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were begun to determine the crossover point at the 13H -1 well and the distance between <br />the well bores. <br />Magnetic ranging measurements determined that at the crossover point of 2,563 feet <br />MD KB on the 13H -1 well, the course of the 13H -R well was 5.2 feet above from where it <br />should be according to prognosis. The decision was made to trip out and adjust the mud <br />motor angle to 2.0 degrees (up from 1.75 deg.). An attempt was made using timed - drilling <br />while sliding downwards in an effort to get the two well bores closer together at the <br />connection point. Timed - drilling began at 20:00 hours on September 4, 2013 and ended at <br />09:30 hours on the next day. Surveys taken by the directional driller indicated that the <br />downward drilling had failed and the well trace was in the original bore hole. The decision <br />was made to trip out of the hole and adjust the motor angle again, and to use a PDC bit <br />instead of the tri -cone bit as per directional driller recommendation. The BHA was tripped <br />out and the motor angle was adjusted from 2.0 degrees to 2.25 degrees. A 6.75 -inch PDC <br />bit was picked up and run back in the hole. <br />The bit was oriented down and troughed from 2,506 feet to 2,515 feet MD KB in an <br />attempt to make a ledge to start the time drill successfully. Timed - drilling began and five <br />feet were cut when it was determined that the mud pulse tool (MWD) was not working <br />properly. The tool was pulled out of the hole and changed out. Once back on bottom, <br />timed - drilling began at 08:30 hours on September 6, 2013. The 13H -R well sidetrack <br />(ST01) was time - drilled from 2,515 feet MD KB to 2,598 feet MD KB with SDI taking surveys <br />approximately every 5 feet. The surveys indicated that the sidetrack attempt did not down <br />track aggressively enough. At the 2,563 foot cross -over point with the 13H -1 well, surveys <br />indicated that the well bore trace was 0.7 foot closer than the first attempt to down track <br />at approximately 4.5 feet off track (high). <br />At 02:30 hours on September 7, 2013, the well was circulated and troughed from 2,502 <br />feet MD KB to 2,598 feet MD KB. Circulating and troughing the well continued until 10:30 <br />hours with no communication with the 13H -1 well. The fluid level in the 13H -1 well <br />Daub & Associates, Inc. Page 5 of 7 13H -R Well Summary Report <br />