GASCOEnergy

September 1, 2006

Bureau of Land MariagementVernal Field Office170 S. 500 E.Vernal, UT 84078

Attn: Minerals Department

Re: AlÌ WellsUintah and Duchesne Counties,Utah

Ladies and Gentlemen:

This letter is to inform you that Permitco, Inc. and Shon McKinnon are authorized to act

as Agent and to sign or retrieve documents on behalf of Gasco Production Company, a

wholly owned subsidiary of Gasco Energy, Inc. when necessary for filing county, state

and federal permits including Onshore OrderNo. 1, Right of Way applications, etc., forthe above mentioned wells.

It should be understood that Permitco, Inc. and Shon McKinnon are acting as Agent only

in those matter stated above and are not responsible for drilling, completion, production

or compliance with regulations.

Gasco Production Company agrees to accept full responsibility for operations conducted

in order to drill, complete and produce the above mentioned wells.

Mark A. EricksonPresident and CEO

BASCOEnergy, Inc.8 inverness Drive East, Suite 100 Tel: (303) 483-0044 Email: invest@gascoenergy.com

Englewood, CO 80112-5625 Fax: (303) 483-0011 Wahsite:www.gascoenergy.com AMEX:

O OSTATE OF UTAH FORM 3DEPARTMENT OF NATURAL RESOURCES

DIVISION OF OIL, GAS AND MINING AMENDED REPORT(highlight changes)

APPLICATION FOR PERMIT TO DRILL5. M RA7L5L6E7ASENO.: 6. SURMFACE:

1A. TYPE OF WORK: DRILLË REENTER DEEPEN7. IF INDIAN,ALLOTTEE OR TRIBE NAME:

N/AB. TYPE OF WELL: OILEl GASË OTHER SINGLEZONEE MULTIPLEZONE Ë 8. UNIT or CA AGREEMENT NAME:

WilkinRidge2. NAME OF OPERATOR: 9. WELL NAME and NUMBER:

GascoProductionCompany WilkinRidgeFederal#42-7-11-178DIDn

in S Dr e East, Suite 100,Englewood,CO801123NOE :044 10 L,

IE.DC'A4. LOCATION OF WELL (FOOTAGES) r 11. QTR/QTR, SECTION, TOWNSHIP, NGE

MERIDIAN:

ATSURFACE: 1784'FNLand487' FEL Section7, T11S- R17EAT PROPOSED PRODUCING ZONE: SE NE

14. DISTANCE IN MILES AND DIRECTION FROM NEAREST TOWN OR POST OFFICE: 12. COUNTY: 13. STATE:

Approximately28.2milessouthofMyton,UT Duchesne UT15. DISTANCE TO NEAREST PROPERTY OR LEASE LINE (FEET) 16. NUMBER OF ACRES IN LEASE: 17. NUMBER OFACRES ASSIGNED TO THIS WELL:

1784' 2532.56 N/AWithinUnit18. DISTANCE TO NEAREST WELL (DRILLING, COMPLETED, OR 19. PROPOSED DEPTH: 20. BOND DESCRIPTION:

APPLIED FOR) ON THIS LEASE (FEET):

3,650' 17,535' UT-123321. ELEVATIONS (SHOWWHETHER DF, RT, GR, ETC.): 22. APPROXIMATE DATE WORK WILL START: 23. ESTIMATED DURATION:

6658' GL ASAP 55 Days

24. PROPOSEDCASINGANDCEMENTINGPROGRAMSIZE OF HOLE CASING SIZE, GRADE, AND WElGHT PER FOOT SETTING DEPTH CEMENT TYPE, QUANTITY, YIELD, AND SLURRY WEIGHT

17-1/2" 13-3/8",H-40,48# 300' 300sx PremiumType5, 15.6ppg,1.18ft3/sk12-1/4" 9-5/8",N-80,53.5# 6,955' 960 sx Hi-Lift,11ppg,3.91ft3/sk+ 185 sx 10-2RFC,14.2ppg,1.63ft3/sk7-7/8" 4-1/2",HCP-110,15.1# 17,535' 523sx Hi-Lift,11.5ppg, 3.05ft3/sk + 2358sx 50-50Poz, 14.1ppg,1.28ft3/sk

25. ATTACHMENTSVERIFY THE FOLLOWING ARE ATTACHED INACCORDANCE WITH THE UTAH OIL AND GAS CONSERVATION GENERAL RULES:

WELL PLAT OR MAP PREPARED BY LICENSED SURVEYOR OR ENGINEER COMPLETE DRILLINGPLAN

EVIDENCE OF DIVISION OF WATER RIGHTS APPROVAL FOR USE OF WATER FORM S, IF OPERATOR IS PERSON OR COMPANY OTHER THAN THE LEASE OWNER

AGENT: Permitco Iric., P.O.Box99, Eastlake, CO80614 AGENT'S PHONE NO.: 303/857-9999Regulatory Supervisor/AgentforGascoProduction CompanyVenessa Langmacher TITLEE S N

DATE February 12,2009(This space for State use only) Approvedby the

UtahDivisionofAPINUMBERASSIGNED: L(N¡ of Oiltearand Mining

(1112001) SS

DIV.0F OlL,GAS&

GASCO PRODUCITON COMPANYT11S, R1'7E, S. L.B. &M. 1909 Br se car Well location, WILKINRIDGE FEDERAL #42-7-11-17,S89°41'58T

- 2462.50' (Meas.) SB9°J8'527- 2639.28' ( eo ) located as shown in the SE 1/4 NE 1/4 of Section 7,

erossca,rsia, teoserasscap T11S, R17E, Š.L.B.&M., Duchesne County, Utah.Pile of Stones 2.5' High, Pile of

Stones

BASIS OF ELEVATIONLOT 1

SPOT ELEVATIONNEAR A 2--TRACK IN THE SW 1/4 OF SECTION20, T105, R17E, S.L.B.&M. TAKEN FROM THE WILKINRIDGEQUADRANGLE,UTAH, DUCHESNE COUNTY, 7.5 MINUTE QUAD.(TOPOGRAPHIC MAP) PUBLISHED BY THE UNITED STATESDEPARTMENTOF THE INTERIOR, GEOLOGICALSURVEY, SAID

W/LK/NR/OGE ELEVATIONIS MARKED AS BEING 6275 FEET.

EEDERÆ ý'42-7- 11- 17 487LOT 2 Elev. Ungraded Ground = 6658'

1909 Brass Cap2.0' High, P//eof Stones

~o^o

o^o

oo o - oLOT 3

SCALEBASIS OF BEARINGS

¯¯¯

BASIS OF BEARINGS IS A G.P.S. OBSERVATION.CERTIFICATE

THIS IS TO CERTIFYTHAT THE ABOVE PLA PARED FROMFIELD NOTES OF ACTUALSURVEYS M MYLOT 4SUPERVISIONAND THAT THE SAME TO THEBEST OF MY KNOWLEDGEAND BE

1909 Brass Cap1.0' High, Pile

RRN89°58'W

- 2462.46' (G.L.O.) 8 54'14"W - 2648.39' (bleas.)1909 Brhoss Cap

I.INTAH SGINEERING GEE85 SOUTH 200 EAST - VERWPAAH 84078LEGEND: (AUTONOMOUSNAD 83)

(435) 789-1017LATlTUDE = 39'52'25.89" (39.873858)= 90 SYMBOL LONGITUDE=

110°02'48.88" (110.046911) SCALE DATE SURVEYED: DATE DRAWN:= PROPOSED WELL HEAD. (AUTONOMOUSNAD 27) 1 = 1000 06-06-08 06-09-08

LATITUDE= 39°52'26.02" (39.873894) PARTY REFERENCESA = SECTION CORNERS LOCATED.LONGITUDE=

110°02'46.34" (110.046206) J.W. C.G. C.H. G.L.O. PLATWEATHER FILË

WARM GASCO PRODUCTION

PERMITC0PO Box 99 • Eastlake, CO 80614 • (303) 857-9999 • FAX(303) 450-9200 • E-MAILPermitcol@aoÍcom

February12,2009

DivisionofOil,Gas&Mining1594West NorthTemple,Suite 1210Box145801Salt LakeCity,UT 84114-5801Attn: Minerals

Re: GascoProduction CompanyWilkinRidgeFederal#42-ji-11-171784'FNLand 487 FEL 4SE NESec.7, T11S- R17EDuchesne County,Utah

Gentlemen:

Enclosed please find one copy of the Application for Permit to Drill,along with the requiredattachments.

Ifyou shouldneedadditionalinformation,please don't hesitate to contactme.

Sincerely,

PERMITCOINC.

Venessa LangmacherRegulatorySupervisor/Agentfor:Gasco Production Company

Enc,

cc: Gasco Production Company - Englewood,CO RECEIVEDShawn Elworthy- Myton,UTShonMcKinnon- Altamont,UT FEBt 72009

DIV.0FOIL,GAS&

b e

CERTIFICATION

IherebycertifythatI,orsomeoneundermydirectsupervision,haveinspectedthedrinsiteandaccessrouteproposedherein;thatIamfamiliarwiththeconditionswhichcurrentlyexist;thatIhavefulknowledge,ofstateandFederallawsapplicabletothisoperation;thatthestatementsmadeinthisAPDpackageare,tothebest ofmyknowledge,trueandcorrect;andthattheworkassociatedwiththeoperationsproposedhereinwillbe performedinconformitywiththisAPDpackageandthetermsandconditionsunderwhichit is approved.IalsocertifythatI,orthecompanyIrepresent,amresponsiblefortheoperationsconductedunderthisappilcation.Thesestatementsare jecttotþeprovisionsof18U.S.C.1001 forthefilingoffalsestatements.Executedthis dayof ,1008.100

Y lephone

ONSHOREORDERNO.1 IDENTIAL- TIGHTHOLEGascoProductionCompanyWilkinRidgeFederal #42-7-11-17 Lease No.UTU-756721784'FNLand487 FELSE NESection7, T11S- R17E DRILLINGPROGRAMDuchesneCounty,Utah Page 1

ONSHOREOlL&GASORDERNO.1ApprovalofOperationsonOnshore

FederalandIndianOilandGasLeases

Allleaseand/orunitoperationswillbeconductedinsuchamannerthatfullcomplianceismadewithapplicablelaws,regulations(43CFR3100),OnshoreOilandGasOrderNo.1,andtheapprovedplanofoperations.Theoperatorisfullyresponsiblefortheactionsofhissubcontractors.Acopyoftheseconditionswillbe furnishedthefieldrepresentativetoinsurecompliance.

1. ESTIMATEDTOPSOFIMPORTANTGEOLOGlCMARKERS

Formation Depth Subsea

Wasatch 4,955' +1,730'

Mesaverde 9,005' -2,320'

Castlegate 11,465' -4,780'

Blackhawk 11,785' -5,100'

Kenilworth 12,285' -5,600'

SpringCanyon 12,585' -5,900'

Mancos 12,685' -6,000'

Dakota 17,235' -10,550'

T.D. 17,535' -10,850'

2. ESTIMATEDDEPTHOFANTlCIPATEDWATER,OILGASORMINERALFORMATIONS:

Substance Formation Depth Thickness

Gas Wasatch 5,100'- 9,005' 3,905'

Gas Mesaverde 9,005'- 11,465' 2,460'

Gas Blackhawk 11,785'- 12,685' 900'

Gas Mancos 12,685'- 17,235 4,550'

Gas Dakota 17,235'- 17,535' 300'

ONSHOREORDERNO.1 FIDENTIAL- TIGHTHOLEGascoProductionCompanyWilkinRidge Federal#42-7-11-17 Lease No.UTU-756721784'FNLand487 FELSE NESection7, T11S- R17E DRILLINGPROGRAMDuchesneCounty,Utah Page2

Allfreshwaterprospectivelyvaluablemineralsencounteredduringdrilling,willbe recordedby depthand adequatelyprotected.Alloiland gas showswillbe testedto determinecommercialpotential.

3. PRESSURECONTROLEQUIPMENT

GascoProductionCompany'sminimumspecificationsforpressurecontrolequipmentareasfollows:

RamType:10,000psiDoubleRamwithAnnular

Ramtypepreventersandassociatedequipmentshallbetestedtoapprovedstackworkingpressureif isolatedby testplugor to 70 percentof internalyieldpressureofcasing. Pressure shallbemaintainedforat least 10minutesoruntilrequirementsoftestaremet,whicheveris longer.Ifa testplugisutilized,nobleed-offpressureisacceptable.Fora testnotutilizinga testplug,ifa declineinpressureofmorethan10percentin30 minutesoccurs,thetestshallbe consideredtohavefailed.Valveoncasinghead belowtestplugshallbe openduringtestofBOPstack.

Annulartypepreventers(ifused)shallbe testedto50 percentofratedworkingpressure.Pressureshallbe maintainedat least 10minutesoruntilprovisionsoftestaremet,whicheveris longer.

Asa minimum,theabovetestshallbe performed:

a. wheninitiallyinstalled;b. wheneveranysealsubjecttotestpressureis brokenc. followingrelatedrepairs;andd. at30-dayintervals

Valvesshallbe testedfromworkingpressuresideduringBOPEtestswithalldownstreamvalvesopen.

Whentestingthekilllinevalve(s)thecheckvalveshallbeheldopenortheballremoved.

Annularpreventersshallbe functionallyoperatedat leastweekly.

Pipeandblindramsshallbeactivatedeachtrip,however,thisfunctionneednotbe performedmorethanoncea day.

rsue s a I

php aclrneatced

w o

trforea h drilling

ONSHOREORDERNO.1 C IDENTIAL- TIGHTHOLEGascoProductionCompanyWilkinRidgeFederal#42-7-11-17 Lease No.UTU-756721784'FNLand487'FELSE NESection7, T11S - R17E DRILLINGPROGRAMDuchesneCounty,Utah Page3

Alloftheabovedescribedtestsand/ordrillsshallbe recordedinthedrillinglog.

BOPsystemsshallbe consistentwithAPIRP53. Pressuretestswillbe conductedbeforedrillingoutfromundercasingstringswhichhave been setandcementedinplace.Blowoutpreventercontrolswillbe installedpriortodrillingthesurfacecasingplugandwillremaininuseuntilthewelliscompletedorabandoned.Preventerswillbe inspectedandoperatedat leastdailytoensuregoodmechanicalworkingorder,andthisinspectionwillbe recordedonthedailydrillingreport. Preventerswillbepressuretestedbeforedrillingcasingcementplugs.

TheDistrictOfficeshouldbe notified,withsufficientleadtime,inordertohavetheBLMrepresentativeonlocationduringpressuretesting.

a. ThesizeandratingoftheBOPstackisshownontheattacheddiagram.Althougha righasnotbeenchosentodrillthiswell,mostoftheequipmentforthisdepthofholeintheareausea 10,000psiworkingpressureblowoutpreventor.

b. Achokelineanda killlineare tobe properlyinstalled.The killlineis nottobe usedas afill-upline.

c. Theaccumulatorsystemshallhavea pressurecapacitytoprovideforrepeatedoperationofhydraulicpreventers.

d. Drillstringsafetyvalve(s),tofita_Iltoolsinthedrillstring,aretobe maintainedontherigfloorwhiledrillingoperationsare inprogress.

4. PROPOSEDCASINGANDCEMENTINGPROGRAM:

a. The proposedcasingandcementingprogramshallbe conductedas approvedtoprotectand/orisolateallusablewaterzones,potentiallyproductivezones,lostcirculationzones,abnormallypressuredzones,andanyprospectivelyvaluabledeposits ofminerals.Anyisolatingmediumotherthancementshallreceiveapprovalpriortouse. Thecasingsettingdepthshallbe calculatedtopositionthecasingseatoppositea competentformationwhichwillcontainthe maximumpressureto whichit willbe exposedduring normaldrillingoperations.Determinationofcasingsettingdepth shallbe based on allrelevantfactors,including;presencelabsenceof hydrocarbons;fracturegradients;usablewaterzones;formationpressures;lostcirculationzones;otherminerals;orotherunusualcharacteristics.Allindicationsofusablewatershallbe reported.

ONSHOREORDERNO.1 C IDENTIAL- TIGHTHOLEGascoProductionCompanyWilkinRidge Federal#42-7-11-17 Lease No.UTU-75672

1784'FNLand487 FELSE NESection7, T11S - R17E DRILLINGPROGRAMDuchesneCounty,Utah Page4

b. Casingdesignshallassumeformationpressuregradientsof0.44 to0.50psiperfootforexploratorywells(lackingbetterdata).

c. Casingdesignshallassumefracturegradientsfrom0.70to1.00psiperfootforexploratorywells(lackingbetterdata)

d. Casingcol\arsshallhavea minimumclearanceof0.422inchesofallsidesinthehotelcasingannulus,withrecognitionthatvariancescanbe grantedforjustifiedexceptions.

e. Allwaitingoncementtimesshallbe adequatetoachievea minimumof500psicompressivestrengthat thecasingshoepriortodrillingout. .

f. Allcasingexcepttheconductorcasing,shallbe neworreconditionedandtestedusedcasingthatmeetsorexceedsAPIstandardsfornewcasing.

g. Thesurfacecasingshallbe cementedbacktosurfaceeitherduringtheprimarycementjoborbyremedialcementing.

h. Allindicationsofusablewatershallbe reportedtotheauthorizedofficerpriortorunningthenextstringofcasingorbeforepluggingordersarerequested,whicheveroccursfirst.

i. Threecentralizerswillbe runonthebottomthreejointsofsurfacecasingwitha minimumofonecentralizerperjointstartingwiththeshoejoint.

j. Topplugsshallbe usedtoreducecontaminationofcementbydisplacementfluid.Abottomplugorotheracceptabletechnique,suchas a suitablepreflushfluid,innerstringcementmethod,etc.shallbeutilizedtohelpisolatethecementfromcontaminationbythemudfluidbeingdisplacedaheadofthecementslurry.

k. Allcasingstringsbelowtheconductorshallbe pressuretestedto0.22psiperfootofcasingstringlengthor1500psi,whicheverisgreater,butnottoexceed70percentoftheminimumintemalyield.Ifpressuredeclinesmorethan10percentin30minutes,correctiveactionshallbe taken.

l. Onallexploratorywells,andonthatportionofanywellapprovedfora 5MBOPEsystemorgreater,a pressureintegritytestofeachcasingshoeshallbe performed.Formationat theshoeshallbe testedtoa minimumofthemudweightequivalentanticipatedtocontroltheformationpressuretothenextcasingdepthorat totaldepthofthewell.Thistestshallbeperformedbeforedrillingmorethan20feetofnewhole.

ONSHOREORDERNO.1 C IDENTIAL- TIGHTHOLEGascoProductionCompanyWilkinRidgeFederal#42-7-11-17 Lease No.UTU-75672

1784'FNLand487 FELSE NESection7,TiiS - R17E DRILLINGPROGRAMDuchesneCounty,Utah Page 5

m. Theproposedcasingprogramwillbe as follows:

Purpose Depth HoleSize 0.D. Weight Grade Type New/Used

Conductor 0-300' 17-1/2" 13-3/8" 48# H-40 - - - New

Surface 0-6,955' 12-1/4" 9-5/8" 53.5# N-80 LT&C New

Production 0-17,535' 7-7/8" 4-1/2" 15.1# HCP-110 LT&C New

n. Casingdesignsubjecttorevisionbased ongeologicconditionsencountered.

o. Thecementprogramwillbe as follows:

Conductor TypeandAmount

TOC@Surface 300sxPremiumType5 mixed@15.6ppg,1.18yield

Surface TypeandAmount

TOC@Surface Lead:960sxHi-Liftmixed@11ppg,3.91yieldTail:185sx10-2RFCmixed@14.2ppg,1.63yield

Production TypeandAmount

TOC@5,955' Lead:523sxHi-Liftmixed@11.5ppg,3.05yieldTail:2358sx50:50Poz @14.1ppg,1.28yield

p. Anticipatedcementtopswillbe reportedas todepth;nottheexpectednumberofsacksofcementtobe used. The DistrictOfficeshouldbe notified,withsufficientleadtime,inordertohavea BLMrepresentativeon locationwhilerunningallcasingstringsandcementing.

q. Aftercementingbutbeforecommencinganytest,thecasingstringshallstandcementeduntilthecementhas reacheda compressivestrengthofat least500psiat theshoe. WOCtimeshallbe recordedinthedriller'slog.

r. Thefollowingreportsshallbe filedwiththeDistrictManagerwithin30 daysaftertheworkiscompleted.

ONSHOREORDERNO.1 C FIDENTIAL- TIGHTHOLEGasco ProductionCompanyWilkinRidge Federal#42-7-11-17 Lease No.UTU-75672

1784'FNLand487'FELSE NESection7,T11S- R17E DRILLINGPROGRANDuchesneCounty,Utah Page 6

1. Progressreports,Form3160-5(formerly9-331)"SundryNoticesand ReportsonWells",mustincludecompleteinformationconcerning:

a. Settingofeachstringofcasing,showingthesize,grade,weightofcasingset, holesize,settingdepth,amountsandtypeofcementused,whethercementcirculatedor thetopof thecementbehind thecasing,depth ofcementingtoolsused,casingtestmethodandresults,andthedate workwasdone. Showthespuddate onthefirstreportssubmi#ed.

b. Temperatureorbondlogsmustbesubmittedforeachwellwherethecasingcementwasnotcirculatedtothesurface.

s. Auxiliaryequipmenttobe usedisas follows:

1. Kellycock

2. Nobitfloatisdeemednecessary.

3. Asubwitha fullopeningvalve.

5. MUDPROGRAM

a. Theproposedcirculatingmediumstobe employedindrillingareas follows:

Interval MudType MudWt. Viso. FA pH

0 - 300' FreshWater 8.33 32 --- 7

300' - 6,955' FreshWater 8.33-9.0 32 - - - 7-8

6,955' -17,535' FreshWater/DAP 9.0-12.5 30-40 12-20 8

Therewillbe sufficientmudonlocationtocontrola blowoutshouldoneoccur.Amudtestshallbe performedevery24hoursaftermuddinguptodetermine,as applicable:density,viscosity,gelstrength,staticfiltrationloss, andPh.

ONSHOREORDERNO.1 C IDENTIAL- TIGHTHOLEGascoProductionCompanyWilkinRidgeFederal#42-7-11-17 Lease No.UTU-756721784'FNLand487'FELSE NESection7,T11S- R17E DRILUNGPROGRAMDuchesneCounty,Utah Page 7

b. Mudmonitoringequipmenttobe usedisas follows:

1. Periodiccheckswillbe madeeachtourofthemudsystem.Themudlevelwillbecheckedvisually.

c. Nochromateadditiveswillbe usedinthemudsystemonFederaland/orindianlandswithoutpriorBLMapprovaltoensureadequateprotectionoffreshwateraquifers.

d. NochemicalssubjecttoreportingunderSARATitleill inanamountequaltoorgreaterthan10,000poundswillbe used,produced,stored,transported,or disposedof annuallyinassociationwiththedrillingofthiswell.Furthermore,noextremelyhazardoussubstances,as definedin40 CFR355,inthresholdplanningquantities,willbe used,produced,stored,transported,ordisposedofinassociationwiththedrillingofthiswell.

e. TheuseofmaterialsunderBLMjurisdictionwillconformto43CFR3610.2-3.

6. EVALUATIONPROGRAM

Theanticipatedtypeandamountoftesting,loggingandcoringareas follows:

a. Nodrillstemtestsareanticipated,however,ifDST'sarerun,thefollowingrequirementswillbe adheredto:

Initialopeningof drillstemtesttoolsshallbe restrictedtodaylighthours unless specificapprovaltostartduringotherhoursisobtainedfromtheauthorizedofficer.However,DST'smaybe allowedtocontinueatnightifthetestwas initiatedduringdaylighthoursandtherateofflowis stabilizedand ifadequatelightingis available(i.e.lightingwhichis adequateforvisibilityandvapor-proofforsafeoperations).Packerscanbe released,buttrippingshallnotbeginbeforedaylight,unlesspriorapprovalis obtainedfromtheauthorizedofficer.ClosedchamberDSTsmaybe accomplisheddayor night.

ADSTthatflowstothesurfacewithevidenceofhydrocarbonsshallbe eitherreversedoutofthetestingstringundercontrolledsurfaceconditions.Thiswouldinvolveprovidedsomerneansforreversecirculation.

Separationequipmentrequiredfortheanticipatedrecoveryshallbepropedyinstalledbeforea teststarts.

ONSHOREORDERNO.1 FIDENTIAL- TlGHTHOLEGascoProductionCompanyWilkinRidgeFederal#42-7-11-17 Lease No.UTU-756721784'FNLand487'FELSE NESection7, T11S - R17E DRILLINGPROGRAMDuchesneCounty,Utah Page 8

Allengineswithin100feetofthewellborethatarerequiredto"run"duringthetestshallhavesparkarrestersorwatercooledexhausts.

b. The loggingprogramwillconsistofa BakerMinislamorequivalenttobe runfrombase ofsurfacecasingtoTD.

c. Nocoresareanticipated.

d. Whetherthewellis completedas a dry hole or as a producer,"WellCompletionandRecompletionReportandLog"(Form3160-4)willbe submittednotlaterthan30 daysaftercompletionofthewelloraftercompletionofoperationsbeingperformed,inaccordancewith43 CFR3164., Twocopiesof all logs,coredescriptions,coreanalyses,well-testdata,geologicsummaries,sampledescription,andallothersurveysordataobtainedandcompiledduringthedrilling,workover,and/orcompletionoperations,willbe filedwithform3160-4.Samples(cutting,fluids,and/orgases0willbe submittedwhenrequestedbytheauthorizedofficer(AO).

e. Theanticipatedcompletionprogramisasfollows:PerformmulitstagefracsandcompleteallproductiveBlackhawk,Mesaverde,Wasatch,MancosandDakotasandspresentinwellbore.Produceallzonescommingled.

f. Dailydrillingandcompletionprogressreportsshallbe submittedtotheBLMinVernalonaweeklybasis.

7. ABNORMALTEMPERATURESORPRESSURES

a. Theexpectedbottomholepressureis 10,341psi. Themaximumbottomholetemperatureanticipatedis310.23°F.

b. Nohydrogensulfidegas is anticipated.Abnormalpressureswillbe controlledwithmudweightand10000#BOPandrotatinghead.

8. ANTICIPATEDSTARTINGDATESANDNOTIFICATIONOFOPERATIONS

a. Drillingis plannedtocommenceonNovember1,2008.

b. Itisanticipatedthatthedrillingofthiswellwilltakeapproximately55days.

g eONSHOREORDERNO.1 CONFIDENTIAL- TlGHTHOLEGascoProductionCompanyWilkinRidgeFederal#42-7-11-17 Lease No.UTU-756721784'FNLand487 FELSE NESection7,T11S- R17E DRILLINGPROGRAMDuchesneCounty,Utah Page9

c. The BLMinVernal,Utahshallbe notifiedoftheanticipateddate of locationconstructioncommencementandofanticipatedspuddate.

d. Nolocationwillbeconstructedormoved,nowellwillbe plugged,andnodrillingorworkoverequipmentwillbe removedfroma welltobe placedin a suspendedstatuswithoutpriorapprovaloftheAO. Ifoperationsare tobe suspended,priorapprovaloftheAOwillbeobtainedandnotificationgivenbeforeresumptionofoperations.

e. The spuddate willbe reportedorallyto theAOwithin48 hours afterspudding.Ifthespuddingoccursonaweekendorholiday,thereportwillbesubmittedonthefollowingregularworkday. Theoralreportwillbe followedupwitha SundryNotice.

f. InaccordancewithOnshoreOilandGasOrderNo.1,thiswellwillbe reportedonForm3160-6 "MonthlyReportofOperations",startingwiththemonthinwhichoperationscommenceandcontinueeachmonthuntilthewellisphysicallypluggedandabandoned.ThisreportwillbefiledwiththeVernalBLMDistrictOffice,170South500East,Vernal,UT 84078.

g. ImmediateReport:Spills,blowouts,fires,leaks,accidents,oranyotherunusualoccurrencesshallbe promptlyreportedinaccordancewiththerequirementsofNTL-3Aorits revision.

h. Ifa replacementrigiscontemplatedforcompletionoperations,a "SundryNotice"Form3160-5 tothateffectwillbe filed,forpriorapprovaloftheAO,andallconditionsofthisapprovedplanareapplicableduringalloperationsconductedwiththereplacementrig.

i. Shouldthewellbe successfullycompletedforproduction,theAOwillbe notifiedwhenthewellisplacedinaproducingstatus.Suchnotificationwillbesentbytelegramorotherwrittencommunications,not laterthan5 daysfollowingthedate onwhichthewellis placedonproduction,

j. PursuanttoOnshoreOrderNo.7,withtheapprovaloftheDistrictEngineer,producedwatermaybe temporarilydisposedofintounlinedpitsfora periodofupto90 days. Duringtheperiodso authorized,an applicationforapprovalofthepermanentdisposalmethod,alongwiththerequiredwateranalysisandotherinformation,mustbe submittedtotheDistrictEngineer.

k. PursuanttoNTL-4A,lessees oroperatorsareauthorizedtovent/flaregasduringinitialwellevaluationtests,notexceedinga periodof30 daysortheproductionof50 MMCFofgas,

ONSHOREORDERNO.1 FIDENTIAL- TlGHTHOLEGascoProductionCompanyWilkinRidgeFederal#42-741-17 Lease No.UTU-756721784'FNLand487'FELSE NESection7, T11S- R17E DRILLINGPROGRAMDuchesneCounty,Utah Page10

whicheveroccursfirst. AnapplicationmustbefiledwiththeDistrictEngineerandapprovalreceived,foranyventing/flaringofgasbeyondtheinitial30dayorauthorizedtestperiod.

l. Aschematicfacilitiesdiagramas requiredby43CFR3162.7-5(b.9.d.),shallbe submittedtothe appropriateDistrictOfficewithinsixty(60) days of installationor first production,whicheveroccursfirst.Allsitesecurityregulationsas specifiedinOnshoreOrderNo.3 shallbe adheredto. Allproductlinesenteringand leavinghydrocarbonstoragetankswillbeeffectivelysealedinaccordancewith43 CFR3t62.7-5 (b.4.).

m. A firstproductionconferencewillbe scheduledwithin15 days afterreceiptofthe firstproductionnotice.

n. Nowellabandonmentoperationswillbe commencedwithoutthepriorapprovaloftheAO.Inthecaseofnewlydrilleddryholesorfailures,andinemergencysituations,oralapprovalwillbe obtainedfromtheSO.A"SubsequentReportofAbandonment"Form3160-5,willbefiledwiththeAOwithin30daysfollowingcompletionofthewellforabandonment.Thisreportwillindicatewhereplugswereplacedandthecurrentstatusofsurfacerestoration.Finalabandonmentwillnot be approveduntilthe surfacereclamationworkrequiredby theapprovedAPDorapprovedabandonmentnoticehas been completedtothesatisfactionoftheAOorhis representative,ortheappropriateSurfaceManagingAgency.

o. PursuanttoOnshoreOilandGasOrderNo.1, lessees andoperatorshavetheresponsibilityto see thattheirexploration,development,production,and constructionoperationsareconductedina mannerwhichconformswithapplicableFederallawsandregulationsandwithStateand local laws and regulationsto the extentthatsuchStateand local laws areapplicabletooperationsonFederalorIndianlands.

I

BureauofLandManagement170South500EastVernal,Utah84078

Phone:435/781-4400 Fax:435/781-4410AfterHours:

MattBaker PetroleumEngineer 435/828-4470

MichaelLee PetroleumEngineer 435/828-7875

PROPOSED BOP DIAGRAM

13-5/8" 5,000 PSI AnnularBOP

- 13-5/8" 10,000 PSI DoubleRam BOP

13-5/8" 10.000;HCR Valvele

4" 10,0003" 10,000 PSIPSI ChokeKill Line

13-5/8 10.000 13-5/8" 10,000 PSILF

w Cross

13-5/8" 10,000 PS:Single Ram SOP

13-5/6 10.000 - I

13-5/8" 5.000Cas inghead

13-3/80-5/8" CAuxxon

Jeanette 8-20-00 471

ONSHOREORDERNO.1 C IDENTIAL- TIGHTHOLEGasco ProductionCompanyWilkinRidge Federal#42-7-11-17 Lease No.UTU-75672

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ONSHOREOIL&GASORDERNO.1NOTIFICATIONREQUIREMENTS

LocationConstruction- forty-eight(48)hourspriortoconstructionoflocationandaccessroads.

LocationCompletion- priortomovingonthedrillingrig.

SpudNotice- at leasttwenty-four(24)hourspriortospuddingthewell.

CasingStringand - twenty-four(24)hourspriortorunningcasingandCementing cementingallcasingstrings.

BOPandRelated- twenty-four(24)hourspriortoinitiatingpressuretests.EquipmentTests

FirstProduction- withinfive(5)businessdays afternewwellbeginsorNotice productionresumesafterwellhas been offproductionformorethan

ninety(90)days.

The onsiteinspectionforthesubjectwellsitewasconductedonWednesday,June 25,2008 atapproximately9:50a.m.Weatherconditionswereclear,warmandsunny.Inattendanceat theonsiteinspectionwerethefollowingindividuals:

DarrenWilliams NaturalResourceSpecialist BureauofLandManagementBrandonMcDonald WildlifeBiologist BureauofLandManagementDanEmmett NaturalResourceSpecialist BureauofLandManagementRandySmith FieldTechnician Permitcoinc.ShonMcKinnon Consultant GascoProductionCompanyJesse Walton Surveyor UintahEngineeringandLandSurveyingLindaSperry EnvironmentalSpecialist SWCAJake Huffman DirtContractor

1. EXISTINGROADS

a. Theproposedwellsiteis locatedapproximately28.2milessouthofMyton,Utah.

ONSHOREORDERNO.1 C FIDENTIAL- TIGHTHOLEGascoProductionCompanyWilkinRidgeFederal#42-7-11-17 Lease No.UTU-756721784'FNLand487'FELSE NESection7, T11S- R17E SURFACEUSEPLANDuchesneCounty,Utah Page 2

b. DirectionstothelocationfromMyton,Utahareas follows:

Proceedina southeasterlydirectionfromMyton,Utahforapproximately12.7milestotheCastlePeak Mine.Stayrightandcontinuesoutherlyfor6.6milesuntilreachinga forkintheroad.Turnrightandproceedsouth7.8miles.Turnrightandproceedwest0.2 miles.Continuewestontotheexisting2-trackfor0.9milesuntilreachingtheproposedlocation,

c. Forlocationofaccessroadswithina 2-Mileradius,seeMapsA&B.

d. Improvementtoexistingmainroadswillnotbe required.

e. Allexistingroadswillbe maintainedandkeptingoodrepairduringalldrillingandcompletionoperationsassociatedwiththiswell.

f. ExistingroadsandnewlyconstructedroadsonsurfaceunderthejurisdictionofanySurfaceManagingAgencyshallbe maintainedinaccordancewiththestandardsoftheSMA.

2. NEWORRECONSTRUCTEDACCESSROADS

a. Therewillbe 0.9milesofexisting2-trackroadtobe upgraded.

b. Themaximumgradeisapproximately5%.

c. Noturnoutsareplanned.

d. Noculvertsorlowwatercrossingswillbe installed.

e. Theaccessroadwascenterlinesurveyedatthetimeofstaking.

f. The useofsurfacingmaterialis notanticipated,howeveritmaybe necessarydependingonweatherconditions.

g. Nocattleguardswillbe necessary.

h. Surfacedisturbanceandvehiculartravelwillbe limitedtotheapprovedlocationandapprovedaccessroute.Anyadditionalareaneededwillbe approvedinadvance.

ONSHOREORDERNO.1 C lDENTIAL- TIGHTHOLEGascoProductionCompanyWilkinRidge Federal#42-7-11-17 Lease No.UTU-756721784'FNLand487'FELSE NESection7, T11S- Ri7E SURFACEUSEPLANDuchesneCounty,Utah Page3

i. AccessroadsandsurfacedisturbingactivitieswillconformtotheGoldBookstandards.

j. Theroadwillbe constructedlupgradedtomeetthestandardsoftheanticipatedtrafficflowandallweatherroadrequirements.Construction/upgradingshallincludeditching,draining,graveling,crowingandcappingtheroadbedas necessarytoprovidea wellconstructedsaferoad.Priortoupgrading,theroadshallbe clearedofanysnowcoverandallowedtodrycompletely.Travelingoffthe30footright-of-waywillnotbe allowed.Roaddrainagecrossingsshallbeofthetypicaldrycreekdrainagecrossingtype.Crossingsshallbe designedso theywillnotcausesiltationoraccumulationofdebrisinthedrainagecrossingnorshallthedrainagesbe blockedbytheroadbed.Erosionofdrainageditchesby runoffwatershallbepreventedby divertingwateroffatfrequentintervalsbymeansofcutouts.Upgradingshallnotbeallowedduringmuddyconditions.Shouldmudholesdevelop,theyshallbe filledinanddetoursaroundthemavoided.

k. NochemicalssubjecttoreportingunderSARATitlelliinanamountequaltoorgreaterthan10,000poundswillbe used,produced,stored,transported,ordisposedofannuallyinassociationwiththedrillingofthiswell. Furthermore,noextremelyhazardoussubstances,as definedin40 CFR355,inthresholdplanningquantities,willbe used,produced,stored,transported,ordisposedofinassociationwiththedrillingofthiswell.

I. Roadrightofwayis notneededsinceallaccessroadsare locatedwithintheunitboundary.

3. LOCATIONOFEXISTINGWELLSWITHINA 1-MILERADIUSOFTHEPROPOSEDLOCATION.(SeeMap"C")

a. Waterwells- none

b. Injectionwells- none

c. Producingwells- one

d. Drillingwells- none

e. Shut-inwells- none

f. Temporarilyabandonedwells- none

g. Disposalwells-none

h. PluggedandAbandonedwells- two PERMITCG

ONSHOREORDERNO.1 C IDENTIAL- TIGHTHOLEGascoProductionCompanyWilkinRidge Federal#42-7-11-17 Lease No.UTU-75672

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4. LOCATIONOFEXISTINGAND/ORPROPOSEDPRODUCTIONFACILITIES

a. Allpermanentstructures(onsiteforsixmonthsor longer)constructedorinstalled(includingoilwellpumpjacks)willbepaintedCarlsbadCanyon.Allfacilitieswillbepaintedwithinsixmonthsofinstallation.FacilitiesrequiredtocomplywiththeOccupationalSafetyandHealthAct(OSHA)willbe excluded.

b. Ifstoragefacilities/tankbatteriesareconstructedonthislease, thefacility/batteryorthewellpadshallsurroundedbya containmentdikeofsufficientcapacitytocontaínat aminimum,theentirecontentsofthelargesttankwithinthefacility/battery,unlessmorestringentprotectiverequirementsaredeemednecessarybytheauthorizedofficer.

c. Ifproductionis established,a productionfacilitydiagramwillbe submittedviaSundryNotice.

d. Allloadinglineswillbe placedinsidethebermsurroundingthetankbattery.

e. Gasmeterrunsforeachwellwillbe locatedwithin500feetofthewellhead.Thegasflowlinewillbe buriedoranchoreddownfromthewellheadtotheseparator.Meterrunswillbe housedand/orfenced.

f. Theoilandgas measurementfacilitieswillbe installedonthewelllocation.Theoilandgasmeterswillbe calibratedinplacepriortoanydeliveries.Testsformeteraccuracywillbe conductedmonthlyforthefirstthreemonthsonnewmeterinstallationsandat leastquarterlythereafter.TheAOwillbe providedwitha date andtimefortheinitialmetercalibrationandallfuturemeterprovingschedules.Acopyofthemetercalibrationreportswillbe submittedtotheVernalFieldOffice.AllmetermeasurementfacilitieswillconformwithOnshoreOilandGasOrderNo.4 forliquidhydrocarbonsandOnshoreOilandGasOrderNo.5 fornaturalgasmeasurement.

g. Ifat anytimethefacilitieslocatedonpubliclandandauthorizedbythetermsoftheleaseareno longerincludedinthelease (duetoa contractionintheunitorotherlease orunitboundarychange),BLMwillprocessa changeinauthorizationtotheappropriatestatute.Theauthorizationwillbe subjecttoappropriaterentalorotherfinancialobligationasdeterminedbytheauthorizedofficer.

h. Anynecessarypitswillbe properlyfencedtopreventanywildlifeentry.

i. Allsitesecurityguidelinesidentifiedin43 CFR3162.7regulationswillbe adhered

ONSHOREORDERNO.1 C IDENTIAL- TlGHTHOLEGascoProductionCompanyWilkinRidge Federal#42-7-11-17 Lease No.UTU-75672

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j. Alloff-leasestorage,off-leasemeasurement,orcomminglingon-leaseoroff-leasewillhave priorwrittenapprovalfromtheDistrictManager.

k. Allaccessroadswillbe maintainedas necessarytopreventerosionandaccommodateyear-roundtraffic.

l. The roadwillbe maintainedina safeuseablecondition.

m. Producedwaterwillbe storedina 300bblheated,insulatedtank,thenhauledtoacommercialdisposalsitesuchas DisposalInc.,orBrennanBottom.

n. PipelineswillfollowtherouteshownonMapD. See Pipelinedetailattached.Pipelinerightofwayis notneededsinceallpipelineis locatedinsidetheunitboundary.

5. LOCATIONANDTYPEOFWATERSUPPLY

a. Theproposedwatersourcewillbe theNebeckerWaterStationinMyton.TheWaterUseClaim#is 43-1721. Inaddition,recycledwaterfromotherdrillingorproducingwellswillbe utilized.

b. Waterwillbe hauledby NebeckerWaterService tothelocationovertheaccessroadsshownonMapsAandB.

c. Nowaterwellwillbe drilledonthislease.

6. CONSTRUCTIONMATERIALS

a. Surfaceandsubsoilmaterialsintheimmediateareawillbe utilized.

b. Anygravelusedwillbe obtainedfroma commercialsource.

c. TheuseofmaterialsunderBLMjurisdictionwillconformwith43 CFR3610.2.3.Constructionmaterialwillnotbe locatedonlease.

d. Noconstructionmaterialswillbe removedfromFederalland.

ONSHOREORDERNO.1 CONFID lAL- TIGHTHOLEGasco ProductionCompanyWilkinRidgeFederal#42-7-11-17 Lease No.UTU-75672

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7. METHODSFORHANDLINGWASTE

a. Thereservepitwillbe constructedsoas nottoleak,break,orallowdischarge.

b. AttherequestoftheBLM,thereservepitwillbe linedwitha 12milliner. Iffracturedrockis encountered,thepitwillbe firstlinedwithsufficientbedding(eitherstrawordirt)tocoveranyrocks.The linerwilloverlapthepitwallsandbe coveredwithdirtand/orrockstoholdit inplace.Notrash,scrappipe,etc.,thatcouldpuncturethelinerwillbe disposedofinthepit.Morestringentprotectiverequirementsmaybe deemednecessarybytheA.O.

c. Bumingwillnotbe a\\owed.Alltrashwillbe containedina trashcageanditscontentsremovedat theendofdrillingoperationsandhauledtoanapproveddisposalsight.

d. Afterfirstproduction,producedwastewaterwillbe confinedtoa unlinedpitorstoragetankfora periodnottoexceedninety(90)days. Duringthe90-dayperiod,inaccordancewithOnshoreOrderNo.7, anapplicationforapprovalofa permanentdisposalmethodandlocation,alongwiththerequiredwateranalysis,willbe submittedfortheAO'sapprovaLFailuretofileanapplicationwithinthetimeallowedwillbe consideredanincidentofnoncompliance.

e. Drillcuttingsaretobe containedandburiedinthereservepit.

f. Anysaltsand/orchemicalswhicharean integralpartofthedrillingsystemwillbedisposedofinthesamemanneras thedrillingfluid.

g. Achemicalporta-toiletwillbe furnishedwiththedrillingrig.

h. Theproducedfluidswillbe producedintoa testtankuntilsuchtimeas constructionofproductionfacilitiesis completed.Anyspillsofoil,gas saltwaterorotherproducedfluidswillbe cleanedupandremoved.

8. ANCILLARYFACILITIES

Therearenoairstrips,camps,orotherfacilitiesplannedduringthedriffingoftheproposedwell.

ONSHOREORDERNO.1 C FIDENTIAL- TIGHTHOLEGascoProductionCompanyWilkinRidgeFederal#42-7-11-17 Lease No.UTU-75672

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9. WELLSITELAYOUT

a. Theoperatororhis/hercontractorshallcontacttheBLMOfficeat435/781-4400forty-eight(48)hourspriortoconstructionactivities.

b. The reservepitwillbe locatedonthesoutheastsideofthelocation.

c. Theflarepitwillbe locatedonthewestsideofthereservepit,a minimumof100feetfromthewellhead and30 feetfromthereservepitfence.

d. Thestockpiledtopsoil(firstsixinches)willbe storedonthenorthsideofthelocation,betweenCorners1 and2. Topsoilalongtheaccessroutewillbe windrowedontheuphillside.

e. Accesstothewellpadwillbe fromtheeast as shownonthePit&Pad Layout.

f. See LocationLayoutfororientationofrig,crosssectionofdrillpadandcutsandfills.

g. The locationofmudtanks;reservepit,trashcage;piperacks;livingfacilitiesandsoilstockpileswillbe shownontheLocationLayout.

h. Allpitswillbe fencedaccordingtothefollowingminimumstandards:

1. 39 inchnetwireshallbe usedwithtwostrandsofbarbedwireontopofthenetwire(barbedwireis notnecessaryifpipeorsometypeofreinforcementrodisattachedtothetopoftheentirefence).

2. Thenetwireshalibe nomorethan2-inchesabovetheground.Thebarbedwireshallbe 3-inchesabovethenetwire.Totalheightofthefenceshallbe at least42-inches.

3. Comerposts shallbe cementedand/orbracedinsucha mannertokeepthefencetightat alltimes.

4. Standardsteel,wood,orpipepostsshallbe usedbetweenthecornerbraces.Maximumdistancebetweenanytwopostsshallbe nogreaterthan16feet.

5. Allwireshallbe stretched,byusinga stretchingdevice,beforeitis attachedtothecornerposts.

ONSHOREORDERNO.1 C IDENTIAL- TIGHTHOLEGascoProductionCompanyWilkinRidgeFederal#42-7-11-17 Lease No.UTU-75672

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i. The reservepitfencingwillbe onthreesidesduringdrillingoperationsandonthefourthsidewhentherigmovesoffthelocation.Pitswillbefencedandmaintaineduntilcleanup.

10. PLANSFORSURFACERECLAMATION

ProducingLocation

a. Immediatelyuponwellcompletion,thelocationandsurroundingareawillbe clearedofallunusedtubing,equipment,debris,materials,trashandjunknotrequiredforproduction.

b. Immediatelyuponwellcompletion,anyhydrocarbonsonthepitshallbe removedinaccordancewith43 CFR3182.7-1.

c. Ifa plasticnylonreinforcedlineris used itshallbe tornandperforatedbeforebackfillingofthereservepit.

d. The reservepitandthatportionofthelocationnotneededforproductionfacilitiesoroperationswi\\be recontouredtotheapproximatenaturalcontours.The reservepitwillbereclaimedwithin120daysfromthedate ofwellcompletion.Beforeanydirtworktakesplace,thereservepitmusthaveallfluidsandhydrocarbonsremovedandallcans,barrels,pipe,etc.,wi\\be removed.

e. Reclamationofunuseddisturbedareasonthewellpadlaccessroadnolongerneededforoperations,suchas cutslopes,andtillareaswillbe accomplishedbygrading,levelingandseedingas recommendedbytheAuthorizedOfficer.

Seedingwillbe performedimmediatelyafterthelocationhas been reclaimedandthepithas beenbackfilled,regardlessofthetimeofyear. Seedwillbe broadcastandwalkedinwitha dozer.

f. Thetopsoilstockpilewillbe seededas soonas thelocationhas beenconstructedwiththesamerecommendedseedmix.Theseedwillbe walkedinwitha cat.

DryHole

1. Atsuchtimeas thewellispluggedandabandoned,theoperatorshallsubmitasubsequentreportofabandonmentandBLMwillattachtheappropriatesurfacerehabilitationconditionsofapproval.

e eONSHOREORDERNO.1 CONFIDENTIAL- TIGHTHOLEGascoProductionCompanyWilkinRidgeFederal#42-7-11-17 Lease No.UTU-756721784'FNLand487 FELSE NESection7, T11S- R17E SURFACEUSEPLANDuchesneCounty,Utah Page 9

InterimSurfaceReclamationwillbeas follows:

1. Immediatelyafterfinalwellcompletion,thelocationandsurroundingareawillbe clearedofallunusedtubing,materials,trash,anddebrisnotrequiredforproductionoperations.

2. Beforeanydirt workassociatedwithlocationrestorationtakesplace,thereservepitshallbe as dryas possible.Alldebrisinthereservepitwillbe removed.Otherwasteandspoilmaterialswillbedisposedofimmediately,weatherpermitting,uponfinalwellcompletion.

3. Ifa synthetic,nylonre-enforced,linerisused,theexcesslinerwillbe cutoffandremovedandtheremaininglinerwillbetornandperforatedwhilebackfillingthereservepit.Alternatively,thepitwillbe pumpeddry,thelinerfoldedintothepit,andthepitbackfilled.The linerwillbe buriedtoa minimumoffour(4)feetdeep.

4. The reservepitwillbe reclaimedwithin180daysfromthedate offinalwellcompletion,weatherpermitting.

5. The reservepitandthatportionofthelocationnotneededforproductionandstoragefacilities,andeverydayproductionoperations,willbe reshapedtotheapproximateoriginalcontourstotheextentpossible.Thiswillbe completedbybackfillingandcrowningthepittopreventwaterfromstanding.Topsoilwillbe re-spreaduptotheriganchorpoints,excludingtheareaneededforproductionandstoragefacilitiesandeverydayproductionoperations.Re-seeding,usingappropriatereclamationmethods,willoccurimmediatelyfollowingthere-spreadingoftopsoil,weatherpermitting.TheAuthorizedOfficerwillprovidea seedmixturetore-vegetatethereservepitandotherunuseddisturbedareasatthetimeoftheonsite.

11. SURFACEOWNERSHIP

AccessRoads - ThemajorityoftheaccessroadsaremaintainedbytheCountyRoadDepartmentortheBureauofLandManagement.

Wellpad - Thewellpadis locatedonlandsmanagedbytheBLM.

ONSHOREORDERNO.1 C IDENTIAL- TIGHTHOLEGascoProductionCompanyWilkinRidge Federal#42-7-11-17 Lease No.UTU-75672

1784'FNLand487'FELSE NESection7, T11S- R17E SURFACEUSEPLANDuchesneCounty,Utah Page 10

12. OTHERINFORMATION

a. AClassIIIarcheologicalsurveyhas beenconductedbyGrandRiverInstitute.Acopyofthisreportwi\\be submittedtotheappropriateagenciesdirectlybyGrandRiverinstitute,

b. APaleontologyEvaluationwasconductedbyAldenHamblinonJune25,20088. Acopyofthisreportisattached.

c. ASpecialStatusPlantSpeciessurveywasconductedbySWCAonJune23,2008. Acopyofthisreportisattached.

d. Theoperatoris responsibleforinformingallpersons intheareaswhoareassociatedwiththisprojectthattheywillbe subjecttoprosecutionforknowinglydisturbinghistoricorarchaeologicalsites,orforcollectingartifacts.Ifhistoricorarchaeologicalmaterialsareuncoveredduringconstruction,theoperatoristoimmediatelystopworkthatmightfurtherdisturbsuchmaterials,andcontacttheauthorizedofficer(AO).WithinfiveworkingdaystheAOwillinformtheoperatoras to:

-whether thematerialsappeareligiblefortheNationalRegisterofHistoricPlaces;

-the mitigationmeasurestheoperatorwilllikelyhave toundertakebeforethesitecanbeused (assuminginsitupreservationis notnecessary);and

-a timeframefortheAOtocompleteandexpeditedreviewunder36 CFR800.11toconfirm,throughtheStateHistoricPreservationOfficer,thatthefindingsoftheAOarecorrectandthatmitigationisappropriate.Iftheoperatorwishes,at anytime,torelocateactivitiestoavoidtheexpenseofmitigationand/orthedelaysassociatedwiththisprocess,theAOwillassumeresponsibilityforwhateverrecordationandstabilizationoftheexposedmaterialsmaybe required.Otherwise,theoperatorwillbe responsibleformitigationcosts. TheAOwillprovidetechnicalandproceduralguidelinesfortheconductofmitigation.UponverificationfromtheAOthatrequiredmitigationhasbeen completed,theoperatorwillthenbe allowedtoresumeconstruction.

e. Theoperatorwillcontrolnoxiousweedsalongrights-of-wayforroads,pipelines,wellsites,orotherapplicablefacilities.Alistofnoxiousweeds maybe obtainedfromtheBLM,ortheappropriateCountyExtensionOffice.OnBLMadministeredlanditis requiredthataPesticideUseProposalshallbe submitted,andgivenapproval,priortotheapplicationofherbicidesorotherpesticidesorpossiblehazardouschemicals.

ONSHOREORDERNO.1 C lDENTIAL- TIGHTHOLEGasco ProductionCompanyWilkinRidgeFederal#42-7-11-17 Lease No.UTU-75672

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f. Drillingrigsand/orequipmentusedduringdrillingoperationsonthiswellsitewillnotbestackedorstoredonFederalLandsaftertheconclusionofdrillingoperationsoratanyothertimewithoutBLMauthorization.However,ifBLMauthorizationisobtained,itis onlya temporarymeasure.

g. Alllease and/orunitoperationswillbe conductedinsucha mannerthatfullcomplianceismadewithallapplicablelaws,regulations,OnshoreOilandGasOrders,theapprovedplanofoperations,andanyapplicableNoticetoLessees. Theoperatorisfullyresponsiblefortheactionsofhissubcontractors.Acopyoftheseconditionswillbefurnishedthefieldrepresentativetoinsurecompliance.

h. AcompletecopyoftheapprovedAPDshallbe onlocationduringconstructionofthelocationanddrillingactivities.

i. There willbe nodeviationfromtheproposeddrillingand/orworkoverprogramwithoutpriorapprovalfromtheAO.Safedrillingandoperatingpracticesmustbe observed.Allwells,whetherdrilling,producing,suspendedorabandonedwillbe identifiedinaccordancewith43 CFR3162.

j. "SundryNoticeandReportonWells"(Form3160-5)willbe filedforapprovalforallchangesofplansandotheroperationsinaccordancewith43 CFR3162.3-2.

k. Thispermitwillbe validfora periodoftwoyears fromthedate ofapproval.Anextensionperiodoftwoyearsmaybe granted,ifrequested,priortotheexpirationoftheoriginalapprovalperiod.Afterpermittermination,a newapplicationwillbe filedforapprovalforanyfutureoperations.

l. TheoperatororhiscontractorshallcontacttheBLMOfficesat435/781-440048 hourspriortoconstructionactivities.

m. The BLMOfficeshallbe notifieduponsitecompletionpriortomovingonthedrillingrig.

AGENTANDOPERATOR'SCONTACTINFORMATION

PermitMatters Drilling&CompletionMatters

PERMITCOINC. Gasco ProductionCompanyP.O.Box99 8 InvernessDriveEast,Suite100Eastlake,CO80614 Englewood,CO80112303/857-9999{0) John Longwell e303/450-9200(F) 303/483-0044{0)LisaSmith 303/483-0011(F)

O OPIPELlNEINFORMATiONWilkinRidgeFederal#42-7-11-17

1. Thetypeofpipelineis a singlewellf\owline.

2. Theoutsidediameter(O.D.)ofallwillbe 8 inchesmaximum.

3. Theanticipatedproductionthroughthelineisapproximately2000MCFperday.

4. Theanticipatedmaximumtestpressureis 1000psi.

5. Theanticipatedoperatingpressureis 100-200psi.

6. Thetypeofpipeis steel.

7. Themethodofcouplingiswelded.

8. Therearenootherpipelinestobe associatedinsamerightofway.

9. Therewillbe otherobjectstobe associatedinthesamerightofway.(Risers,PigLaunchersPigTraps,metersandotherappurtenancesas required.)

10. Thetotallengthofpipelineis approximately11,674feet- see MapD.

11. Thelinewi\\be laidonsurfacebecause oftherockysurfaceas shownonMapD. Thepipelinewillfollowexistingorproposedroads.

12. Theconstructionwidthfortota\surfacedisturbingactivitiesis30 feet.

13. Theestimatedtotalacreageinvolvingallsurfacedisturbingactivitiesis 8.04acres.

14. Anysurfacedisturbancecreatedas a resultofthepipelineconstructionwillbe reclaimedutilizingthereclamationproceduresandseedmixturespecifiedbytheBureauofLandManagement.

15. The linewillbe testedwithgas pressureto1000psi.

O OGASCO PRODUCTION COMPANYWILKIN RIDGE FEDERAL #42-7-11-17

LOCATED IN DUCHESNE COUNTY, UTAHSECTION 7, T118, R17E, S.L.B.&M.

I FFMREWB4

PHOTO: VIEW FROM CORNER #5 TO LOCATION STAKE CAMERA ANGLE NORTHWESTERLY

PHOTO: VIEW FROM BEGINNING OFPROPOSED ACCESS CAMERA ANGLE: SOUTERVESTERLY

Umtah Engineenng & Laix! Surveyi E ID CATIONPHOTos O6 13 0 8 mo ro85 South 200 East Vernal.Utah 84078

sm ig4. (435) 789-1017 * FAX (435) 789-1813 TAKRW:JW. DRAWNW:DP. REY:09.11.08

N +

PROPOSED LOCATION:WILKIN RIDGE FEDERAL #42-7-11-17

DU

RR CABON

LEGEND: GASCO PRODUCTION COMPANYPROPOSED LOCATION N WILKIN RIDGE FEDERAL #42-7-11-17

SECTION 7, T11S, R17E, S.L.B.&M.1784' FNL 487'

T10 S

12

ROPOSED LOCAT lONWILKIN RIDGE FEDERAL #42-7-11-17

LEGEND: GASCO PRODUCTION COMPANYEXISTHWGROAD N WILKIN RIDGE FEDERAL #417-11-17

----------- FROPOSEDACCESSROAD SECTION 7, T118, R17E, S.L.B.&M.------ EXESTING2-TRACK NEEDS

T10S I11S

R16 17E E

6400

12 r 7

PROPOSED LOCATION:WILKIN RIDGE FEDERAL #42-7-11-17

LEGEND: GASCO PRODUCTION COMPANYf DISPOSALMTLLS WATER WELLS N WILKIN RIDGE FEDERAL #417-11-17e PRODUCINGWELLS ARA19DONEDMTLLS SECTION 7, T118, R17E, S.L.B.&M.

SHUT IN WELLS TEMPORARILY ABANDONED 1784' FNL 487' FEL

-

I NG ÞIPEi.INE

PROPOSED LOCATION:WILKIN RIDGE FEDERAL #42-7-11-17

APPROXIMATE TOTAL PIPELINE DISTANCE = 11,674 -

LEGEND: GASCO PRODUCTION COMPANYPROPOSTDACCESSRO, N WILKIN RIDGE FEDERAL #4L7-11-17

-------- mmNo- SECTION 7, T11S, R17E, S.L.B.&M.----------- PROPOSED

CO PRODUCTION COMPALOCATIONLAYOUTFOR

WILKINRIDGEFEDERAL #42--7-11-17Approx.

SECTION7, T11S, R17E, S.L.B.&M. Toe ofC-J.Q' 1784' FNL 487' FEL Fili slope 0. '

65' Sta. J+80

F- 0.J'E/. 56.5'

SCALE: 1" = 50' o. No. 161DATE: 07-30-08 ui o *

Drawn By C.H. E o' RO

80FApprox. o ||Top ofCut Slope

ofIlllll

PIPE RACKSC-2 JE/. 59 1'

C-2O' C-1.5'20 WIDEBENCH 6 ri ass' O. 58.J'

20 LB. 59.1' 0 ' DOG HOUSEC-12. J 150' sto. reso(htm. pit) RIG s

56.9'- Totoi Pit copocity

W/T of Freeboard= 1J,900 Bb/s. ± El 56 7 --

Toto/ Pit Volume-- - J,9J0 Cu. Yds.

_

PUMP

pD ED

TOILET

POWERTR SH

RESERVE P/75(10' Deep) ----

TOOLS

--- --- FUEL Sta. 0+35 STORAGETANK

E/. 56. 7' y _

psC-9.9' 20' WIDE BENCH ri ssp' Round Corners

E-2. J' F-5.0'E/. 54.5, Proadosed Access E/. 51.8'

E/ev. Ungraded Ground at Location Stoke = 6658. J, UINTAH ENGINEERING & LAND SURVEYINGElev. Graded Ground at Location Stoke = 6656.8 es s, zoo z...• v.s. us.» e4ova •<eor)

CO PRODUCTION COMP til. TYPICAL CROSS SECTIONSFOR LANO

×-section WILKINRIDGEFEDERAL #42-7-11-17 esoate SECTION 7, T11S, R17E, S.L.B.&M. e No. 16131

1" = so' 1784' FNL 487' FEL ËË ROB

DATE: 07-30-08Drawn By C.H.

& CF

65' 150'

Finished Grade

SM. J+80

10' 100' 45 150h I i i i

LOCAT/ON STAKEF/LL CT

Slop e= 1 1/2. 1T/P.À

10' 100' 45 150I E I I

45 150i i ! E

Preconstruction

NOTE: -- F/LL .

ITopsoil should not be¯¯¯

--

Stripped Below Finished SM. 0+00Grade on Substructure Area.* NOTE

E/LL QUANT/TY/NCLUDESAPPROXIMATE YARDAGES 5% EOR COMPACT/0N

CUT EXCESS MATERIAL = J,920 Cu. Yds.(6") Topsoil Stripping = 1,950 Cu. Yds.

Topsoil & Pit Backfill = J,920 Cu. Yds.Remaining Location = 5,700 Cu. Yds. (1/2 Pit Vol.)

EXCESS UNBALANCE = 0 Cu.Yds.TOTAL CUT = 7,650 CU.YDS. (After Interim Rehabilitation)

FILL = J,7JO CU.YDS. IIINTAH ENGINEERING & LAND SURVEYING86 So. ß00 East * Vernal, UtaA 84078 * (801)

FEDERALSTIPULATIONS

AnyTimingLimitationStipulationswillbe attachedas a ConditionofApprovalbytheBLM.

Archeology

AClass lliArcheologicalSurveyhas beenconductedbyGrandRiverInstitute.Acopyofthisreportwillbe submitteddirectlytotheappropriateagenciesbyGrandRiverinstitute.

O e

SPECIAL STATUS PLANT SPECIES REPORT

Operator: Gasco Production CompanyWell(s): 42-7-11-17Location: Section 7, Township 11 South, Range 17 East in Duchesne County, UtahSurveyDate(s): June 17, 2008Observer(s): SWCA Environmental Consultants, Inc.Weather: 80°F, Sunny, 5-10 MPH

PROPOSED PROJECT:

Gasco proposes to drill proposed well Quarter-Quarter42, Section 7, Township 11 South,and Range 17 East, in Duchesne County, Utah. The proposed well is locatedapproximately 25 miles southwest of Myton, Utah on Federally owned land managed byBureau of Land Management (BLM). Mineral extraction activities, transportationcorridors, agricultural and ranching activities, livestock grazing, and erosion havehistorically impacted the project area.

PROJECT AREA DESCRIPTION:

The proposed project area is underlain by sedimentary deposits of the Uinta Formation ofLate Middle Eocene age at an elevation of approximately 6,000 feet. Soils in the projectarea are sandy with overlaying surface rock. The project area contains variable slopesdominated by perennial shrubs. Additionally, there were rock outcrops scatteredthroughout the proposed location. Slopes within the project area boundaries range from0-5%.

The vegetation in the project area is alkaline shrub community consisting of shadscale,budsage, greasewood, and prickly pear. Halogeton and cheatgrass can be found in smallamounts within the native vegetation. For a complete list of common plants associatedwith the desert shrub community in the project area see Appendix A.

SURVEY METHODOLOGY:

In May 2007 the Utah Department of Wildlife Resources website{http://dwredc.nr.utah.gov/uedc/)was reviewed for Uintah County. This site contains theU.S. Fish and Wildlife Service list of threatened, endangered and candidate species aswell as the BLM/Utah State sensitive species list. In addition, past survey reports andenvironmental documents were reviewed to determine which federally listed threatened,endangered and candidate species, and which BLM/Utah sensitive species (collectivelyreferred to as special status species) have the potential to occur in the project area. For

complete list of special status plant species within the county of the project area see

Appendix B.

Data on existing soils, geology, elevations, and vegetation types within the proposedproject area were used to determine which of these species have potential to occur within

the project area. In-house Geographic Information System (GIS) layers were examined

for known locations of and suitable habitat for special status plant species within theproject area. From this pre-project assessment, it was determined that Sclerocactuswetlandicus has a low potential to occur within the proposed project area.

In addition to the above existing data research, a site-specific survey of the proposed well

location, access road, and pipeline was conducted on the above mentioned date.

SURVEY RESULTS:There was approximately 5 percent potential S. wetlandicus habitat identified in theproposed project area. No S. wetlandicus individuals were located.

Lynda . Sperry DateBiologist/Project

e e

Appendix ACommon Plant

Appendix A - Common Plants in the Desert Shrub Community in the Project Area.

Scientific Name Common Name

Shrubs

Artemisia nova Black sagebrush

Atriplex canescens Four-winged saltbush

Atriplex confertifolia Shadscale saltbush

Ephedra torreyana Mormon tea

Ericameria nauseosus Rubber rabbitbrush

Grayia spinosa Spiny hopsage

Gutierrezia sarothrae Broom snakeweed

Juniperus osteosperma Utah juniperKrascheninnikovia lanata Winterfat

Picrothamnus desertorum Bud sage

Sarcobatus vermiculatus Greasewood

Tetradymia spinosa Common horsebrush

Grasses and Forbs

Achnatherum hymenoides Indian ricegrass

Agropyron dasystachyumvar. dasystachyum Thickspike wheatgrass

Allium textile Textile onion

Arenaria spp. Sandwort

Bouteloua gracilis Blue grama

Cleome lutea Yellow beeplant

Cymopterus spp. Spring parsley

Descurainia pinnata Tansy mustard

Elymus elymoides Squirreltail

Eriogonum inflatum Desert trumpet

Eriogonum sp. Buckwheat

Opuntia polyacantha Pricklypear

Phacelia crenulata Scorpionweed

Phlox spp. Phlox

Pleuraphis jamesii Galleta

Sitanion hystrix Squirreltail

Sphaeralcea spp. Globemallow

Sporobolus airoides Alkali sacaton

Thinopyrum intermedium Intermediate wheatgrass

Non-native and Invasive Weeds

Bromus tectorum Cheatgrass

Halogeton glomeratus Halogeton

USDA, NRCS. 2007. The PLANTS Database (http://plants.usda.gov, 7 September 2007). National PlantData Center, Baton Rouge, LA 70874-4490

Appendix BSpecial Status Plant

Appendix B --· Special Status Plant SpeciesScientific

Name Potential for Occurrence Within theStatus Habitat Association

Common Project AreaName

l'ederally-listed Threatened, Endangered, and Candidate Plant Species

Astragalus Candidate Duchesne River Formation soils in None. No suitable habitat. Formationsequisolensis sagebrush, shadscale, horsebrush, and associated soils do not occur in theHorseshoe and mixed desert shrub project area.milkvetch communities. 4790-5185 ft.

Penstemon Threatened East Duchesne and Uintah Counties. None. No suitable habitat.grahamii Evacuation Creek and LowerGraham Parachute Member of the Greenbeardtongue River Formation. Shale knolls in

sparsely vegetated desert shrub andpinyon-juniper cornmunities. 4600-6700 ft.

Penstemon Candidate Evacuation Creek and Lower None. No suitable habitat.scariosus var. Parachute Creek. Member of thealbi#uvis Green River Formation on sparselyWhite River vegetated shale slopes in mixedpenstemon desert shrub and pinyon-juniper

communities..5000-6000 ft.

Schoencrambe Threatened Bookcliffs on the contact zone None. No suitable habitat.argillacea between the upper Uintah and lowerClay Green River shale formations inthelopody mixed desert shrub of indian

ricegrass and pygmy sagebrush.5000-5650 ft.

Schoencrambe Endangered Evacuation Creek and lower None. No suitable habitat.suffrutescens Parachute Creek. Members of theShrubby reed- Green River Formation onmustard calcareous shale in pygmy

sagebrush, mountain mahogany,juniper,and mixed desert shrubcommunities. 5400-6000 ft.

Sclerocactus Threatened Gravelly hills and terraces on Yes.wetlandicus Quaternary and tertiaryalluvium

soils in cold desert shrubcommunities. 4700-6000 ft.

Spiranthes Threatened Streams, bogs, and open seepages None. No suitable habitat.diluvialis in cottonwood, salt cedar, willow,Ute ladiese and pinyon-juniper communitiesontresses the south arid east slope of the

Uintah Range and it's tributaries,and the Green River from BrownsPark to Split mountain. Potentially inthe upper reaches of streams in theBook Cliffs. 4400-6810

O eAppendix B - Special Status Plant Species

ScientificName . Potential for Occurrence Within the

Status Habitat AssociationCommon Project Area

NameBLM/Utah Sensitive Plant Species

Arabis Sensitive Webber Forination sandstone and None. No suitable habitat. Formations

vivariensis limestone outcrops in mixeddesert and associated soils do not occur in thePark rock shrub and pinyon-juniper project area.cress communities. 5000-6000 ft.

Astragalus Sensitive Duchesne, Moweryshale, Dakota, None. No suitable habitat. Formationshamiltonii and Wasatch Formation soils in and associated soils do not occur in theHamilton pinyon-juniper and desert shrub project area.

milkvetch cominunities. 5240-5800 ft.

Cirsium Sensitive East flank Uintah Mountains. None. No suitable habitat. Formationsownbeyi Sagebrush, juniper,and riparian and associated soils do not occur in the

Ownbey communities. 5500-6200 ft. project area. Out of range.

thistleCleomella Sensitive Associated withcharming woody None. No suitable habitat. Förmationspalmeriana aster (Machaeranthera venusta), and associated soils do not occur in theGoodrich ¡ntermountain phacelia, yellow project area. Out of range.

cleomella milkvetch, and mat saltbush oneroded slopes of heavy clay in theMorrison Formation at 5400 feet.

Erigeron Sensitive Pinyon-juniper communitieson None. No suitable habitat.

untermanii calcareous shales and sandstonesUntermann of the Uinta and Green Riverdaisy formations. Duchesne and Uintah

counties; endemic. 7000-7800 ft.

Habenaria Sensitive Moist streambanks, seeps, hanging None. No suitable habitat.zothecina gardens in mixed-desert shrub,Alcove bog. pinyon-juniper, and oakbrush (4,360-

orchid 8,690 feet).

Hymenoxys Sensitive Rock crevices in pinyon-juniper. None. No suitable habitatlapidicola Uintah County endemic (6,000-8,000

Rock feet)hymenoxisLepidium Sensitive Rock crevices, eroding parent None. No suitable habitat.huberi material, and alluvial solls of theHuber's Moenkopi, Navajo, Chirfle, andpepperplant Formations in the Uintah and Green

River Formation in the Bookcliffs.5600-8000 ft.

Penstemon Sensitive Daggett County. Semi-barren None. No suitable habitat.acaulis substrates in pinyon-juniper andStemless sagebrush-grass communities.penstemon 5840-7285

Appendix B -- Special Status Plant SpeciesScientific

Name . Potential for Occurrence Within theStatus Habitat Association

Common Project Area

NamePenstemon Sensitive Clay badlands from Myton to None. No suitable habitat.Mowersii Roosevelt and Randlett, in

Flowers shadscale and desert communities.penstemon 5000-5400 ft.

Penstemon Sensitive Brown's Park in Daggett County. None. No suitable habitat. Project areagibbensíí Sandy and shale (Green River is not in Daggett County.

Gibbens Shale) bluffs and slopes with juniper,penstemon thistle,Eriogonum, Elymus,

serviceberry, rabbitbrush, andThermopsis. 5500-6400 ft.

Penstemon Sensitive Lapoint-Tridell-Whiterocksarea. None. No suitable habitat.goodrichii Duchesne River Formation on blueGoodrich gray to reddish bands of daypenstemon badlands. Elevations 5590 to 6215

PALEONTOLOGY EVALUATION SHEET

PROJECT: GASCO ENERGY WELL - Wilkin Ridge Federal #42-7-11-17

LOCATION: Twenty seven miles south of Roosevelt, Utah 1784' FNL 487' FEL of section 7,T11S, R17E, Duchesne County, Utah.

OWNERSHIP: PRIV[ ] STATE[ ] BLM[ X ] USFS[ ] NPS[ ] IND[ ] MIL[ ] OTHER[ }

DATE: June 25, 2008

GEOLOGY/TOPOGRAPHY: Rock exposures in the area are of the lower part of the lowermember (bottom) of the Uinta Formation, Upper Eocene age. There is an existing two track roadthrough the well pad. The pipeline follows along side the road. Most of the area along theroad/pipeline and the well pad has a thin cover of slope wash, sand, silt, and rock fragments. Thepad is on a flat bench with the same cover.

PALEONTOLOGY SURVEY: YES [ ] NO Survey [ ] PARTIAL Survey [X ]Rock exposures at the well pad, and along the road and pipeline were surveyed.

SURVEY RESULTS: Invertebrate [ ] Plant [ ] Vertebrate [ ] Trace [ ] No Fossils Found [ X ]

PALEONTOLOGY SENSITIVITY: HIGH [ ] MEDIUM [ x ] LOW [ X ] (PROJECT SPECIFIC)

MIT GATION RECOMMENDATIONS: NONE [ ] OTHER [ X ] (SEEBELOW)

No recommendations are made for this well location, road or pipeline.

There is always some potential for discovery of significant paleontological resources in the UintaFormation. If significant vertebrate fossils (mammals, crocodiles, complete turtle shells, etc.) areencountered during construction, work should stop in that area and a paleontologist contacted toevaluate the material discovered.

PALEONTOLOGIST: Alden H. HamblinA.H. Hamblin Paleontological Consulting, 3793 N. Minersville Highway, Cedar City, Utah 84720 (435) 867-8355

Utah State Paleontological Permit # 07-355, BLM paleontological Resources Permit # UTO8-003C.Utah Professional Geologist License -

9K)EKSHEETAPPLICATION FOR PERMIT TO DRILL

APD RECEIVED: 02/17/2009 API NO. ASSIGNED: 43-013-34208

WELL NAME: WILKIN RIDGE FED 42-7-11-17

OPERATOR: GASCO PRODUCTION ( N2575 ) PHONE NUMBER: 303-857-9999

CONTACT: VENESSA LANGMACHER

PROPOSED LOCATION: INSPECT LOCATN BY: / /SENE 07 110s 170E . .

Tech Review Initials DateSURFACE: 1784 FNL 0487 FEL

BOTTOM: 1784 FNL 0487 FEL Engineering

COUNTY: DUCHESNE GeologyLATITUDE: 39.87389 LONGITUDE: -110.04626

UTM SURF EASTINGS:581563 NORTHINGS: 4413986 Surface

FIELD NAME: UNDESIGNATED ( 2 )

LEASE TYPE: 1 - Federal

LEASE NUMBER: UTU-75672 PROPOSED FORMATION: DKTA

SURFACE OWNER: 1 - Federal COALBED METHANE WELL? NO

RECEIVED AND/OR REVIEWED: LOCATION AND SITING:

Plat R649-2-3.

Bond:Fed[1] Ind[] Sta[] Fee[]Unit: WILKIN RIDGE DEEP

(No. UT-1233 )Potash (Y/N) p/ R649-3-2. General

Oil Shale 190-5 (B) or 190-3 or 190-13 Siting: 460 From Qtr/Qtr & 920' Between Wells

/ Water Permit _ _

R649-3-3. Exception

(No. 43-1721 )RDCC Review (Y/N)

Drilling Unit

Board Cause No:(Date: )

Eff Date:Fee Surf Agreement (Y/N) Siting:

Intent to Commingle (Y/N) R649-3-11. Directional Drill

COMMENTS:

e e

12 aLocation Map

Tooele

Daor

RiSumm

satci DuchesneUtah Uintah

Juab Carbon

01 1OS -8

Sanpete

Bea

lard

SeevierEmeery Grand

Washirng

on

Kanearfielan Juan

1,500 750

1:13,285

2/2009) Diana Mason - Willki Page 1

United States Department of the Interior

BUREAU OF LAND MANAGEMENTUtah State OfficeP.O. Box 45155

Salt Lake City, Utah 84145-Of55

IN REPLY REFER TO:3160(UT-922)

March 2, 2009

Memorandum

To: Assistant District Manager Minerals, Vernal District

From: Michael Coulthard, Petroleum Engineer

Subject: 2009 Plan of Development Wilkin Ridge Unit, Duchesne andUintah County, Utah.

Pursuant to email between Diana Whitney, Divisionof Oil, Gas and Mining, and MickeyCoulthard, Utah State Office, Bureau of Land Management, the following well isplanned for calendar year 2009 within the Wilkin Ridge Unit, Duchesne County, Utah.

APl# WELLNAME LOCATION

(Proposed PZ Dakota)

43-013-34208 Wilkin Ridge Fed 42-7-11-17 Sec 07 T11S R17E 1784 FNL 0487 FEL

This office has no objection to permitting the well at this time.

Is/ Michael L. Coulthard

bcc: File - Wilkin Ridge UnitDivision of Oil Gas and MiningCentral FilesAgr. Sec. ChronFluid Chron

O OState of Utah\°a

,

"" 27 DEPARTMENT OF NATURAL RESOURCES-y MICHAEL R. STYLER

JON M. HUNTSMAN, JR. Executive Director

covemor Division of Oil, Gas and MiningGARY R. HERBERT JOHN R. BAZALieutenant Govemor Division Director

March 2, 2009

Gasco Production Company8 Inverness Drive East. Suite 100Englewood, CO 80112

Re: Wilkin Ridge Federal 42-7-11-17 Well, 1784' FNL, 487' FEL, SE NE, Sec. 7,T. 11 South, R. 17 East, Duchesne County, Utah

Gentlemen:

Pursuant to the provisions and requirements of Utah Code Ann.§ 40-6-1 et seq., UtahAdministrative Code R649-3-1 et seq., and the attached Conditions of Approval, approval to drillthe referenced well is granted.

This approval shall expire one year from the above date unless substantial and continuousoperation is underway, or a request for extension is made prior to the expiration date. The APIidentification number assigned to this well is 43-013-34208.

Sincerely,

Gil HuntAssociate Director

pabEnclosures

cc: Duchesne County AssessorBureau of Land Management, Vernal Office

UTAH

DNR

1594 West North Temple, Suite 1210, PO Box 145801, Salt Lake City, UT 84114-5801telephone (801) 538-5340 •facsimile (801) 359-3940 • TTY (801) 538-7458 •www.ogm.utah.gov OIL, GAS &

O O

Operator: Gasco Production CompanyWell Name & Number Wilkin Ridge Federal 42-7-11-17

API Number: 43-013-34208Lease: UTU-75672

Location: SE NE Sec._7_ T. 11 South R. 17 East

Conditions of Approval1. General

Compliance with the requirements of Utah Admin. R. 649-1 et seq., the Oil and GasConservation General Rules, and the applicable terms and provisions of the approvedApplication for permit to drill.

2. Notification RequirementsNotify the division within 24 hours of spudding the well.

• Contact Carol Daniels at (801) 538-5284.

Notify the Division prior to commencing operations to plug and abandon the well.• Contact Dustin Doucet at (801) 538-5281 (801) 733-0983 home

3. Reporting RequirementsAll required reports, forms and submittals will be promptly filed with the Division,including but not limited to the Entity Action Form (Form 6), Report of WaterEncountered During Drilling (Form 7), Weekly Progress Reports for drilling andcompletion operations, and Sundry Notices and Reports on Wells requesting approval ofchange of plans or other operational actions.

4. State approval of this well does not supersede the required federal approval, which must beobtained prior to drilling.

5. This proposed well is located in an area for which drilling units (well spacing patterns) havenot been established through an order of the Board of Oil, Gas and Mining (the "Board").In order to avoid the possibility of waste or injury to correlative rights, the operator isrequested, once the well has been drilled, completed, and has produced, to analyzegeological and engineering data generated therefrom, as well as any similar data fromsurrounding areas if available. As soon as is practicable after completion of its analysis,and if the analysis suggests an area larger than the quarter-quarter section upon which thewell is located is being drained, the operator is requested to seek an appropriate orderfrom the Board establishing drilling and spacing units in conformance with such analysis

by filing a Request for Agency Action with the

Form 3160-3 FORM APPROVED

(August2097) OMB No. 1004-0137

UNITED STATES Expires July 31, 2010

DEPARTMENT OFTHEINTERIOFlECE1VED5.LeaseSerialNo.

BUREAU OF LAND MANAGEMENT UTU-75672cea i § 6. If Indian, Allottee or Tribe Name

APPLICATIONFORPERMITTODRILLORREENTER N/Ala. Type of Work: DRILL REENTER 7. If Unit or CA Agreement,Name and No.

WilkinRidge8. Lease Name and WellNo.

Ib. Type of Well: OHWen Gm Weß Other Single Zone Multiple Zone WilkinRidgeFederal#42-7-11-17

2. Name of Operator 303/483-0044 8 inverness DriveEast, Suite100 9. API Well No.

GascoProductionCompany Englewood,CO80112 - B -0/4-- 'afx

3. Name of Agent 303/857-9999 P.O.Box99 10. Field and Pool, or Exploratory

PermitcoInc. - Agent Eastlake,CO80614 WilkinRidge4. Location of Well (Report location clearly and in accordance with any State requirements.*) 11. Sec., T., R., M., or Blk, and Survey or Area

At surface 1784'FNLand487' FEL Section7, T11S- R17EAt proposed prod. zone SE NE14. Distance in miles and direction from nearest town or post office* 12. County or Parish 13. State

Approximately28.2milessouthofMyton,UT Duchesne UT15. Distance fiom proposed* 16. No. of Acres in lease 17. Spacing Unit <edicated to this well

location to nearestproperty or lease line, ft 1784'(Also to nearest drig. unit line, if any) 2532.56 N/AWithinUnit

18. Distance from proposed location* 19. Proposed Depth 20. BLM/BIA Bond No. on fileto nearest well, dn11ing,completed,applied for, on this lease, ft 3,650' 17,535' UT-1233

21. Elevations (Show whether DF, KDB, RT, GL, etc.) 22. Approximate date work will start* 23. Estimated duration

6658' GL November1,2008 55 Days24. Attachments

The following,completed in accordance with the requirements of Onshore Oil and Gas Order No. 1, shall be attached to this form:

1. Well plat certified by a registeied surveyor. 4. Bond to cover the operations unless covered by an existing bond on file (see

2. A Drilling Plan. Item 20 above).

3. A Surface Use Plan (if the location is on National Forest SystemLands, the 5. Operator certification.

SUPOmust be filed with the appropriate Forest Service Office). 6. Such other site specific information and/or plans as may be required by the

BLM.

25. S ture Name (Printed/Typed) ' Date

Venessa Langmacher 9/12/2008Title

RegulatorySupervisor/ Agentfor GascoProductionCompanyApproved by (Signature) Name (Printed/Typed) Dt

Title Office

I

Application approval does not warrant or certify that the applicant holds legal or equitable title to those rights in the subject lease which would entitle the applicant to

conduct operations thereon.

Conditions of approval, if any, are attached.

Title 18 U.S.C. Section 1001and Title 43 U S.C. Section 1212, make it a crime for any person knowingly and willfully to make to any department or agency of the

(ne Scttes a ti tements or representations as to any matter within its jurisdiction.

E RECEIVED

AFMSS 04 *"2

UNITED STATES DEPARTMENT OF THE INTERIOR ..

BUREAU OF LAND MANAGEMENTVERNAL FIELD OFFICE

rensË 170 South 500 East VERNAL, UT 84078 (435) 781-4400

CONDITIONS OF APPROVAL FOR APPLICATION FOR PERMIT TO DRILL

Company: Gasco Production Company Location: SENE, Sec.7, T11S, R17EWell No: Wilkin Ridge Federal 42-7-11-17 Lease No: UTU-75672API No: 43-013-34208 Agreement: Wilkin Ridge Unit

Title Name Office Phone Number Cell Phone NumberPetroleum Engineer: Matt Baker (435) 781-4490 (435) 828-4470Petroleum Engineer: Michael Lee (435) 781-4432 (435) 828-7875Petroleum Engineer: Ryan Angus (435) 781-4430 (435) 828-7368Supervisory Petroleum Technician: Jamie Sparger (435) 781-4502 (435) 828-3913Supervisory NRS: Karl Wright (435) 781-4484NRS/Enviro Scientist: HollyVilla (435) 781-4404 (435) 828-3544NRS/Enviro Scientist: James Hereford (435) 781-3412 (435) 828-3546NRS/Enviro Scientist: Chuck Macdonald (435) 781-4441 (435) 828-7481NRS/Enviro Scientist: Dan Emmett (435) 781-3414 (435) 828-4029NRS/Enviro Scientist: Paul Percival (435) 781-4493 (435) 828-7381NRS/Enviro Scientist: Anna Figueroa (435) 781-3407 (435) 828-3548NRS/Enviro Scientist: Verlyn Pindell (435) 781-3402 (435) 828-3547NRS/Enviro Scientist: Nathan Packer (435) 781-3405 (435) 828-3545NRS/Enviro Scientist: David Gordon (435) 781-4424NRS/Enviro Scientist: Christine Cimiluca (435) 781-4475NRS/Enviro Scientist: . Lori Ford (435) 781-4406

Fax: (435) 781-3420

A COPY OF THESE CONDITIONS SHALL BE FURNISHED TO YOURFIELD REPRESENTATIVE TO.INSURE COMPLIANCE

All lease and/or unit operations are to be conducted in such a manner that full compliance is made with theapplicable laws, regulations (43 CFR Part 3160), and this approved Application for Permit to Drill includingSurface and Downhole Conditions of Approval. The operator is considered fully responsible for the actions of hissubcontractors. A copy of the approved APD must be on location during construction, drilling, and completionoperations. This permit is approved for a two (2) year period, or until lease expiration, whichever occursfirst. An additional extension, up to two (2) years, may be applied for by sundry notice prior to expiration.

NOTIFICATION REQUIREMENTS

Location Construction - Forty-Eight (48) hours prior to construction of location andNotify Environmental Scientist) access roads.

Location Completion - Prior to movingon the drilling rig.(Notify_EnvironmentaEScientist)Spud Notice - Twenty-Four (24) hours prior to spudding the well.(Notify Petroleum Engineer)Casing String & Cementing - Twenty-Föur (24) hours prior to running casing and(Notify Supv. Petroleum Tech.) cementing_all casing stängs.BOP & Related Equipment Tests - Twenty-Four (24) hours prior to initiating pressure tests.Notify Supv. Petroleum Tech.)

First Production Notice - Within Five (5) business days after new well begins or(Notify Petroleum Engineer) production resumes after well has been off production for

more than ninety (90)

Page 2 of 7Well: 42-7-11-17

3/6/2009

SURFACE USE PROGRAMCONDITIONS OP APPROVAL (COAs)

• Ifthere is an active Gilsonite miningoperation within 2 miles of the well location, operator shallnotify the Gilsonite operator at least 48 hours prior to any blasting during construction.

• Ifpaleontological materials are uncovered during construction, the operator is to immediatelystop work and contact the Authorized Officer (AO). A determination will be made by the AO asto what mitigation may be necessary for the discovered paleontologic material beforeconstruction can continue.

SITE SPECIFIC CONDITIONS OF APPROVAL

• Surface Conditions of Approvalor monitoringare listed in the Surface Use Plan of the APDs.

• The operator willcontrol noxious weeds along access road use authorizations, pipeline routeauthorizations, well sites, or other applicable facilities by spraying or mechanical removal. OnBLMadministered land, it is required that a Pesticide Use Proposal be submitted, approved anda permit issued prior to the application of herbicides, pesticides or possibly hazardouschemicals.

• Pad will be constructed with the reserve pit on the north side of pad.

• The o erator shall construct a low water crossin alon the ro osed access road in order toP 9 9 P Pmaintain existing drainage.

• Within 90 calendar days of the approval date for this Application for Permit to Drill (APD), theoperator/lessee shall submit to the-Authorized Officer (AO), on Sundry Notice Form 3160-5, anInterim Surface Reclamation Plan for surface disturbance on well pads, access roads, andpipelines. At a minimum, this will include the reshaping of the pad to the original contour to theextent possible; the respreading of the top soil up to the tig anchor points; and, the areareseeded using appropriate reclamation methods. The AO will provide written approval orconcurrence within 30 calendar days of receipt. The following seed mixshall be used:

Type Ibs.lacreWestern Wheatgrass Agropyron smithii 4Needle and Threadgrass Stipa comata 4Hy-crest Crested Agropyron cristatum 4wheatgrass** Seed should be drilled; but if broadcasted double the pounds peracre used and work the solids mechanically to cover the seed.

• Following well plugging and abandonment, the location, access roads, pipelines, and otherfacilities shall be reclaimed. All disturbed surfaces shall be reshaped to approximate theoriginal contour; the top soil respread over the surface; and, the surface revegetated. Thefollowing seed mix shall be used, unless BLMpersonnel determine that conditions havechanged and another mixwould be more suitable:

Type Ibs.lacreShadscale Atriplex confertifolia

Page 3 of 7Well: 42-7-11-17

3/6/2009

Winterfat Eurotia lanata 3Galleta grass Hilaria jamesil 3Indian Rice Grass Oryzopsis hymenoides 3** Seed should be drilled; but if broadcasted double the pounds peracre used and work the solids mechanically to cover the

Page 4 of 7Well: 42-7-11-17

3/6/2009

DOWNHOLE PROGRAMCONDITIONS OF APPROVAL (COAs)

SITE SPECIFIC DOWNHOLE COAs:

• Surface and Intermediate casing shoe integrity test shall be performed.

• Intermediate cement top shall be at a minimumof 200' above the surface casing shoe.

• Production casing cement top shall be at a minimumof 200' above the intermediate casingshoe.

• A Cement Bond Log (CBL) shall be run from TD to the base of the surface casing.

• A Gamma Ray Log (GR) shall be run from TD to surface.

All provisions outlined in Onshore Oil & Gas Order #2 Drilling Operations shall be strictlyadhered to. The following items are emphasized:

DRILLINGICOMPLETIONIPRODUClNG OPERATING STANDARDS

• The spud date and timeshall be reported orallyto Vernal Field Office within 24 hours ofspudding.

• Notify Vernal Field Office Supervisory Petroleum Engineering Technician at least 24 hours in -advance of casinq cementing operationsand BOPE & casinq pressure tests.

• All requirements listed in Onshore Order #2 Ill. E. Special Drilling Operations are applicable forair drilling of surface hole.

• Blowout prevention equipment (BOPE) shall remain in use until the well is completed orabandoned. Closing unit controls shall remain unobstructed and readilyaccessible at all times.Choke manifolds shall be located outside of the rig substructure.

• All BOPE components shall be inspected daily and those inspections shall be recorded in thedaily drilling report. Components shall be operated and tested as required by Onshore Oil &Gas Order No. 2 to insure good mechanicaÍ working order. AllBOPE pressure tests shall beperformed by a test pump with a chart recorder and g by the rig pumps. Test shall bereported in the driller's log.

• BOP drills shall be initially conducted by each drilling crew within 24 hours of drilling out fromunder the surface casing and weekly thereafteras specified in Onshore Oil & Gas Order No. 2.

• Casing pressure tests are required before drilling out from under all casing strings set andcemented in place.

• No aggressivelfresh hard-banded drill pipe shall be used within casing.

• Cement baskets shall not be run on surface

Page 5 of 7Well: 42-7-11-17

3/6/2009

• The operator must report all shows of water or water-bearing sands to the BLM. If flowing wateris encountered it must be sampled, analyzed, and a copy of the analyses submitted to the BLMVernal Field Office.

• The operator must report encounters of all non oil& gas mineral resources (such as Gilsonite,tar sands, oilshale, trona,etc.) to the Vernal Field Office, in writing, within 5 working days ofeach encounter. Each report shall include the well nameinumber, well location, date and depth(from KB or GL) of encounter, vertical footage of the encounter and, the name of the personmaking the report (along with a telephone number) should the BLMneed to obtain additionalinformation.

• A complete set of angular deviation and directional surveys of a directional well will besubmitted to the Vernal BLM office engineer within 30 days of the completion of the well.

• While activelydrilling, chronologic drilling progress reports shall be filed directly with the BLM,Vernal Field Office on a weekly basis in sundry, letter format or e-mail to the PetroleumEngineers until the well is completed.

• A cement bond log (CBL) will be run from the production casing shoe to the top of cement andshall be utilizedto determine the bond quality for the production casing. Submit a field copy ofthe CBL to thisoffice.

• Please submit an electronic copy of all other logs run on this well in LAS format toUT_VN_Welllogs@BLM.gov. This submission will supersede the requirement forsubmittal of paper logs to the BLM.

• There shall be no deviation from the proposed drilling, completion, and/or workover program asapproved. Safe drilling and operating practices must be observed. Any changes in operationmust have prior approval from the BLMVernal Field

Page 6 of 7Well: 42-7-11-17

3/6/2009

OPERATING REQUIREMENT REMINDERS:

• Allwells, whether drilling, producing, suspended, or abandoned, shall be identified inaccordance with 43 CFR 3162.6. There shall be a sign or marker with the name of the operator,lease serial number, well number, and surveyed description of the well.

• In accordance with 43 CFR 3162.4-3, thiswell shall be reported on the "Monthly Report ofOperations" (Oil and Gas Operations Report ((OGOR)) starting with the month in whichoperations commence and continue each month until the well is physically plugged andabandoned. This report shall be filed in duplicate, directly with the Minerals ManagementService, P.Ó. Box 17110, Denver, Colorado 80217-0110, or call 1-800-525-7922 (303) 231-3650 for reporting information.

• Should the well be successfully completed for production, the BLMVernal Field office must benotified when it is placed in a producing status. Such notificationwillbe by writtencommunication and must be received in this officeby not later than the fifth business dayfollowing the date on which the well is placed on production. The notification shall provide, as aminimum, the following informational items:

o Operator name, address, and telephonenumber.

o Well name and number.

o Well location (¼¼,Sec., Twn, Rng, and P.M.).

o Date well was placed in a producing status (date of first production for which royalty willbe paid).

o The nature of the well's production, (i.e., crude oil, or crude oil and casing head gas, ornatural gas and entrained liquid hydrocarbons).

o The Federal or Indian lease prefix and number on which the well is located; otherwisethe non-Federal or non-indian \and category, i.e., State or private.

o Unit agreement and/or participating area name and number, if applicable.

o Communitization agreement number, ifapplicable.

• Any venting or flaring of gas shall be done in accordance with Notice to Lessees (NTL) 4A andneeds prior approval from the BLMVernal Field Office.

• All undesirable events (fires, accidents, blowouts, spills, discharges) as specified in NTL 3A willbe reported to the BLM, Vernal Field Office. Major events, as defined in NTL3A, shall bereported verbally within 24 hours, followed by a written report within 15 days. "Other than MajorEvents" will be reported in writing within 15 days. "Minor Events" will be reported on theMonthly Report of Operations and Production.

• Whether the well is completed as a dry hole or as a producer, "Well Completion andRecompletion Report and Log" (BLM Form 3160-4) shall be submitted not later than 30 daysafter completion of the well or after completion of operations being performed, in accordancewith 43 CFR 3162.4-1. Two copies of all logs run, core descriptions, and all other surveys

Page 7 of7Well: 42-7-11-17

3/6/2009

data obtained and compiled during the drilling, workover, and/or completion operations, shall befiled on BLM Form 3160-4. Submit with the well completion report a geologic report including,at a rninimum,formation tops, and a summary and conclusions. Also include deviation surveys,sample descriptions, strip logs, core data, drillstem test data, and results of production tests ifperformed. Samples (cuttings, fluid, and/or gas) shall be submitted only when requested by theBLM,Vernal Field Office.

• Alloff-lease storage, off-lease measurement, or comminglingon-lease or off-lease, shall haveprior written approval from the BLMVernal Field Office.

• Oil and gas meters shall be calibrated in place prior to any deliveries. The BLMVernal FieldOffice Petroleum Engineers will be provided with a date and time for the initial meter calibrationand all future meter proving schedules. A copy of the meter calibration reports shall besubmitted to the BLMVernal Field Office. All measurement facilities will conform to the APIstandards for liquid hydrocarbons and the AGA standards for natural gas measurement. Allmeasurement points shall be identified as the point of sale or allocation for royalty purposes.

• A schematic facilities diagram as required by Onshore Oil & Gas Order No. 3 shall be submittedto the BLMVernal Field Office within30 days of installation or first production, whichever occursfirst. All site security regulations as specified in Onshore Oil & Gas Order No. 3 shall beadhered to. All product lines eritering and leaving hydrocarbon storage tanks will be effectivelysealed in accordance with Onshore Øil& Gas Order No. 3.

• Any additional construction, reconstruction, or alterations of facilities, including roads, gatheringlines, batteries, etc., which will result in the disturbance of new grourid, shall require the filing ofa suitable plan and need prior approval of the BLMVernal Field Office. Emergency approvalmay be obtained orally, but such approval does not waive the written report requirement.

• No location shall be constructed or moved, no well shall be plugged, and no drilling or workoverequipment shall be removed from a well to be placed in a suspended status without priorapproval of the BLMVernal Field Office. If operations are to be suspended for more than 30days, prior approval of the BLMVernal Field Office shall be obtained and notification givenbefore resumption of operations.

• Pursuant to Onshore Oil & Gas Order No. 7, this is authorization for pit disposal of waterproduced from thiswell for a period of 90 days from the date of initial production. A permanentdisposal method must be approved by this officeand in operation prior to the end of this 90-dayperiod. In order to meet this deadline, an application for the proposed permanent disposalmethod shall be submitted along with any necessary water analyses, as soon as possible, butno later than 45 days after the date of first production. Any method of disposal which has notbeen approved prior to the end of the authorized 90-day period will be considered as an Incidentof Noncompliance and will be grounds for issuing a shut-in order until an acceptable manner fordisposing of said water is provided and approved by this office.

• Unless the plugging is to take place immediately upon receipt of oral approval, the Field OfficePetroleum Engineers must be notified at least 24 hours in advance of the plugging of the well, inorder that a representative may witness plugging operations. Ifa well is suspended orabandoned, all pits must be fenced immediately until they are backfilled. The "SubsequentReport of Abandonment" (Form BLM3160-5) must be submitted within 30 days after the actualplugging of the well bore, showing location of plugs, amount of cement in each, and amount ofcasing left in hole, and the current status of the surface

API Well No: 43013342080000

STATE OF UTAHDEPARTMENT OF NATURAL RESOURCES

DIVISION OF OIL, GAS, AND MINING

FORM 9

5.LEASE DESIGNATION AND SERIAL NUMBER: UTU-75672

SUNDRY NOTICES AND REPORTS ON WELLSDo not use this form for proposals to drill new wells, significantly deepen existing wells below currentbottom-hole depth, reenter plugged wells, or to drill horizontal laterals. Use APPLICATION FOR PERMIT TODRILL form for such proposals.

6. IF INDIAN, ALLOTTEE OR TRIBE NAME:

7.UNIT or CA AGREEMENT NAME: WILKIN RIDGE DEEP

1. TYPE OF WELL Gas Well

8. WELL NAME and NUMBER: WILKIN RIDGE FED 42-7-11-17

2. NAME OF OPERATOR: GASCO PRODUCTION COMPANY

9. API NUMBER: 43013342080000

3. ADDRESS OF OPERATOR: 8 Inverness Dr. East, Suite 100 , Englewood, CO, 80112

9. FIELD and POOL or WILDCAT: UNDESIGNATED

4. LOCATION OF WELL FOOTAGES AT SURFACE: 1784 FNL 0487 FEL QTR/QTR, SECTION, TOWNSHIP, RANGE, MERIDIAN: Qtr/Qtr: SENE Section: 07 Township: 11.0S Range: 17.0E Meridian: S

COUNTY: DUCHESNE

STATE: UTAH

11.

CHECK APPROPRIATE BOXES TO INDICATE NATURE OF NOTICE, REPORT, OR OTHER DATA

TYPE OF SUBMISSION TYPE OF ACTION

NOTICE OF INTENTApproximate date work will start:

11/12/2010

SUBSEQUENT REPORTDate of Work Completion:

SPUD REPORTDate of Spud:

DRILLING REPORTReport Date:

ACIDIZE ALTER CASING CASING REPAIR

CHANGE TO PREVIOUS PLANS CHANGE TUBING CHANGE WELL NAME

CHANGE WELL STATUS COMMINGLE PRODUCING FORMATIONS CONVERT WELL TYPE

DEEPEN FRACTURE TREAT NEW CONSTRUCTION

OPERATOR CHANGE PLUG AND ABANDON PLUG BACK

PRODUCTION START OR RESUME RECLAMATION OF WELL SITE RECOMPLETE DIFFERENT FORMATION

REPERFORATE CURRENT FORMATION SIDETRACK TO REPAIR WELL TEMPORARY ABANDON

TUBING REPAIR VENT OR FLARE WATER DISPOSAL

WATER SHUTOFF SI TA STATUS EXTENSION APD EXTENSION

WILDCAT WELL DETERMINATION OTHER OTHER:

12. DESCRIBE PROPOSED OR COMPLETED OPERATIONS. Clearly show all pertinent details including dates, depths, volumes, etc.

NAME (PLEASE PRINT) Roger Knight

TITLE EHS Supervisor

SIGNATURE N/A

DATE 3/1/2010

PHONE NUMBER:303 483-0044 Ext

PHONE NUMBER303 996-1803

March 01, 2010

March 01, 2010

iPI Well No: 43013342080000

FORM 9

STATE OF UTAHDEPARTMENT OF NATURAL RESOURCES

DIVISION OF OIL, GAS, AND MINING LEAS7E56D7ESIGNATION AND SERIAL NUMBER:

SUNDRY NOTICES AND REPORTS ON WELLS 6. IF INDIAN, ALLOTTEE OR TRIBE NAME:

Do not use this form for proposals to drill new wells, significantly deepen existing wells below currentbottom-hole depth, reenter plugged wells, or to drill horizontal laterals. Use APPLICATION FOR PERMIT TO 7.UNIT or CA AGREEMENT NAME:

DRILL form for such proposals. WILKIN RIDGE DEEP

1. TYPE OF WELL 8. WELL NAME and NUMBER:Gas Well WILKIN RIDGE FED 42-7-11-17

2. NAME OF OPERATOR: 9. API NUMBER:GASCO PRODUCTION COMPANY 43013342080000

3. ADDRESS OF OPERATOR: PHONE NUMBER: 9. FIELD and POOL or WILDCAT:8 Inverness Dr. East, Suite 100 , Englewood, CO, 80112 303 483-0044 Ext UNDESIGNATED

4.LOCATIONOFWELL COUNTY:FOOTAGES AT SURFACE: DUCHESNE

1784 FNL 0487 FELQTR/QTR, SECTION, TOWNSHIP, RANGE, MERIDIAN: STATE:

Qtr/Qtr: SENE Section: 07 Township: 11.05 Range: 17.0E Meridian: S UTAH

11.CHECK APPROPRIATE BOXES TO INDICATE NATURE OF NOTICE, REPORT, OR OTHER DATA

TYPE OF SUBMISSION TYPE OF ACTION

ACIDIZE ALTER CASING CASING REPAIR

/ NOTICE OF INTENTApproximate date work will start: CHANGE TO PREVIOUS PLANS CHANGE TUBING CHANGE WELL NAME

11/12/2010CHANGE WELL STATUS COMMINGLE PRODUCING FORMATIONS CONVERT WELL TYPE

SUBSEQUENT REPORT DEEPEN FRACTURE TREAT NEW CONSTRUCTIONDate of Work Completion:

OPERATOR CHANGE PLUG AND ABANDON PLUG BACK

PRODUCTION START OR RESUME RECLAMATION OF WELL SITE RECOMPLETE DIFFERENT FORMATION

SPUD REPORTDate of Spud: REPERFORATE CURRENT FORMATION SIDETRACK TO REPAIR WELL TEMPORARY ABANDON

TUBING REPAIR VENT OR FLARE WATER DISPOSAL

DRILLING REPORT WATER SHUTOFF SI TA STATUS EXTENSION APD EXTENSIONReport Date:

WILDCAT WELL DETERMINATION OTHER OTHER:

12. DESCRIBE PROPOSED OR CC MPLETED OPERATIONS. Clearly show all pertinent details including dates, depths, volumes, etc.

Approved by theUtah Division of

Oil, Gas and Mining

Dat·e, 2010

NAME (PLEASE PRINT) PHONE NUMBER TITLERoger Knight 303 996-1803 EHS Supervisor

SIGNATURE DATEN/A 3/1/2010

RECEIVED March 01,

The Utah Division of Oil, Gas, and Mining

- State of Utah- Department of Natural Resources

Electronic Permitting System - Sundry Notices

Request for Permit Extension Validation Well Number 43013342080000

API: 43013342080000Well Name: WILKIN RIDGE FED 42-7-11-17

Location: 1784 FNL 0487 FEL QTR SENE SEC 07 TWNP 110S RNG 170E MER SCompany Permit Issued to: GASCO PRODUCTION COMPANY

Date Original Permit Issued: 3/2/2009

The undersigned as owner with legal rights to drill on the property as permitted above, hereby verifies thatthe information as submitted in the previously approved application to drill, remains valid and does notrequire revision. Following is a checklist of some items related to the application, which should be verified.

If located on private land, has the ownership changed, if so, has the surface agreement beenupdated? Yes No

Have any wells been drilled in the vicinity of the proposed well which would affect the spacing orsiting requirements for this location? Yes No

Has there been any unit or other agreements put in place that could affect the permitting or operationof this proposed well? Yes No

Have there been any changes to the access route including ownership, or rightof- way, which couldaffect the proposed location? Yes No

Has the approved source of water for drilling changed? Yes No

Have there been any physical changes to the surface location or access route which will require achange in plans from what was discussed at the onsite evaluation? Yes No

Is bonding still in place, which covers this proposed well? Yes No

Signature: Roger Knight Date: 3/1/2010

Title: EHS Supervisor Representing: GASCO PRODUCTION COMPANY

March 01, 2010

March 01, 2010

UTAH

DNR The Utah Division of Oil, Gas, and Mining'

- State of Utah- Department of Natural ResourcesElectronic Permitting System - Sundry Notices

OTI GAS MlNTNG

Request for Permit Extension Validation Well Number 43013342080000

API: 43013342080000Well Name: WILKIN RIDGE FED 42-7-11-17

Location: 1784 FNL 0487 FEL QTR SENE SEC 07 TWNP 1105 RNG 170E MER SCompany Permit Issued to: GASCO PRODUCTION COMPANY

Date Original Permit Issued: 3/2/2009

The undersigned as owner with legal rights to drill on the property as permitted above, hereby verifies thatthe information as submitted in the previously approved application to drill, remains valid and does notrequire revision. Following is a checklist of some items related to the application, which should be verified.

•If located on private_land, has the ownership changed, if so, has the surface agreement beenupdated? I___|I Yes I_Ð_I No

• Have any wells been drilled in the vicinity of the_proposed well which would affect the spacing orsiting requirements for this location? I:___) Yes _®_) No

• Has there been any unit or other agreements put in place that could affect the permitting or operationof this proposed well? I i Yes i i No

• Have there been any changes to the access route including ownership, or rightof- way, which couldaffect the proposed location? I___) Yes I _I No

• Has the approved source of water for drilling changed? I __I Yes i i No

• Have there been any physical changes to the surface location or access route which will require achange in plans from what was discussed at the onsite evaluation? I___I Yes I®I No

Approved by the•Is bonding still in place, which covers this proposed well? I§|I Yes i i No Utah Division of

Oil, Gas and MiningSignature: Roger Knight Date: 3/1/2010

Title: EHS Supervisor Representing: GASCO PRODUCTION COMPANY Date: March 01, 2010

By:

RECEIVED March 01,

API Well No: 43013342080000

STATE OF UTAHDEPARTMENT OF NATURAL RESOURCES

DIVISION OF OIL, GAS, AND MINING

FORM 9

5.LEASE DESIGNATION AND SERIAL NUMBER: UTU-75672

SUNDRY NOTICES AND REPORTS ON WELLSDo not use this form for proposals to drill new wells, significantly deepen existing wells below currentbottom-hole depth, reenter plugged wells, or to drill horizontal laterals. Use APPLICATION FOR PERMIT TODRILL form for such proposals.

6. IF INDIAN, ALLOTTEE OR TRIBE NAME:

7.UNIT or CA AGREEMENT NAME: WILKIN RIDGE DEEP

1. TYPE OF WELL Gas Well

8. WELL NAME and NUMBER: WILKIN RIDGE FED 42-7-11-17

2. NAME OF OPERATOR: GASCO PRODUCTION COMPANY

9. API NUMBER: 43013342080000

3. ADDRESS OF OPERATOR: PHONE NUMBER: 8 Inverness Dr. East, Suite 100 , Englewood, CO, 80112 303 483-0044 Ext

9. FIELD and POOL or WILDCAT: UNDESIGNATED

4. LOCATION OF WELL FOOTAGES AT SURFACE: 1784 FNL 0487 FEL QTR/QTR, SECTION, TOWNSHIP, RANGE, MERIDIAN: Qtr/Qtr: SENE Section: 07 Township: 11.0S Range: 17.0E Meridian: S

COUNTY: DUCHESNE

STATE: UTAH

11.

CHECK APPROPRIATE BOXES TO INDICATE NATURE OF NOTICE, REPORT, OR OTHER DATA

TYPE OF SUBMISSION TYPE OF ACTION

NOTICE OF INTENTApproximate date work will start:

3/2/2012

SUBSEQUENT REPORTDate of Work Completion:

SPUD REPORTDate of Spud:

DRILLING REPORTReport Date:

ACIDIZE ALTER CASING CASING REPAIR

CHANGE TO PREVIOUS PLANS CHANGE TUBING CHANGE WELL NAME

CHANGE WELL STATUS COMMINGLE PRODUCING FORMATIONS CONVERT WELL TYPE

DEEPEN FRACTURE TREAT NEW CONSTRUCTION

OPERATOR CHANGE PLUG AND ABANDON PLUG BACK

PRODUCTION START OR RESUME RECLAMATION OF WELL SITE RECOMPLETE DIFFERENT FORMATION

REPERFORATE CURRENT FORMATION SIDETRACK TO REPAIR WELL TEMPORARY ABANDON

TUBING REPAIR VENT OR FLARE WATER DISPOSAL

WATER SHUTOFF SI TA STATUS EXTENSION APD EXTENSION

WILDCAT WELL DETERMINATION OTHER OTHER:

12. DESCRIBE PROPOSED OR COMPLETED OPERATIONS. Clearly show all pertinent details including dates, depths, volumes, etc.

NAME (PLEASE PRINT) PHONE NUMBER Roger Knight 303 996-1803

TITLE EHS Supervisor

SIGNATURE N/A

DATE 3/2/2011

03/02/2011

iPI Well No: 43013342080000

FORM 9

STATE OF UTAHDEPARTMENT OF NATURAL RESOURCES

DIVISION OF OIL, GAS, AND MINING EAS7E56D7E2sIGNATIONAND SERIAL NUMBER:

SUNDRY NOTICES AND REPORTS ON WELLS 6. IF INDIAN, ALLOTTEE OR TRIBE NAME:

Do not use this form for proposals to drill new wells, significantly deepen existing wells below currentbottom-hole depth, reenter plugged wells, or to drill horizontal laterals. Use APPLICATION FOR PERMIT TO 7.UNIT or CA AGREEMENT NAME:

DRILL form for such proposals. WILKIN RIDGE DEEP

1. TYPE OF WELL 8. WELL NAME and NUMBER:Gas Well WILKIN RIDGE FED 42-7-11-17

2. NAME OF OPERATOR: 9. API NUMBER:GASCO PRODUCTION COMPANY 43013342080000

3. ADDRESS OF OPERATOR: PHONE NUMBER: 9. FIELD and POOL or WILDCAT:8 Inverness Dr. East, Suite 100 , Englewood, CO, 80112 303 483-0044 Ext UNDESIGNATED

4.LOCATIONOFWELL COUNTY:FOOTAGES AT SURFACE: DUCHESNE

1784 FNL 0487 FELQTR/QTR, SECTION, TOWNSHIP, RANGE, MERIDIAN: STATE:

Qtr/Qtr: SENE Section: 07 Township: 11.05 Range: 17.0E Meridian: S UTAH

11.CHECK APPROPRIATE BOXES TO INDICATE NATURE OF NOTICE, REPORT, OR OTHER DATA

TYPE OF SUBMISSION TYPE OF ACTION

ACIDIZE ALTER CASING CASING REPAIR

NOTICE OF INTENTApproximate date work will start: CHANGE TO PREVIOUS PLANS CHANGE TUBING CHANGE WELL NAME

3/2/2012CHANGE WELL STATUS COMMINGLE PRODUCING FORMATIONS CONVERT WELL TYPE

SUBSEQUENT REPORT DEEPEN FRACTURE TREAT NEW CONSTRUCTIONDate of Work Completion:

OPERATOR CHANGE PLUG AND ABANDON PLUG BACK

PRODUCTION START OR RESUME RECLAMATION OF WELL SITE RECOMPLETE DIFFERENT FORMATION

O SPUD REPORTDate of Spud: REPERFORATE CURRENT FORMATION SIDETRACK TO REPAIR WELL TEMPORARY ABANDON

TUBING REPAIR VENT OR FLARE WATER DISPOSAL

DRILLING REPORT WATER SHUTOFF SI TA STATUS EXTENSION APD EXTENSIONReport Date:

WILDCAT WELL DETERMINATION OTHER OTHER:

12. DESCRIBE PROPOSED OR CC MPLETED OPERATIONS. Clearly show all pertinent details including dates, depths, volumes, etc.

Approved by theUtah Division of

Oil, Gas and Mining

Date: 03/02/2011

By:

NAME (PLEASE PRINT) PHONE NUMBER TITLERoger Knight 303 996-1803 EHS Supervisor

SIGNATURE DATEN/A

The Utah Division of Oil, Gas, and Mining

- State of Utah- Department of Natural Resources

Electronic Permitting System - Sundry Notices

Request for Permit Extension Validation Well Number 43013342080000

API: 43013342080000Well Name: WILKIN RIDGE FED 42-7-11-17

Location: 1784 FNL 0487 FEL QTR SENE SEC 07 TWNP 110S RNG 170E MER SCompany Permit Issued to: GASCO PRODUCTION COMPANY

Date Original Permit Issued: 3/2/2009

The undersigned as owner with legal rights to drill on the property as permitted above, hereby verifies thatthe information as submitted in the previously approved application to drill, remains valid and does notrequire revision. Following is a checklist of some items related to the application, which should be verified.

If located on private land, has the ownership changed, if so, has the surface agreement beenupdated? Yes No

Have any wells been drilled in the vicinity of the proposed well which would affect the spacing orsiting requirements for this location? Yes No

Has there been any unit or other agreements put in place that could affect the permitting or operationof this proposed well? Yes No

Have there been any changes to the access route including ownership, or rightof- way, which couldaffect the proposed location? Yes No

Has the approved source of water for drilling changed? Yes No

Have there been any physical changes to the surface location or access route which will require achange in plans from what was discussed at the onsite evaluation? Yes No

Is bonding still in place, which covers this proposed well? Yes No

Signature: Roger Knight Date: 3/2/2011

Title: EHS Supervisor Representing: GASCO PRODUCTION COMPANY

Mar. 02, 2011

UTAH

DNR The Utah Division of Oil, Gas, and Mining- State of Utah- Department of Natural ResourcesElectronic Permitting System - Sundry Notices

TI, BAS Pr NINTfdG

Request for Permit Extension Validation Well Number 43013342080000

API: 43013342080000Well Name: WILKIN RIDGE FED 42-7-11-17

Location: 1784 FNL 0487 FEL QTR SENE SEC 07 TWNP 110S RNG 170E MER SCompany Permit Issued to: GASCO PRODUCTION COMPANY

Date Original Permit Issued: 3/2/2009

The undersigned as owner with legal rights to drill on the property as permitted above, hereby verifies thatthe information as submitted in the previously approved application to drill, remains valid and does notrequire revision. Following is a checklist of some items related to the application, which should be verified.

• If located on private land, has the ownership changed, if so, has the surface agreement beenupdated? Yes © No

• Have any wells been drilled in the vicinity of the proposed well which would affect the spacing orsiting requirements for this location? Yes © No

• Has there been any unit or other agreements put in place that could affect the permitting or operationof this proposed well? Yes © No

• Have there been any changes to the access route including ownership, or rightof- way, which couldaffect the proposed location? Yes © No

• Has the approved source of water for drilling changed? Yes © No

• Have there been any physical changes to the surface location or access route which will require achange in plans from what was discussed at the onsite evaluation? Yes © No

• Is bonding still in place, which covers this proposed well? U Yes No

Signature: Roger Knight Date: 3/2/2011Title: EHS Supervisor Representing: GASCO PRODUCTION

3M2007) UNITED STATES RECEIVED FORM APPROVED

DEPARTMENT OF THE INTERIOR OMB NO. 1004-0135

BUREAU OF LAND MANAGEMENT5. Lease Seri

Npires:July 31, 2010

SUNDRY NOTICES AND REPORTS ON WELLS UTU75672Do not use this form for proposals to dri/I or to re-enter

abandoned we/I. Use form 3160-3 (APD) for such proposBLM 6. It Indian,AÌÍotteeor Tnbe Name

SUBMIT IN TRIPLICATE - Other instructions on reverse side. 7. If Unit or CA/Agreement, Nameand/or No.UTU81153X

1. Type of Well 8. We11Nameand No.

O oilwell g Gas well 0 Other WILKIN RIDGE FEDERAL 42-7-11-17

2. NameofOperator Contact: Jl-SSICA \3bl(G 9. APIWellNo.GASCO PRODUCTION COMPANY E-Mail: jberg@gascoenergy.com 43-013-34208-00-X1

3a. Address 3b. J'honeNo. (include area code) 10. Field and Pool, or Exploratory8 INVERNESS DRIVE EAST, SUITE 100 Ph: 303-996-1805 WILKINRIDGEENGLEWOOD, CO 80112-5625

4. Location of Well (Footage, Sec., T, k, M., or Survey Description) 11. County or Parish, and stateSec 7 T11S R17E SENE 1784FNL 487FEL DUCHESNE COUNTY, UT

12. CHECK APPROPRIATE BOX(ES) TO INDICATE NATURE OF NOTICE, REPORT, OR OTHER DATA

TYPE OF SUBMISSION TYPE OF ACTION

g Notice of Intent g Acidize O Deepen O Production (Start/Resume) O Water Shut-Off

O Alter Casing 0 Fracture Treat O Reclamation O Well Integrity0 Subsequent Report

0 Casing Repair 0 New Construction 0 Recomplete g Other

O Final Abandonment Notice O Change Plans O Plug and Abandon g Temporarily Abandon ÑÊ0 Convert to Injection O Plug Back O Water Disposal

13. bescribeProposed or completedOperation (clearly state all pertinent details,meluding estimated startmg dateof any proposed work and approximate durationthereof.If the proposal is to deepen directionally or recomplete horizontally, give subsurface locations and measured and true vertical depths of all pertinent markers and zones.Attach the Bond under which the work will be performed or provide the Bond No. on file with BLM/BIA. Required subsequent reports shall be filed within 30 daysfollowing completion of the involved operations. If the operation results in a multiple completion or recompletion in a new interval, a Form 3160-4 shall be filed oncetesting has been completed. Final Abandonment Notices shall be filed only after all requirements, including reclamation, have been completed, and the operator hasdetermined that the site is ready for final inspection.)

Gasco would like to request a two year extension to this APD from the date it is due to expire3/12/2011· ÏVERNALFIEgDOFFICE

RECEIVED ENG.GEOLAPR18 2011

CONDOONSOFAPPROVALATTACHEDDIVOFOlL,GAS&MININGPET.

14. I herebycertify that the foregomg is true and correct.Electronic Submission #103599 verifid by the BLM Well Information System

For GASCO PRODUCTION C3MPANY, sentto the VernalCommitted to AFMSS for processing by ROEIN R. HANSEN on 03/04/2011 (11RRH1435SE)

Name(Printed/Typed) JESSICA BERG Title AUTHORIZED REPRESENTATIVE

Signature (Electronic Submission) Date 03/03/2011

THIS SPACE FOR FEDERAL OR STATE OFFICE USE

Assistant Field ManagprApproved By Title Lands &MineralResources A Rhale2011

Conditions of ap y, ,ached. Approval of this notice does not warrant or

certify that the olds 1 or equitable title to those rights in the subject leasewhich would entitle the applicant to conduct operations thereon. Office VERNALFIELDOFFICETitle 18 U.S.C. Section 1001 and Title 43 U.S.C. Section 1212, make it a crime forany person knowingly and willfully to make to any department or agency of the United

St t y al , Ictitious or fraudulent statements or representations as to any matter within its jurisdiction.

** BLM REVISED ** BLM REVISED ** BLMREVISED ** BLM REVISED ** BLM REVISED

CONDITIONS OF APPROVAL

Gasco Production Company

Notice of IntentAPD Extension

Lease: UTU-75672Well: Wilkin Ridge Federal 42-7-11-17Location: SENE Sec 7-T11S-Rl7E

An extension for the referenced APD is granted with the following conditions:

1. The extension and APD shall expire on 03/11/2013.

2. No other extension shall be granted.

If you have any other questions concerning this matter, please contact Carey Doyle of this officeat (435)

RECEIVED: Feb. 29, 2012

 

STATE OF UTAHDEPARTMENT OF NATURAL RESOURCES

DIVISION OF OIL, GAS, AND MINING

FORM 9 

5.LEASE DESIGNATION AND SERIAL NUMBER: UTU-75672

SUNDRY NOTICES AND REPORTS ON WELLS

Do not use this form for proposals to drill new wells, significantly deepen existing wells belowcurrent bottom-hole depth, reenter plugged wells, or to drill horizontal laterals. Use APPLICATIONFOR PERMIT TO DRILL form for such proposals.

6. IF INDIAN, ALLOTTEE OR TRIBE NAME: 

7.UNIT or CA AGREEMENT NAME: WILKIN RIDGE DEEP

1. TYPE OF WELL  Gas Well

8. WELL NAME and NUMBER: WILKIN RIDGE FED 42-7-11-17

2. NAME OF OPERATOR: GASCO PRODUCTION COMPANY

9. API NUMBER: 43013342080000

3. ADDRESS OF OPERATOR: PHONE NUMBER:  8 Inverness Dr. East, Suite 100 , Englewood, CO, 80112 303 483-0044  Ext

9. FIELD and POOL or WILDCAT: UNDESIGNATED

4. LOCATION OF WELL  FOOTAGES AT SURFACE:     1784 FNL 0487 FEL   QTR/QTR, SECTION, TOWNSHIP, RANGE, MERIDIAN:     Qtr/Qtr: SENE Section: 07 Township: 11.0S Range: 17.0E Meridian: S

COUNTY: DUCHESNE

STATE: UTAH

11.

CHECK APPROPRIATE BOXES TO INDICATE NATURE OF NOTICE, REPORT, OR OTHER DATA

TYPE OF SUBMISSION TYPE OF ACTION

 

    NOTICE OF INTENTApproximate date work will start:

3 /2 /2013

    SUBSEQUENT REPORTDate of Work Completion:

 

    SPUD REPORTDate of Spud:

 

    DRILLING REPORTReport Date:

 

    ACIDIZE      ALTER CASING      CASING REPAIR 

    CHANGE TO PREVIOUS PLANS      CHANGE TUBING      CHANGE WELL NAME 

    CHANGE WELL STATUS      COMMINGLE PRODUCING FORMATIONS      CONVERT WELL TYPE  

    DEEPEN      FRACTURE TREAT      NEW CONSTRUCTION 

    OPERATOR CHANGE      PLUG AND ABANDON      PLUG BACK 

    PRODUCTION START OR RESUME      RECLAMATION OF WELL SITE      RECOMPLETE DIFFERENT FORMATION 

    REPERFORATE CURRENT FORMATION      SIDETRACK TO REPAIR WELL      TEMPORARY ABANDON 

    TUBING REPAIR      VENT OR FLARE       WATER DISPOSAL 

    WATER SHUTOFF      SI TA STATUS EXTENSION      APD EXTENSION 

    WILDCAT WELL DETERMINATION      OTHER  OTHER: 

12. DESCRIBE PROPOSED OR COMPLETED OPERATIONS. Clearly show all pertinent details including dates, depths, volumes, etc.

NAME (PLEASE PRINT) PHONE NUMBER  Roger Knight 303 996-1803

TITLE EHS Supervisor

SIGNATURE N/A

DATE 2 /29 /2012

February 29, 2012

Sundry Number: 23410 API Well Number: 43013342080000Sundry Number: 23410 API Well Number: 43013342080000

FORM 9STATE OF UTAH

DEPARTMENTOF NATURALRESOURCES5.LEASE DESIGNATION AND SERIAL NUMBER:DIVISION OF OIL, GAS, AND MINING UTU-75672

SUNDRY NOTICES AND REPORTS ON WELLS 6. IF INDIAN, ALLOTTEE OR TRIBE NAME:

Do not use this form for proposals to drill new wells, significantly deepen existing wells belowcurrent bottom-hole depth, reenter plugged wells, or to drill horizontal laterals. Use APPLICATION 7.UNITor CA AGREEMENT NAME:

FOR PERMIT TO DRILL form for such proposals. WILKINRIDGE DEEP

1. TYPE OF WELL 8. WELL NAME and NUMBER:Gas Well WILKIN RIDGE FED 42-7-11-17

2. NAME OF OPERATOR: 9. API NUMBER:GASCO PRODUCTION COMPANY 43013342080000

3. ADDRESS OF OPERATOR: PHONE NUMBER: 9. FIELD and POOL or WILDCAT:8 Inverness Dr. East, Suite 100 , Englewood, CO, 80112 303 483-0044 Ext UNDESIGNATED

4. LOCATION OF WELL COUNTY:FOOTAGES AT SURFACE: DUCHESNE

1784 FNL 0487 FELQTRIQTR, SECTION, TOWNSHIP, RANGE, MERIDIAN: STATE:

QtrlQtr: SENE Section: 07 Township: 11.0S Range: 17.0E Meridian: S UTAH

CHECK APPROPRIATE BOXES TO INDICATENATURE OF NOTICE, REPORT, OR OTHER DATA

TYPE OF SUBMISSION TYPE OF ACTION

ACI DIZE ALTER CASING CASING REPAIRNOTICE OF INTENT

Approximate date work will start: CHANGE TO PREVIOUS PLANS CHANGE TUBING CHANGE WELL NAME

3/2/2013CHANGE WELL STATUS COMMINGLE PRODUCING FORMATIONS CONVERT WELL TYPE

SUBSEQUENTREPORT DEEPEN FRACTURETREAT NEWCONSTRUCTIONDate of Work Completion:

OPERATOR CHANGE PLUG AND ABANDON PLUG BACK

PRODUCTION START OR RESUME RECLAMATION OF WELL SITE RECOMPLETE DIFFERENT FORMATIONSPUD REPORT

Date of Spud: REPERFORATE CURRENT FORMATION SIDETRACK TO REPAIR WELL TEMPORARY ABANDON

TUBING REPAIR VENT OR FLARE WATER DISPOSAL

DRILLING REPORT WATER SHUTOFF SI TA STATUS EXTENSION APD EXTENSIONReport Date:

WILDCAT WELL DETERMINATION OTHER OTHER:

12. DESCRIBE PROPOSED OR COMPLETED OPERATIONS. Clearly show all pertinent details including dates, depths, volumes, etc.

Approved by theUtah Division of

OFI, Gas and Mining

Date: February 29, 2012

By:

NAME (PLEASE PRINT) PHONE NUMBER TITLERoger Knight 303 996-1803 EHS Supervisor

SIGNATURE DATEN/A 2/29/2012

RECEIVED: Feb. 29,

RECEIVED: Feb. 29, 2012

 

The Utah Division of Oil, Gas, and Mining

- State of Utah- Department of Natural Resources

Electronic Permitting System - Sundry Notices

Request for Permit Extension Validation Well Number 43013342080000 

API:  43013342080000Well Name:  WILKIN RIDGE FED 42-7-11-17

Location:  1784 FNL 0487 FEL QTR SENE SEC 07 TWNP 110S RNG 170E MER SCompany Permit Issued to:  GASCO PRODUCTION COMPANY

Date Original Permit Issued:  3 /2 /2009

The undersigned as owner with legal rights to drill on the property as permitted above, hereby verifies that theinformation as submitted in the previously approved application to drill, remains valid and does not require revision.Following is a checklist of some items related to the application, which should be verified.

If located on private land, has the ownership changed, if so, has the surface agreement been updated?   Yes     No

Have any wells been drilled in the vicinity of the proposed well which would affect the spacing or sitingrequirements for this location?    Yes     No

Has there been any unit or other agreements put in place that could affect the permitting or operation of thisproposed well?    Yes     No

Have there been any changes to the access route including ownership, or rightof- way, which could affect theproposed location?    Yes     No

Has the approved source of water for drilling changed?    Yes     No

Have there been any physical changes to the surface location or access route which will require a change inplans from what was discussed at the onsite evaluation?    Yes     No

Is bonding still in place, which covers this proposed well?    Yes     No

       Signature:  Roger Knight Date: 2 /29 /2012

Title:  EHS Supervisor Representing: GASCO PRODUCTION COMPANY

Sundry Number: 23410 API Well Number: 43013342080000Sundry Number: 23410 API Well Number: 43013342080000

UTAH

DNR The Utah Division of Oil, Gas, and Mining'

- State of Utah- Department of Natural ResourcesElectronic Permitting System - Sundry Notices

OTI. EMI Pr N1NTrie

Request for Permit Extension Validation Well Number 43013342080000

API: 43013342080000Well Name: WILKIN RIDGE FED 42-7-11-17

Location: 1784 FNL 0487 FEL QTR SENE SEC 07 TWNP 110S RNG 170E MER SCompany Permit Issued to: GASCO PRODUCTION COMPANY

Date Original Permit Issued: 3/2/2009

The undersigned as owner with legal rights to drill on the property as permitted above, hereby verifies that theinformation as submitted in the previously approved application to drill, remains valid and does not require revision.Following is a checklist of some items related to the application, which should be verified.

* If located on private land, has the ownership changed, if so, has the surface agreement been updated? OYes No

• Have any wells been drilled in the vicinity of the proposed well which would affect the spacing or sitingrequirements for this location? O Yes No

• Has there been any unit or other agreements put in place that could affect the permitting or operation of thisproposed well? (_) Yes No

• Have there been any changes to the access route including ownership, or rightof- way, which could affect theproposed location? O Yes i No

· Has the approved source of water for drilling changed? O Yes No

• Have there been any physical changes to the surface location or access route which will require a change inplans from what was discussed at the onsite evaluation? Yes No

' Is bonding still in place, which covers this proposed well? Yes No

Signature: Roger Knight Date: 2/29/2012Title: EHS Supervisor Representing: GASCO PRODUCTION COMPANY

RECEIVED: Feb. 29,

«¾,°"4 United States Department of the Interior 6-BUREAU OF LAND MANAGEMENT

Utah State Office*ses 25? 440 West 200 South, Suite 500

Salt Lake City, UT 84101 - 1http://www.blm.gov/ut/st/en.html go

IN REPLY REFER TO: FEBC5 2013 '

3180 (UTU81153X)UT-922000

Ms. Frankie L. MartinezGasco Energy, Inc.7979 East Tufts Avenue, Suite 1150Denver, Colorado 80237

Re: Automatic ContractionWilkin Ridge (Deep) UnitUintah and Duchesne Counties, Utah

Dear Ms. Martinez:

Your letter of January 24, 20 13, describesthe landsautomatically eliminated effective September 17,2012, from the Wilkin Ridge (Deep) Unit Area, Uintah and Duchesne Counties, Utah, pursuant toSection 2(e) of the unit agreement and requests our concurrence. The lands you have describedcontain 44,447.23 acres, more or less, and constitute all legal subdivisions, no parts of which areincluded in the Wilkin Ridge (Deep) ParticipatingAreas "A" and " B". As a result of the automaticcontraction, the unit is reduced to 480.00 acres.

The following Federal Leases are entirely eliminated from the unit area:

UTU56947 UTU75084 UTU77063 UTU88144UTU68387 UTU75085 UTU78214 UTU88204UTU68620* UTU75086 UTU78215UTU74400 UTU75087 UTU78216UTU74401 UTU75088 UTU80950UTU74402 UTU75235 UTU81003*UTU74403 UTU75236 UTU81706*UTU74407 UTU75514 UTU82704UTU74408 UTU75515 UTU82705UTU74836 UTU75672 UTU84262 Tract No. 43 UNLEASED*

UTU74968 UTU76031 UTU84263UTU74971 UTU76032 UTU84264UTU75079 UTU76256 UTU84265UTU75080 UTU76258 UTU88068UTU75081 UTU76716 UTU88069UTU75082 UTU76717 UTU88072

*Indicates non-committed

The following Federal Leases are partially eliminated from the unit area:

UTU65632 UTU75083

You have complied with the requirements of Section 2(e), provided you promptly notify allinterested parties. If you have any questions, please contact Judy Nordstrom at (801) 539-4108.

Sincerely,

Roger L. BankertChief, Branch of Minerals

Enclosure

cc: UDOGMSITLAONRR w/Exhibit "B" (Attn: Nancy McCarthy)(UTG01) BLM FOM - Vernal

RECEIVED: Feb. 27, 2013

 

STATE OF UTAHDEPARTMENT OF NATURAL RESOURCES

DIVISION OF OIL, GAS, AND MINING

FORM 9 

5.LEASE DESIGNATION AND SERIAL NUMBER: UTU-75672

SUNDRY NOTICES AND REPORTS ON WELLS

Do not use this form for proposals to drill new wells, significantly deepen existing wells belowcurrent bottom-hole depth, reenter plugged wells, or to drill horizontal laterals. Use APPLICATIONFOR PERMIT TO DRILL form for such proposals.

6. IF INDIAN, ALLOTTEE OR TRIBE NAME: 

7.UNIT or CA AGREEMENT NAME: 

1. TYPE OF WELL  Gas Well

8. WELL NAME and NUMBER: WILKIN RIDGE FED 42-7-11-17

2. NAME OF OPERATOR: 

9. API NUMBER: 43013342080000

3. ADDRESS OF OPERATOR: PHONE NUMBER:   , , ,   Ext

9. FIELD and POOL or WILDCAT: UNDESIGNATED

4. LOCATION OF WELL  FOOTAGES AT SURFACE:     1784 FNL 0487 FEL   QTR/QTR, SECTION, TOWNSHIP, RANGE, MERIDIAN:     Qtr/Qtr: SENE Section: 07 Township: 11.0S Range: 17.0E Meridian: S

COUNTY: DUCHESNE

STATE: UTAH

11.

CHECK APPROPRIATE BOXES TO INDICATE NATURE OF NOTICE, REPORT, OR OTHER DATA

TYPE OF SUBMISSION TYPE OF ACTION

 

    NOTICE OF INTENTApproximate date work will start:

3 /2 /2014

    SUBSEQUENT REPORTDate of Work Completion:

 

    SPUD REPORTDate of Spud:

 

    DRILLING REPORTReport Date:

 

    ACIDIZE      ALTER CASING      CASING REPAIR 

    CHANGE TO PREVIOUS PLANS      CHANGE TUBING      CHANGE WELL NAME 

    CHANGE WELL STATUS      COMMINGLE PRODUCING FORMATIONS      CONVERT WELL TYPE  

    DEEPEN      FRACTURE TREAT      NEW CONSTRUCTION 

    OPERATOR CHANGE      PLUG AND ABANDON      PLUG BACK 

    PRODUCTION START OR RESUME      RECLAMATION OF WELL SITE      RECOMPLETE DIFFERENT FORMATION 

    REPERFORATE CURRENT FORMATION      SIDETRACK TO REPAIR WELL      TEMPORARY ABANDON 

    TUBING REPAIR      VENT OR FLARE       WATER DISPOSAL 

    WATER SHUTOFF      SI TA STATUS EXTENSION      APD EXTENSION 

    WILDCAT WELL DETERMINATION      OTHER  OTHER: 

12. DESCRIBE PROPOSED OR COMPLETED OPERATIONS. Clearly show all pertinent details including dates, depths, volumes, etc.

NAME (PLEASE PRINT) PHONE NUMBER  Roger Knight 303 996-1803

TITLE EHS Supervisor

SIGNATURE N/A

DATE 2 /27 /2013

March 04, 2013

Sundry Number: 35049 API Well Number: 43013342080000Sundry Number: 35049 API Well Number: 43013342080000

FORM 9STATE OF UTAH

DEPARTMENTOF NATURALRESOURCES5.LEASE DESIGNATION AND SERIAL NUMBER:DIVISION OF OIL, GAS, AND MINING UTU-75672

SUNDRY NOTICES AND REPORTS ON WELLS 6. IF INDIAN, ALLOTTEE OR TRIBE NAME:

Do not use this form for proposals to drill new wells, significantly deepen existing wells belowcurrent bottom-hole depth, reenter plugged wells, or to drill horizontal laterals. Use APPLICATION 7.UNITor CA AGREEMENT NAME:

FOR PERMIT TO DRILL form for such proposals.

1. TYPE OF WELL 8. WELL NAME and NUMBER:Gas Well WILKIN RIDGE FED 42-7-11-17

2. NAME OF OPERATOR: 9. API NUMBER:4301 3342080000

3. ADDRESS OF OPERATOR: PHONE NUMBER: 9. FIELD and POOL or WILDCAT:Ext UNDESIGNATED

4. LOCATION OF WELL COUNTY:FOOTAGES AT SURFACE: DUCHESNE

1784 FNL 0487 FELQTRIQTR, SECTION, TOWNSHIP, RANGE, MERIDIAN: STATE:

QtrlQtr: SENE Section: 07 Township: 11.0S Range: 17.0E Meridian: S UTAH

CHECK APPROPRIATE BOXES TO INDICATENATURE OF NOTICE, REPORT, OR OTHER DATA

TYPE OF SUBMISSION TYPE OF ACTION

ACI DIZE ALTER CASING CASING REPAIRNOTICE OF INTENT

Approximate date work will start: CHANGE TO PREVIOUS PLANS CHANGE TUBING CHANGE WELL NAME

3/2/2014CHANGE WELL STATUS COMMINGLE PRODUCING FORMATIONS CONVERT WELL TYPE

SUBSEQUENTREPORT DEEPEN FRACTURETREAT NEWCONSTRUCTIONDate of Work Completion:

OPERATOR CHANGE PLUG AND ABANDON PLUG BACK

PRODUCTION START OR RESUME RECLAMATION OF WELL SITE RECOMPLETE DIFFERENT FORMATIONSPUD REPORT

Date of Spud: REPERFORATE CURRENT FORMATION SIDETRACK TO REPAIR WELL TEMPORARY ABANDON

TUBING REPAIR VENT OR FLARE WATER DISPOSAL

DRILLING REPORT WATER SHUTOFF SI TA STATUS EXTENSION APD EXTENSIONReport Date:

WILDCAT WELL DETERMINATION OTHER OTHER:

12. DESCRIBE PROPOSED OR COMPLETED OPERATIONS. Clearly show all pertinent details including dates, depths, volumes, etc.

Approved by theUtah Division of

OFI, Gas and Mining

Date: March 04, 2013

By:

NAME (PLEASE PRINT) PHONE NUMBER TITLERoger Knight 303 996-1803 EHS Supervisor

SIGNATURE DATEN/A 2/27/2013

RECEIVED: Feb. 27,

RECEIVED: Feb. 27, 2013

 

The Utah Division of Oil, Gas, and Mining

- State of Utah- Department of Natural Resources

Electronic Permitting System - Sundry Notices

Request for Permit Extension Validation Well Number 43013342080000 

API:  43013342080000Well Name:  WILKIN RIDGE FED 42-7-11-17

Location:  1784 FNL 0487 FEL QTR SENE SEC 07 TWNP 110S RNG 170E MER SCompany Permit Issued to:  GASCO PRODUCTION COMPANY

Date Original Permit Issued:  3 /2 /2009

The undersigned as owner with legal rights to drill on the property as permitted above, hereby verifies that theinformation as submitted in the previously approved application to drill, remains valid and does not require revision.Following is a checklist of some items related to the application, which should be verified.

If located on private land, has the ownership changed, if so, has the surface agreement been updated?   Yes     No

Have any wells been drilled in the vicinity of the proposed well which would affect the spacing or sitingrequirements for this location?    Yes     No

Has there been any unit or other agreements put in place that could affect the permitting or operation of thisproposed well?    Yes     No

Have there been any changes to the access route including ownership, or rightof- way, which could affect theproposed location?    Yes     No

Has the approved source of water for drilling changed?    Yes     No

Have there been any physical changes to the surface location or access route which will require a change inplans from what was discussed at the onsite evaluation?    Yes     No

Is bonding still in place, which covers this proposed well?    Yes     No

       Signature:  Roger Knight Date: 2 /27 /2013

Title:  EHS Supervisor Representing: GASCO PRODUCTION COMPANY

Sundry Number: 35049 API Well Number: 43013342080000Sundry Number: 35049 API Well Number: 43013342080000

UTAH

DNR The Utah Division of Oil, Gas, and Mining'

- State of Utah- Department of Natural ResourcesElectronic Permitting System - Sundry Notices

OTI. EMI Pr N1NTrie

Request for Permit Extension Validation Well Number 43013342080000

API: 43013342080000Well Name: WILKIN RIDGE FED 42-7-11-17

Location: 1784 FNL 0487 FEL QTR SENE SEC 07 TWNP 110S RNG 170E MER SCompany Permit Issued to: GASCO PRODUCTION COMPANY

Date Original Permit Issued: 3/2/2009

The undersigned as owner with legal rights to drill on the property as permitted above, hereby verifies that theinformation as submitted in the previously approved application to drill, remains valid and does not require revision.Following is a checklist of some items related to the application, which should be verified.

* If located on private land, has the ownership changed, if so, has the surface agreement been updated? OYes No

• Have any wells been drilled in the vicinity of the proposed well which would affect the spacing or sitingrequirements for this location? O Yes No

• Has there been any unit or other agreements put in place that could affect the permitting or operation of thisproposed well? (_) Yes No

• Have there been any changes to the access route including ownership, or rightof- way, which could affect theproposed location? O Yes i No

· Has the approved source of water for drilling changed? O Yes No

• Have there been any physical changes to the surface location or access route which will require a change inplans from what was discussed at the onsite evaluation? Yes No

' Is bonding still in place, which covers this proposed well? Yes No

Signature: Roger Knight Date: 2/27/2013Title: EHS Supervisor Representing: GASCO PRODUCTION COMPANY

RECEIVED: Feb. 27,