Eagle Energy Inc. has completed its second horizontal well in North Texas. It was drilled approximately 12 miles south of Eagle's initial horizontal well to assess the extent of this play. The well has been on production for less than 30 days and is currently producing 84 barrels of oil per day. Although oil production is increasing as the well cleans up, the rate is below expected levels and is not projected to improve significantly. The short initial production rates are preliminary in nature and may not be indicative of stabilized on-stream production rates. The initial production results are not necessarily indicative of long-term performance or of ultimate well recovery rates.