NGAS also announced that it began flowing gas from its New Albany shale prospect into the Texas Gas interstate pipeline. Twenty-six wells of a total of 37 New Albany shale wells are now connected into this system. The company's first horizontal well drilled on this prospect is completed and will be connected and producing within 30 days. William S. Daugherty, president and CEO of NGAS Resources commented, "We are very pleased, both with the initial production we are seeing from the New Albany shale and nine horizontal wells that are in production in our Leatherwood field. Based on the success of these wells, we are on track to drill a total of 20 horizontal wells this year."