Edge Petroleum Corporation has logged a total of 18 wells in the third quarter, with another four wells currently drilling. Twelve of the 18 have been completed as producers and five wells are currently being completed. One well was a dry hole. An additional two wells were temporarily abandoned while future operations are being assessed. The drilling program this quarter has been focused primarily in south Texas at Edge's Flores/Bloomberg and Chapman Ranch fields, as well as in southeast New Mexico.

In the Edge operated Flores/Bloomberg field, a total of seven wells have been logged during the quarter. Four of those wells have been placed on production, three are currently being completed and three rigs are currently drilling in this large, complexly faulted field. As a result of our new drilling, a continuing re-completion program, coupled with the added compression, we have increased our operated net production in the field from 12 to slightly over 15 mmcfe per day. In addition, we are continuing to identify additional drilling and re-completion opportunities in the field and expect to maintain an active drilling program through 2008.

We initiated new drilling in the Edge operated Chapman Ranch field during the third quarter after shooting, merging and interpreting over 110 square miles of 3-D Seismic data. The ongoing interpretation effort in the field and surrounding areas has resulted in the identification of numerous exploitation and deeper exploration opportunities in the field and on adjacent acreage which we have under lease and/or option. Currently, Edge has two rigs running in the field where new wells take approximately 60 to 70 days to drill and complete. One well has been drilled and placed on production during the third quarter, increasing our operated net production from 5 to 8 mmcfe per day. Additionally, one well has just been logged and another is currently drilling. Edge expects to be drilling continuously in this complex area well into 2008 and 2009.

In southeast New Mexico, four wells were drilled and logged during the third quarter, two operated by Edge and two operated by others. All four of these wells have been successfully placed on production, adding approximately 0.5 net mmcfe per day of production.