 | PropertiesLand HoldingsOne Strategy, Exceptional OpportunityGentry's 2007undeveloped land holdings in Western Canada increased 54% to 276,652 net acres from 179,415 net acres in 2006. The majority of the increase was from the acquisition of two new core areas, West Central Alberta and the Peace River Arch, effective April 1, 2007. From a land perspective, another important accomplishment was meeting drilling requirements under two farm-in agreements in the Princess area that were announced in June 2006. To date, we have earned 69,120 acres at 100% interest by drilling 18 wells. Those activities were in addition to managing our larger portfolio of opportunities across the land base. New Core AreasWest Central Alberta Typified by long-life reserves, the Company's land focus in West Central Alberta is to delivery production growth. The Acquisition included seven properties totaling 37,346 net acres. Activity is currently focused in three areas: Gilby, Mikwan and Rosevear. All of the properties have multiple-horizon growth potential through optimization, infill drilling and exploration. While it is a competitive area for land acquisitions, we will continue to focus on acquiring acreage and farm-in opportunities to ensure momentum in our drilling programs. Peace River Arch Certainly the most dynamic of the Company's assets, the Peace River Arch is a favourite among technical groups for exploration of its multi-zone, high reward plays. Gentry now has an average 75% working interest in 14 properties encompassing 40,750 net acres. Following initial drilling success at Oak, further lands were acquired at a Crown sale early in 2008. We are continuing to work closely with the technical team to ensure strategic lands are in place as it builds its exploration models through the Peace River Arch. Land StrategyWith an ever-changing competitive environment for undeveloped lands, our strategy is to acquire acreage at a reasonable cost while ensuring land resources are always available for the technical teams to expand drilling programs. Part of our strategy is to maintain a balance between low, medium and higher risk plays. A second focus is to ensure control of core areas by maintaining high working interests or increasing our interests, with the goal of dominating all of our plays. This dominance allows us to control capital expenditures, timing of drilling, infrastructure, and ensures consistent marketing activities. As an aggressive land manager, Gentry is always looking to add strategic acreage within our core areas, and we are always in search of new core areas where we have technical expertise and that have multi-zone potential to support full-cycle exploration.
Western Canada Land Holdings [1]
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