The continuously increasing prices for crude oil have created difficulties for some and opportunities for others. The world energy market and the global interpendent economy have created demand that can not be met by current supplies. The current market pressures are not a temporary aberration resulting from short-term supply shortages. There is a growing acceptance of the fact that easily accessible, cheaply produced, sweet crude oil is no longer available in sufficient quantities to satisfy the world’s growing demands for fossil fuels.

From a consumer perspective, the higher prices at the pump are no cause for celebration. However, for the smart investor, and for the oil companies, profits have skyrocketed. Whatever you do, don't make the mistake of thinking gas won't hit $5 a gallon... It's already a fact of life in London, Paris, and Stockholm, and has been for years. When $5 gas hits our shores, it can either be the best news you've heard in a decade or the worst. And it's likely to happen sooner than we think.

Since the late-1920s Texas has been the largest producer of oil and gas reserves in the United States. Within Texas, the Gulf Coast region has had a long history of prolific production, with some 133 published reservoirs. According to a special report published by the Oil and Gas Journal (April 19, 2004) exploration and development within the domestic industry will focus on the production of gas resources in the foreseeable future.

The target formations of the 3rd Coast drilling program are the Miocene and Frio Sands on the Gulf Coast. For many years exploration in the area was solely dependent upon the use of 2-D seismic with limited success. The development, successful use and continuing refinement of 3-D seismic technologies have resulted in an increased ratio of successfully drilled wells.