2003 Outlook
Production is targeted to increase by 10 to 15% over 2002
- 25 to 30 Mmcfe per day to come on when facilities are completed
$100 million drilling program
- Expect to drill 78 wells in 2003
- Drilling planned to further deliniate the Hamman and the South Pelto 22 discoveries
Upside in Gulf of Mexico and South Texas exploration program
- Large inventory of exploratory prospects
Substantial free cash flow expected in 2003
- Expect to continue to improve our balance sheet by reducing debt with excess cash flow