Kodiak Oil & Gas is nearing completion of two well pads that will test six wells in the Bakken and six wells in the Three Forks. If successful, you might see a lot of development across the area shift to this strategy.

The Bakken and Three Forks wells are spaced approximately 800-850 ft apart. The wells in the Bakken and Three Forks are not stacked, but offset from each other to minimize interference. Not all six wells in the Three Forks are being drilled in the same zone either. Three are targeting the Upper Three Forks and three are targeting the middle Three Forks.

On one pad in the Polar area, 10 of the planned 12 wells had been drilled and on the other pad in the Smokey area 8 of the 12 planned wells had been drilled as of the beginning of May. The Polar area pad is expected to be completed and producing by late July.

Other highlights from the first quarter included:

• Kodiak dropped one completion crew in March & April, but plans to add them back in May
• Production Averaged 21,700 boe/d in the first quarter
• Spending 20 days from spud to total depth
• Oil & gas infrastructure and salt water disposal infrastructure near 12-well pads is nearly complete
• Running seven rigs currently with plans to drop one later in the month