Mainland Resources, Inc. has signed a letter agreement to acquire up to 8000 net acres in Mississippi. Mainland will own a 100% working interest in the acreage and will be the Operator.

The project has been identified using reprocessed seismic, as well as log information, from a well drilled in the early 1980s by a major oil company. That proprietary data shows prospective Bossier/Haynesville shale and Hosston formations. The Bossier/Haynesville shale was not considered a viable or economic production resource in the early 80s and therefore, was not validated during drilling to a deeper prospective target. The well was drilled as a controlled blowout through the Bossier/Haynesville shale to total depth.

According to available well logs from drilling, the identified Bossier/Haynesville shale is demonstrated to be over 2500 ft thick with extremely large pressures up to or exceeding 20,000 psi. The well was still in the Bossier/Haynesville shale when drilling operations were discontinued due to high pressures, etc. The Bossier/Haynesville shale is possibly much thicker than 2500 ft, which is several times thicker than the Bossier/Haynesville shale encountered in NW Louisiana. The density neutron log from the previous drilling also shows good average porosity from 12% to 15%.