Benedum & Trees LLC

Benedum & Trees LLC has retained Energy Spectrum Advisors Inc. to sell certain operated properties in Pecos County, Texas. The company prefers to sell 100% of the properties but will consider bringing in an operating partner to further develop the properties.

The properties consist of 23,378 gross / 20,168 net contiguous acres (10% is held by production) and a 100% working interest (75% net revenue interest). Most of the acreage is fee. Minimum development is needed to satisfy drilling obligations with over 50% of the leasehold covered under a single lease.

Total net 2P reserves are 1 million barrels of oil and 17 billion cubic feet of gas (rich gas, 57% proved, 28% Proved Developed). Reserves have only been quantified on 10% of the properties. Upside includes Proved Undeveloped and Probable vertical locations targeting the Devonian/Penn Detrital formation.

The Company recently completed two Devonian/Penn Detrital wells that will be online in late August. The first well tested at 3.6 million cubic feet and 220 barrels of oil per day and test results of the second well are pending. Two outside operated Devonian wells in the neighboring section have combined to produce 350 MBO and 3.4 BCF since 2001.

Additional targets include the Wolfcamp Detrital and Upper Penn Shale, and extensive 3-D seismic is available covering 50% of the leasehold.

The bid due date is September 12th. Closing is expected by October 31st. Contact BJ Brandenberger, 214-987-6145, bj.brandenberger@energyspectrum.com