Leon and Freestone County , Texas

Operated and Non-Operated gas wells located and producing from the Bossier Sands and in the Cotton Valley Lime.

Dewitt County , Texas
Producing gas well in the Lower Wilcox Sand .

Prowers County , Colorado
A producing gas well in Prowers County , Colorado is located in the Las Animas Arch with additional drilling opportunities to be started in the near future. A second well will be drilled in October 2004.

Mississippi Shallow Project
This project is located in Wayne County, Mississippi and includes two new completed oil/gas wells and the acquisition of 2 existing fields.

Cascade Project
IIn the North East Wyoming Powder River Basin , 3D Seismic has been shot over a large area and is in the process of being evaluated. Numerous sites are expected to be located and drilled.

Rankin Field
Two new non-operated dual completion oil/gas wells located in Harris County, Texas have been included in the Paragon Energy Two, LP Limited Partnership.

Sword Project
Harris County, Texas is a new field with one recently completed and producing oil/gas well waiting on a new pipeline to be completed and connected. It should be completed by June 15, 2004 . Field development drilling will begin in the fourth quarter of 2004. This Project and Field is also included in the Paragon Energy Two, LP Limited Partnership.