Wellsboro Lease

In June 2009, New Western Energy acquired a 100 percent working interest in the Wellsboro Lease in Tioga County, Penn. The lease includes approximately 23-acres located on a glacial aged kame terrace. According to a 1985 study, the property was inferred to contain approximately 900,000 cubic yards of borrow material. The terrace sands, gravels and other finer sediments were deposited in response to blockage by glacial ice. The potential usable deposit may be significantly larger, however. The property is also believed to be part of the Marcellus shale formation, which has shown favorable characteristics for the discovery of a large reserve of natural gas. Pennsylvania's Marcellus Shale natural gas producers operate approximately 50,000 wells and deliver more than 158 billion cubic feet of natural gas.