Implementation of the East Binger Unit ("EBU") DOE Project continued during this reporting period. EBU 64-3H, the first horizontal well to be drilled in this Budget Period, has been drilled, stimulated, and put on production. Early performance has been consistent with expectations from reservoir characterization work that suggested the well would develop unswept reserves, as both the GOR and produced gas nitrogen content are well below field averages. The next horizontal well, initially planned to be drilled in 2002, will now be drilled in 2003.