significant acceleration from the 4 completions per month that we averaged in the second quarter. We expect to maintain a rate of 10 horizontal wells completed per month throughout the fourth quarter. This activity level is translating into production growth. At the end of September, our horizontal Niobrara production was 14,500 barrels of oil equivalent per day gross or 11,500 barrels of oil equivalent per day net to Noble Energy. This is up 64% from the 8,900 barrels oil equivalent per day gross at the end of the second quarter. We feel very good about the momentum of this program.

ConocoPhillips will become operator of the acquired leases and will begin exploration efforts　as soon as possible with the acquisition of a 3-D seismic survey and drilling of test wells

Anadarko Petroleum Corp. (APC) - Anadarko Petroleum APC has provided a drilling update in the Niobrara Shale - Anadarko continued to evaluate the horizontal Niobrara opportunity in its industry-leading 900,000 net acreage position in the DJ Basin. The vast majority of this acreage is economically advantaged by the company's fee mineral ownership via the Land Grant. With three horizontal rigs active in the play during the quarter, Anadarko drilled 10 horizontal Niobrara wells and is currently producing from 15 wells. The company has an additional 360,000 net acres of horizontal Niobrara opportunity in the Powder River Basin, where the company plans to add a rig in the 3rd quarter to test multiple locations. Anadarko plans to drill more than 40 horizontal Niobrara wells during 2011.

Update - In November 2011, Anadarko updated the resource potential of its horizontal Niobrara and Codell opportunities in the liquids-rich Wattenberg field of northeastern Colorado. Based upon the results of this horizontal drilling program, the company announced a net resource potential within the Wattenberg field of 500 million to 1.5 billion BOE, with significant additional potential outside the field boundaries. Anadarko is currently operating five horizontal rigs in the Wattenberg field and two additional horizontal rigs that are evaluating liquids-rich opportunities in Wyoming's Powder River Basin. To enhance the strategic alignment of its upstream and midstream assets in Colorado, Anadarko acquired the Wattenberg Plant in March 2011. This acquisition, combined with Western Gas Partners, LP's (WES) acquisition of the Platte Valley Plant and WES's ownership of the Fort Lupton Plant, along with other midstream assets, is enabling continued growth and value-enhancing opportunities within the Wattenberg field and greater DJ Basin.

We recently completed two new producers at Redtail. The Wildhorse 16-42H produced at a daily rate of 430 BOE from the Niobrara "B" zone on April 13, 2012. The well was drilled to a total vertical depth of 6,280 feet on a 640-acre spacing unit in the southwest portion of the Redtail prospect. Its 4,212-foot lateral was fracture stimulated in a total of 20 stages, all using sliding sleeves. We own a 100% working interest and an 80% net revenue interest in the Wild Horse well. Approximately two miles northeast of the Wild Horse 16-42H, the Wolf 35-2623H was completed in the Niobrara "B" zone with an initial production rate of 426 BOE per day on January 20, 2012. The well was drilled on a 960-acre spacing unit, and its 6,341-foot lateral was fraced in a total of 31 stages. Whiting holds a 100% working interest and an 80% net revenue interest in the Wolf 35-2623H.

Due to these favorable drilling results, we plan to step up our drilling activity at Redtail in the second half of 2012. Our previous eight-well drilling program has been increased to 17 wells. Of these, two were drilled in the first quarter of 2012. Utilizing recently acquired 3D seismic, we expect to drill 13 of the remaining wells along a 14-mile trend delineated by our Wildhorse 16-13H discovery well, which had an initial production rate of 1,321 BOE per day, and our Horsetail 18-0733H, which had an initial production rate of 718 BOE per day. The remaining two wells will be drilled to further de-risk our acreage position at Redtail. We expect to resume drilling operations at Redtail in June 2012, and we plan to add a second rig in the third quarter of 2012.

Wattenburg and Chalk Bluffs – Current DJ net production is approximately 1,100 Boe/d. The DJ Program was initiated through an acquisition in mid-2011. Since then, the Company has nearly doubled production through development drilling, successful evaluation drilling, and improving production through re-fracture stimulation of existing wells. The Company plans to add a second rig in the basin this month, and the full year 2012 program includes approximately 28 gross/17 net operated wells, all of which will be horizontal and target the Niobrara formation.

During the first quarter of 2012, the Company initiated drilling on its Chalk Bluffs acreage, drilling and completing two horizontal wells into the Niobrara "B Chalk" formation. Results to date are very positive with the first and second wells having peak 24-hour initial production ("IP") rates of 841 Boe/d and 968 Boe/d, respectively, and average 30-day rates of 417 Boe/d and 456 Boe/d, respectively (not consecutive 30 day periods as wells were put on pump). The Company currently has approximately 17,300 net undeveloped acres in the Chalk Bluffs area. It is too early to determine corresponding EURs from results to-date, yet horizontal success in the Niobrara opens the potential for sizable expansion of the DJ Program.

At March 31, 2012, the Company had an approximate 91% working interest in production from 220 gross wells.