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Terrace Energy
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July 2012 Corporate Presentation
| Dave Gibbs | Page 7 of 11 |
May 24, 2013
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"July 2012 Corporate Presentation"
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Terrace STS Acreage 14416 Gross Acres / 3875 Net Acres Oil Window Gas Window A.W.P. (Olmos) Field Oil: 44 MMBO Gas: 420 BCF Location: LaSalle and McMullen Counties, Texas Target Formation: Olmos Shale Acreage Position: 14,417 acres gross / 3875 acres net Depth: +/- 8,950 feet Shale Thickness: +/- 330 feet Reserve Potential: 18 MMBOE – 35 MMBOE gross / 4 - 8 MMBOE net to Terrace Potential Drilling Locations: 50 - 100 gross locations / 15 - 30 net to Terrace Typical Well Parameters: Well Cost: $7.0 million Drill time: 19 days Lateral length: 4000’ Frac Stages: 12 – 16 Spacing: 80 - 160 acres per location Initial Production Rate: 600 BOEPD Estimated Ultimate Recovery: 351 MBOE STS Olmos Project SP5 46H #2 #1 STS 1-667H 7