Schuepbach Energy LLC

Transcription

1 Schuepbach Energy LLC Front Cover Pursuing (1) Opportunities and Solutions in Central New York s Marcellus Shale January 2008

2 Let me introduce myself to you. My name is Martin Schuepbach. I have been involved in the oil and gas industry for over thirty years in diverse areas of the world, from the Middle East to Europe to Asia, while maintaining my home and my headquarters of operations in Dallas. In recent years, I have observed the turmoil in the international oil supply chain and its effect on the price of crude oil, and I have concluded that it is increasingly important that we, as a nation, place an emphasis on finding and developing domestic supplies of energy. I am asking you to join me on a journey of exploration, a journey to recover reserves of clean-burning natural gas from the Marcellus Shale formation right in your own backyard. I have been studying the Marcellus Shale for some time now, and I see a strong analog to Texas s Barnett Shale, a comparable formation that has been quite productive and profitable for those who have been involved in its development. With the assistance of the many professional advisors upon whom I rely, I believe that we have identified the most prospective areas worth exploring for Marcellus natural gas production, that this will be a profitable and fulfilling journey for those who will join us. I thank you for taking the time to review this pamphlet, and I look forward to a long and prosperous relationship with you. Sincerely, Martin Schuepbach

3 Table of Contents Why We re Here The Schuepbach Energy Company Biography of Dr. Martin Schuepbach Schuepbach Energy Advisory Board Natural Gas Wells in New York What Is the Marcellus Shale? Why Shale? Gas Production Mechanisms Current New York State Oil and Gas Operations Breadth of the Marcellus Shale The Horizontal Well Growth, Preservation, and Profitability An Opportunity to Contribute to the Production of Clean Energy Contacting Schuepbach Energy

4 Why We re Here: The Schuepbach Mission Schuepbach Energy LLC will discover, capture, and capitalize on scalable gas reserves in central New York by leveraging an earnest and unique combination of science, knowledge, relationships, and experience. Schuepbach Energy is eager to pursue relationships with growth-minded citizens and landowners compelled by the pursuit of profitable natural gas energy solutions. 2

5 The Schuepbach Energy Company Founded in 2007 by Dr. Martin Schuepbach, Schuepbach Energy LLC is a Dallas-based natural gas and energy corporation pursuing the meaningful exploration of scalable shale natural gas reserves around the world. We were born out of a careful commitment to sound energy exploration in an increasingly sensitive world marketplace. Schuepbach Energy s downtown Dallas offices. By building a network of experts and leaders in the field, and using only the most significant gas well and drilling innovations to date, Schuepbach Energy offers the type of industry-leading insight that exceeds the standards that modern day exploration demands. 3

6 Dr. Martin Schuepbach is a leading geologist and entrepreneur in global oil and gas exploration. For over thirty years, Schuepbach has been responsible for many pioneering evaluations and exploration efforts across the globe for some of the world s leading public and private oil and gas corporations. Schuepbach received his PhD in geology from Rice University in Houston, Texas, in

7 Schuepbach Energy Advisory Board Our board is essential to the success of our interest in the Marcellus Shale. The Schuepbach Energy advisory board consists of esteemed industry veterans with significant experience in the Barnett Shale exploration, production, and financing effort. Fouad Bashour Partner, CIC Partners Larry Dale CEO, Dale Gas Partners Casey McManemin CEO, Dorchester Minerals LP Richard Nyahay New York State Museum Marshall Payne Partner, CIC Partners 5

8 } New York state has a noted history of natural gas production dating back to the early 19th century. In fact, the first gas well in the United States was located in Fredonia, New York, near northern Lake Erie. Today, the Marcellus Shale, where that very well stands, is one of the highest-opportunity natural gas reserves in North America. Right where it all began, more than 180 years later. Image courtesy of the New York State Museum. 6

9 What Is the Marcellus Shale? shale (sheyl) n. Fine-grained sedimentary rock whose original constituents were clays or muds. Shale is the most common sedimentary rock. The Marcellus Shale is an abundant, natural gasproducing sedimentary formation spanning central New York through Pennsylvania all the way down to West Virginia. Like Texas s famed Barnett Shale presently the second largest producing gas field in the United States the Marcellus Shale is over 300 million years old, dating back to the Devonian era. The Marcellus Shale is much more widespread than the Barnett Shale, and the same technologies applied in that venture will be applied to produce natural gas in New York. Although it was first discovered in the 19th century, the Marcellus Shale has only recently begun to garner interest and investment from U.S. energy companies. Significant technological advancements in seismic analysis, hydraulic fracturing, and horizontal drilling have made exploration effective and environmentally safe. 7

10 Why Shale? 1. New technologies, practices, and approaches make shale a viable drilling target for natural gas. 2. The tightening North American energy supply is making unconventional resources more attractive. 3. The success of the Barnett Shale shows that there s more than one model for shale exploitation. 8

11 Gas Production Mechanisms Organic-bearing shales produce gas from both matrix and organics, a process otherwise known as desorption. Low volumes require thick shale sections and fractures, either natural or induced. Natural fracture network Desorption from internal surfaces Flow through the matrix Flow in the natural fracture network 9 Source: Ron McDonald, Schlumberger Data Services

12 New York State Oil and Gas Operations The gas-prone Marcellus Shale is displaying huge potential. Exploration promises to expand natural gas production for the state of New York. The map below shows the development of oil and natural gas wells in New York to date. Map courtesy of the New York State Museum. 10

13 Seen below, the breadth of the Marcellus Shale. The presence of the Marcellus Shale in New York s southern tier is why we re here. Technologies applied from the Barnett Shale will allow us to explore our interest and generate productive results. Advanced seismic analysis supports this interest, and we re seeking relationships with citizens and neighbors to make exploration possible. Map via Google Earth. 11

14 The Horizontal Well In our pursuit of clean-energy natural gas from the Marcellus Shale, Schuepbach Energy plans to drill vertical and horizontal wells on land leased from prospective clients. Preservation is our utmost concern in this pursuit, which is why horizontal wells are particularly advantageous for natural gas production. As the single most advanced and effective technology available, horizontal wells produce while preserving the essence of the land. That s because we drill multiple wells from one central location, reducing the number of surface locations otherwise necessary to drill vertical wells, while enhancing production. Natural gas well }Approx. 5,000 feet Marcellus Shale Example of a producing gas well Image courtesy of Dale Resources, L.L.C. It is a sensitive age, and we are as passionate about setting standards of responsibility as much as anything else. We take pride in our choice to employ the latest and most preferred innovations of natural gas extraction, both on the production end and in the initial construction and drilling phases. We know what makes the difference. 12

15 Preservation, growth, and profitability are the cornerstones to our discussion of the Marcellus Shale. If you have similar goals, with your participation and mutual objectives, we can achieve these together. 13

16 An Opportunity to Contribute to the Production of Clean Energy The breadth of this opportunity addresses more than the prospects for profitability and wealth preservation. Inherent in our discussion is a conversation about how you can impact the production of clean, domestic sources of energy for everyday household and industrial needs, as well as power generation. There are many compelling advantages to natural gas, and there s something truly exciting about exploring its uses as the next big energy source in the United States. As partners and neighbors in these ventures, Schuepbach Energy will cooperate with landowners to ensure that we make great strides while having the least possible impact on your land. 14

17 Contacting Schuepbach Energy We understand that there s a lot to learn. Contact us for more information and see how you can explore valuable opportunities with Schuepbach Energy. Martin Schuepbach Chairman and CEO Schuepbach Energy LLC 2651 North Harwood, Suite 570 Dallas, Texas Phone: Fax: Bill Gunner Black River Royalties, Ltd. 175 North Main Street Wellsville, New York Phone: Fax:

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