DELP holds a 65% W.I. in 902,000 gross acres offshore-Lake Erie. The location of DELP’s natural gas assets provides market flexibility given their proximity to the Dawn natural gas storage hub.

 

Natural gas production comes from Silurian age sandstone and carbonates at 550 metres average geological depth. The properties’ main producing horizons are Grimsby, Whirlpool and Guelph formations. Going forward DELP will evaluate the numerous offshore drilling and workover locations.

 

65 percent DELP-owned Offshore Natural Gas Assets (March 2010)

 

Production: 10.5 mmscf/d
Proved reserves: 59.7 bcf with a reserve-life-index of 15.5 years*
Average working interest: approx. 65 percent
2D offshore seismic – 8,496 linear km
3D offshore seismic – 292 square km

 

* Dec 31, 2010 independent evaluation by AJM Petroleum Consultants.

 

2011 Work Program

 

• Drill 3 wells to add reserves and production
• Abandon 15 wells
• Workover wells as necessary
• Install electronic production monitoring devices offshore