|     | **FORREST A. GARB & ASSOCIATES, INC.**       INTERNATIONAL        PETROLEUM CONSULTANTS |
|--------------------|----------------------------------------------------------------------------------------------------------------------------|

----

|   | Re: SEC Case |
|--------|--------------|

| ****                                           |   | ******Estimated Net Reserves1**                   |          | **Estimated Future Net Revenue (M$)2** | ****   |
|------------------------------------------------|--------|--------------------------------------------------------|---------------|---------------------------------------------|--------|
| **Proved Reserve      Category**               |   | ******Oil and         Condensate        (MBbl)3** |          | **Gas        (MMcf)4**                      |   | **Undiscounted** |   | **Discounted at        10% Per         Year5** | **** |
| Developed                                      |   |                                                   |          |                                        |   |   |   |   |   |   |   |   |   |   |   |   |   |
|      Producing        |   |                                                   | 602.33        |                                             |        |  | 3,446.64 |  |  |  | 59,279.02 |  |  |  | 32,995.75 |   |   |
|                                           |   |                                                   |               |                                             |        |  |  |  |  |  |  |  |  |  |  |   |   |
|      Non-producing    |   |                                                   | 10.42         |                                             |        |  | 460.37 |  |  |  | 3,599.62 |  |  |  | 1,462.92 |   |   |
|                                           |   |                                                   |               |                                             |        |  |  |  |  |  |  |  |  |  |  |   |   |
|      Behind      pipe |   |                                                   | 188.14        |                                             |        |  | 2,590.79 |  |  |  | 32,057.00 |  |  |  | 18,038.63 |   |   |
|                                           |   |                                                   |               |                                             |        |  |  |  |  |  |  |  |  |  |  |   |   |
| Undeveloped                                    |   |                                                   | 10,984.06     |                                        |        |   | 12,310.83 |   |  |   | 835,112.09 |   |  |   | 372,948.20 |   |   |
|                                           |   |                                                   |               |                                             |        |  |  |  |  |  |  |  |  |  |  |   |   |
| **Total Proved6**                              | ****   | ****                                                   | **11,784.95** | ****                                        | ****   | **** | **18,808.63** | **** | **** | **** | **930,047.74** | **** | **** | **** | **425,445.50** | **** | **** |
|                                           |   |                                                   |          |                                        |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                           |   |                                                   |          |                                        |   |   |   |   |   |   |   |   |   |   |   |   |   |

|   |   |
|--------|--------|

| 1 | The definitions for all reserves incorporated      in this study have been set forth in this report.                                                                                                                                       |   |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
| 2 | M$ = thousands of dollars.                                                                                                                                                                                                                 |   |
| 3 | MBbl = thousands of barrels.                                                                                                                                                                                                               |   |
| 4      | MMcf = millions of cubic feet.                                                                                                                                                                                                             |   |
| 5      | The discounted future net revenue is not represented      to be the fair market value of these reserves.                                                                                                                                   |   |
| 6      | The reserves and revenues in the summary table      were estimated using the PHDWin economics program. Due to the rounding procedures      used in this program, there may be slight differences in the calculated      and summed values. |   |

----

| ****                                           |   | ******Estimated Net Reserves1**                   |       | **Estimated Future Net Revenue         (M$)2** | ****   |
|------------------------------------------------|--------|--------------------------------------------------------|------------|-----------------------------------------------------|--------|
| **Proved      Reserve      Category**          |   | ******Oil and         Condensate        (MBbl)3** |       | **Gas        (MMcf)4**                              |   | **Undiscounted** |   | **Discounted at        10% Per         Year5** | **** |
| Developed                                      |   |                                                   |       |                                                |   |   |   |   |   |   |   |   |   |   |   |   |   |
|      Producing        |   |                                                   | 164.40     |                                                     |        |  | 3,445.97 |  |  |  | 31,552.16 |  |  |  | 17,892.72 |   |   |
|                                           |   |                                                   |            |                                                     |        |  |  |  |  |  |  |  |  |  |  |   |   |
|      Non-producing    |   |                                                   | 10.08      |                                                     |        |  | 460.37 |  |  |  | 3,580.46 |  |  |  | 1,445.68 |   |   |
|                                           |   |                                                   |            |                                                     |        |  |  |  |  |  |  |  |  |  |  |   |   |
|      Behind      pipe |   |                                                   | 179.60     |                                                     |        |  | 2,590.12 |  |  |  | 31,784.74 |  |  |  | 17,870.86 |   |   |
|                                           |   |                                                   |            |                                                     |        |  |  |  |  |  |  |  |  |  |  |   |   |
| Undeveloped                                    |   |                                                   | 590.30     |                                                |        |   | 12,310.83 |   |  |   | 108,259.94 |   |  |   | 52,238.11 |   |   |
|                                           |   |                                                   |            |                                                     |        |  |  |  |  |  |  |  |  |  |  |   |   |
| **Total Proved6**                              | ****   | ****                                                   | **944.37** | ****                                                | ****   | **** | **18,807.29** | **** | **** | **** | **175,177.30** | **** | **** | **** | **89,447.37** | **** | **** |

| ****                                    |   | ******Estimated Net Reserves1**                   |          | **Estimated Future Net Revenue        (M$)2** | ****   |
|-----------------------------------------|--------|--------------------------------------------------------|---------------|----------------------------------------------------|--------|
| **Proved      Reserve      Category**   |   | ******Oil and         Condensate        (MBbl)3** |          | **Gas        (MMcf)4**                             |   | **Undiscounted** |   | **Discounted at        10% Per         Year5** | **** |
| Developed                               |   |                                                   |          |                                               |   |   |   |   |   |   |   |   |   |   |   |   |   |
|      Producing |   |                                                   | 429.62        |                                                    |        |  | 0.00 |  |  |  | 27,349.45 |  |  |  | 14,799.08 |   |   |
|                                    |   |                                                   |               |                                                    |        |  |  |  |  |  |  |  |  |  |  |   |   |
| Undeveloped                             |   |                                                   | 10,393.77     |                                               |        |   | 0.00 |   |  |   | 726,852.15 |   |  |   | 320,710.09 |   |   |
|                                    |   |                                                   |               |                                                    |        |  |  |  |  |  |  |  |  |  |  |   |   |
| **Total Proved6**                       | ****   | ****                                                   | **10,823.38** | ****                                               | ****   | **** | **0.00** | **** | **** | **** | **754,201.60** | **** | **** | **** | **335,509.17** | **** | **** |

| ****                                           |   | ******Estimated Net Reserves1**                   |      | **Estimated Future Net Revenue         (M$)2** | ****   |
|------------------------------------------------|--------|--------------------------------------------------------|-----------|-----------------------------------------------------|--------|
| **Proved      Reserve      Category**          |   | ******Oil and         Condensate        (MBbl)3** |      | **Gas        (MMcf)4**                              |   | **Undiscounted** |   | **Discounted at        10% Per         Year5** | **** |
| Developed                                      |   |                                                   |      |                                                |   |   |   |   |   |   |   |   |   |   |   |   |   |
|      Producing        |   |                                                   | 8.31      |                                                     |        |  | 0.67 |  |  |  | 377.41 |  |  |  | 303.95 |   |   |
|                                           |   |                                                   |           |                                                     |        |  |  |  |  |  |  |  |  |  |  |   |   |
|      Non-producing    |   |                                                   | 0.35      |                                                     |        |  | 0.00 |  |  |  | 19.16 |  |  |  | 17.24 |   |   |
|                                           |   |                                                   |           |                                                     |        |  |  |  |  |  |  |  |  |  |  |   |   |
|      Behind      pipe |   |                                                   | 8.54      |                                                     |        |  | 0.67 |  |  |  | 272.27 |  |  |  | 167.77 |   |   |
|                                           |   |                                                   |           |                                                     |        |  |  |  |  |  |  |  |  |  |  |   |   |
| **Total Proved6**                              | ****   | ****                                                   | **17.20** | ****                                                | ****   | **** | **1.34** | **** | **** | **** | **668.84** | **** | **** | **** | **488.96** | **** | **** |

----

|  | Yours truly,       Forrest A. Garb & Associates, Inc.       W. D. Harris III C      Chief Executive Officer       Forrest A. Garb & Associates, Inc. |
|--|------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | **I.**   | **INTRODUCTION**            |
|--------|----------|-----------------------------|
|   |     |                        |
|   | **II.**  | **ENGINEERING**             |
|   |     |                        |
|   | **III.** | **ECONOMIC CONSIDERATIONS** |
|   |     |                        |
|   | **IV.**  | **ATTACHMENTS**             |
|   |     |                        |

----

| **I.** | **INTRODUCTION** |
|--------|------------------|

| **II.** | **ENGINEERING** |
|---------|-----------------|

| **III.** | **ECONOMIC CONSIDERATIONS** |
|----------|-----------------------------|

----

----

|   | **A.** | **CATEGORY AND ONE-LINE SUMMARIES**                                                                    |
|--------|--------|--------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                   |
|   | **B.** | **RANKING OF PROVED PROPERTIES IN DESCENDING      ORDER       OF DISCOUNTED FUTURE NET REVENUE VALUE** |
|   |   |                                                                                                   |
|   | **C.** | **DEFINITIONS FOR OIL AND GAS RESERVES**                                                               |
|   |   |                                                                                                   |
|   | **D.** | **GENERAL COMMENTS**                                                                                   |
|   |   |                                                                                                   |

----

----

| **Date:       Partner:**    | 5/28/2008         All Cases | 3:24:15PM | **ECONOMIC SUMMARY PROJECTION****ReoStar Energy Corp**                                                                                                                                                      | **Grand Total** |
|-----------------------------|-----------------------------|-----------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-----------------|
|                        |                        |      | **Custom Selection         Discount Rate:** 10.00                           **   As of:** 4/1/2008 | **Total**       |
|                        |                        |      |                                                                                                                                                                                                        |            |
|                        |                        |           |                                                                                                                                                                                                        |            |
| **Est. Cum Oil (Mbbl) :**   | **13,854.87**               |      |                                                                                                                                                                                                        |
| **Est. Cum Gas (MMcf) :**   | **4,563.01**                |      |                                                                                                                                                                                                        |
| **Est. Cum Water (Mbbl) :** | **32,618.70**               |      |                                                                                                                                                                                                        |

|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|-----------|----------|-------------------------------------|--------|------------------------------------|--------|----------------------------------|--------|----------------------------------|-------------------------------------|-------------------------------------|--------------------------------------------|--------|---------------------------------------|----------------------------------|--------|----------------------------------|------------------------------------|--------|--------------------------------------------|--------|--------------------------------------|
| **Year**  |     | **Oil         Gross        (Mbbl)** |   | **Gas        Gross        (MMcf)** |   | **Oil        Net        (Mbbl)** |   | **Gas        Net        (MMcf)** | **Oil        Price        ($/bbl)** | **Gas        Price        ($/Mcf)** | **Oil & Gas         Rev. Net        (M$)** |   | **Misc.        Rev. Net        (M$)** | **Costs        Net        (M$)** |   | **Taxes        Net        (M$)** | **Invest.        Net        (M$)** |   | **NonDisc.         CF Annual        (M$)** |   | **Cum         Disc. CF        (M$)** |
| 2008      |     | 369.56                              |   | 2,603.05                           |   | 139.72                           |   | 913.98                           | 98.95                               | 8.81                                | 21,880.39                                  |   | 0.00                                  | 1,092.81                         |   | 1,788.00                         | 20,868.76                          |   | -1,869.18                                  |   | -1,951.31                            |
| 2009      |     | 625.23                              |   | 4,771.95                           |   | 248 09                           |   | 1,710.40                         | 98.26                               | 8.82                                | 39,467.99                                  |   | 0.00                                  | 2,837.30                         |   | 3,240.29                         | 16,364.41                          |   | 17,025.98                                  |   | 12,822.60                            |
| 2010      |     | 1,057.81                            |   | 3,736.66                           |   | 679.29                           |   | 1,338.95                         | 94.44                               | 8.82                                | 75,966.64                                  |   | 0.00                                  | 5,425.94                         |   | 5,736.08                         | 14,346.97                          |   | 50,457.65                                  |   | 52,060.06                            |
| 2011      |     | 1,842.44                            |   | 3,077.71                           |   | 1,326.97                         |   | 1,104.19                         | 93.69                               | 9.21                                | 134,489.34                                 |   | 0.00                                  | 5,818.10                         |   | 9,843.42                         | 7,331.10                           |   | 111,496.72                                 |   | 132,888.75                           |
| 2012      |     | 1,345.34                            |   | 2,676.70                           |   | 961.08                           |   | 955.53                           | 93.67                               | 9.35                                | 98,953.21                                  |   | 0.00                                  | 6,418.65                         |   | 7,284.51                         | 2,222.09                           |   | 83,027.95                                  |   | 187,330.46                           |
| 2013      |     | 1,118.90                            |   | 2,374.65                           |   | 792.72                           |   | 848.08                           | 93.65                               | 9.35                                | 82,169.37                                  |   | 0.00                                  | 7,117.59                         |   | 6,063.75                         | 16,376.20                          |   | 52,611.82                                  |   | 218,818.54                           |
| 2014      |     | 1,102.02                            |   | 2,203.78                           |   | 792.12                           |   | 779.35                           | 93.61                               | 9.35                                | 81,435.22                                  |   | 0.00                                  | 8,701.99                         |   | 5,993.02                         | 38.25                              |   | 66,701.96                                  |   | 254,573.33                           |
| 2015      |     | 1,341.91                            |   | 2,018.54                           |   | 989.01                           |   | 719.58                           | 93.52                               | 9.35                                | 99,223.66                                  |   | 0.00                                  | 8,561.11                         |   | 7,239.87                         | 7,844.93                           |   | 75,577.74                                  |   | 291,408.26                           |
| 2016      |     | 918.98                              |   | 1,875.48                           |   | 672.03                           |   | 670.50                           | 93.57                               | 9.36                                | 69,156.83                                  |   | 0.00                                  | 6,514.31                         |   | 5,091.85                         | 0.00                               |   | 57,550.67                                  |   | 316,750.28                           |
| 2017      |     | 863.68                              |   | 1,781.43                           |   | 635.22                           |   | 633.32                           | 93.56                               | 9.35                                | 65,354.05                                  |   | 0.00                                  | 6,183.84                         |   | 4,811.75                         | 8,434.72                           |   | 45,923.73                                  |   | 335,109.56                           |
| 2018      |     | 674.05                              |   | 1,676.71                           |   | 483.69                           |   | 596.12                           | 93.59                               | 9.35                                | 50,844.72                                  |   | 0.00                                  | 5,815.44                         |   | 3,771.48                         | 0.00                               |   | 41,257.80                                  |   | 349,958.68                           |
| 2019      |     | 651.48                              |   | 1,568.20                           |   | 470.33                           |   | 559.38                           | 93.57                               | 9.35                                | 49,239.58                                  |   | 0.00                                  | 5,772.92                         |   | 3,647.53                         | 7,459.71                           |   | 32,359.42                                  |   | 360,519.54                           |
| 2020      |     | 646.26                              |   | 1,481.24                           |   | 480.80                           |   | 529.08                           | 93.54                               | 9.35                                | 49,920.72                                  |   | 0.00                                  | 5,342.04                         |   | 3,687.66                         | 6,945.25                           |   | 33,945.76                                  |   | 370,473.87                           |
| 2021      |     | 866.63                              |   | 1,390.23                           |   | 654.86                           |   | 496.36                           | 93.46                               | 9.35                                | 65,847.15                                  |   | 0.00                                  | 5,524.47                         |   | 4,809.54                         | 4,501.55                           |   | 51,011.59                                  |   | 384,057.61                           |
| 2022      |     | 849.50                              |   | 1,313.07                           |   | 637.27                           |   | 469.17                           | 93.45                               | 9.35                                | 63,942.40                                  |   | 0.00                                  | 5,472.25                         |   | 4,666.93                         | 7,716.95                           |   | 46,086.27                                  |   | 395,197.37                           |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
| **Rem.**  |     | 2,569.15                            |   | 18,012.24                          |   | 1,821.76                         |   | 6,484.63                         | 93.69                               | 9.35                                | 231,328.42                                 |   | 0.00                                  | 46,266.28                        |   | 18,180.29                        | 0.00                               |   | 166,881.85                                 |   | 30.248.13                            |
| **Total** | **50.0** | **16,842.93**                       |   | **52,561.64**                      |   | **11,784.95**                    |   | **18,808.63**                    | **93.81**                           | **9.23**                            | **1,279,219.69**                           |   | **0.00**                              | **132,865.07**                   |   | **95,855.98**                    | **120,450.91**                     |   | **930,047.74**                             |   | **425,445.50**                       |
| **Ult.**  |     | **30,697.79**                       |   | **57,124.65**                      |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |

| **Eco. Indicators**             |   |   |                           |         |   |           |   |   |         |   |           |
|---------------------------------|--------|--------|--------------------------------|--------------|--------|----------------|--------|--------|--------------|--------|----------------|
| Return on Investment (disc) :   | 6.457  |   |                           |         |   |           |   |   |         |   |           |
| Return on Investment (undisc) : | 8.721  |   |                           |         |   |           |   |   |         |   |           |
| Years to Payout :               | 2.78   |   | **Present Worth Profile (M$)** |
| Internal Rate of Return (%) :   | 188.40 |   | **PW**                         | **5.00% :**  |   | **610,309.10** |   | **PW** | **20.00% :** |   | **235,127.48** |
|                            |   |   | **PW**                         | **8.00% :**  |   | **488,433.55** |   | **PW** | **30.00% :** |   | **145,343.15** |
|                            |   |   | **PW**                         | **10.00% :** |   | **425,445.50** |   | **PW** | **40.00% :** |   | **96,094,60**  |
|                            |   |   | **PW**                         | **12.00% :** |   | **373,331.30** |   | **PW** | **50.00% :** |   | **66,283.65**  |
|                            |   |   | **PW**                         | **15.00% :** |   | **310,675.32** |   | **PW** | **60.00% :** |   | **47,028.68**  |
|                            |   |   |                           |         |   |           |   |   |         |   |           |

----

| **Date:       Partner:**    | 5/19/2008         All Cases | 8:26:48AM | **ECONOMIC SUMMARY PROJECTION****ReoStar Energy Corp**                                                                                                                                                      | **Grand Total** |
|-----------------------------|-----------------------------|-----------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-----------------|
|                        |                        |      | **Custom Selection         Discount Rate:** 10.00                           **   As of:** 4/1/2008 |            |
|                        |                        |      |                                                                                                                                                                                                        |            |
|                        |                        |           |                                                                                                                                                                                                        |            |
| **Est. Cum Oil (Mbbl) :**   | **334.68**                  |      | **BARNETT AREA**                                                                                                                                                                                            |
| **Est. Cum Gas (MMcf) :**   | **3,678.65**                |      |                                                                                                                                                                                                        |
| **Est. Cum Water (Mbbl) :** | **484.68**                  |      |                                                                                                                                                                                                        |

|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|-----------|----------|-------------------------------------|--------|------------------------------------|--------|----------------------------------|--------|----------------------------------|-------------------------------------|-------------------------------------|--------------------------------------------|--------|---------------------------------------|----------------------------------|--------|----------------------------------|------------------------------------|--------|--------------------------------------------|--------|--------------------------------------|
| **Year**  |     | **Oil         Gross        (Mbbl)** |   | **Gas        Gross        (MMcf)** |   | **Oil        Net        (Mbbl)** |   | **Gas        Net        (MMcf)** | **Oil        Price        ($/bbl)** | **Gas        Price        ($/Mcf)** | **Oil & Gas         Rev. Net        (M$)** |   | **Misc.        Rev. Net        (M$)** | **Costs        Net        (M$)** |   | **Taxes        Net        (M$)** | **Invest.        Net        (M$)** |   | **NonDisc.         CF Annual        (M$)** |   | **Cum         Disc. CF        (M$)** |
| 2008      |     | 352.43                              |   | 2,598.65                           |   | 129.08                           |   | 913.09                           | 99.26                               | 8.81                                | 20.858.47                                  |   | 0.00                                  | 683.81                           |   | 1,713.95                         | 18,410.51                          |   | 50.20                                      |   | -117.43                              |
| 2009      |     | 561.12                              |   | 4,769.76                           |   | 201.94                           |   | 1,709.95                         | 99.26                               | 8.82                                | 35,130.30                                  |   | 0.00                                  | 1,281.27                         |   | 2.931.57                         | 5,384.57                           |   | 25,532.89                                  |   | 22.332.45                            |
| 2010      |     | 344.67                              |   | 3,736.66                           |   | 124.04                           |   | 1,338.95                         | 99.26                               | 8.82                                | 24,127.56                                  |   | 0.00                                  | 1,294.88                         |   | 2,055.50                         | 75.00                              |   | 20,702.18                                  |   | 38,926.94                            |
| 2011      |     | 219.23                              |   | 3,077.71                           |   | 78.25                            |   | 1,104.19                         | 99.26                               | 9.21                                | 17,934.81                                  |   | 0.00                                  | 1,265.01                         |   | 1,568.05                         | 0.00                               |   | 15,101.74                                  |   | 49,880,64                            |
| 2012      |     | 150.75                              |   | 2,676.70                           |   | 52.79                            |   | 955.53                           | 99.26                               | 9.35                                | 14,172.68                                  |   | 0.00                                  | 1,246.98                         |   | 1,265.10                         | 35.63                              |   | 11,624.99                                  |   | 57,507.98                            |
| 2013      |     | 119.50                              |   | 2,374.65                           |   | 41.60                            |   | 848.08                           | 99.26                               | 9.35                                | 12,057.36                                  |   | 0.00                                  | 1,219.34                         |   | 1,085.80                         | 42.00                              |   | 9,710.22                                   |   | 63,272.40                            |
| 2014      |     | 103.47                              |   | 2,203.78                           |   | 35.77                            |   | 779.35                           | 99.26                               | 9.35                                | 10,837.12                                  |   | 0.00                                  | 1,189.50                         |   | 980.55                           | 38.25                              |   | 8,628.82                                   |   | 67,908.02                            |
| 2015      |     | 88.95                               |   | 2,018.54                           |   | 30.94                            |   | 719.58                           | 99.26                               | 9.35                                | 9,802.05                                   |   | 0.00                                  | 1,184.65                         |   | 890.94                           | 78.30                              |   | 7,648.16                                   |   | 71,626.65                            |
| 2016      |     | 77.88                               |   | 1,875.48                           |   | 27.19                            |   | 670.50                           | 99.26                               | 9.36                                | 8,971.74                                   |   | 0.00                                  | 1,179.69                         |   | 818.71                           | 0.00                               |   | 6,973.34                                   |   | 74,696.23                            |
| 2017      |     | 69.16                               |   | 1,781.43                           |   | 24.17                            |   | 633.32                           | 99.26                               | 9.35                                | 8,323.93                                   |   | 0.00                                  | 1,150.91                         |   | 762.61                           | 103.13                             |   | 6,307.29                                   |   | 77,207.82                            |
| 2018      |     | 61.53                               |   | 1,676.71                           |   | 21.54                            |   | 596.12                           | 99.26                               | 9.35                                | 7,713.73                                   |   | 0.00                                  | 1,150.91                         |   | 709.18                           | 0.00                               |   | 5,853.65                                   |   | 79,319.04                            |
| 2019      |     | 54.59                               |   | 1,568.20                           |   | 19.18                            |   | 559.38                           | 99.26                               | 9.35                                | 7,135.96                                   |   | 0.00                                  | 1,142.59                         |   | 658.17                           | 0.00                               |   | 5,335.20                                   |   | 81,060.79                            |
| 2020      |     | 48.83                               |   | 1,481.24                           |   | 17.19                            |   | 529.08                           | 99.26                               | 9.35                                | 6,654,82                                   |   | 0.00                                  | 1,140.03                         |   | 615.78                           | 0.00                               |   | 4,899.01                                   |   | 82,508.42                            |
| 2021      |     | 43.55                               |   | 1,390.23                           |   | 15.37                            |   | 496.36                           | 99.26                               | 9.35                                | 6,166.52                                   |   | 0.00                                  | 1,123.91                         |   | 572.22                           | 0.00                               |   | 4,470.40                                   |   | 83,704.09                            |
| 2022      |     | 38.91                               |   | 1,313.07                           |   | 13.76                            |   | 469.17                           | 99.26                               | 9.35                                | 5,752.66                                   |   | 0.00                                  | 1,108.62                         |   | 535.46                           | 0.00                               |   | 4,108.57                                   |   | 84,698,85                            |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
| **Rem.**  |     | 308.85                              |   | 18,012.24                          |   | 111.56                           |   | 6,484.63                         | 99.26                               | 9.35                                | 71,723.63                                  |   | 0.00                                  | 26,644.65                        |   | 6,848.35                         | 0.00                               |   | 38,230.64                                  |   | 4,748.52                             |
| **Total** | **49.6** | **2,643.40**                        |   | **52,555,04**                      |   | **944.37**                       |   | **18,807.29**                    | **99.26**                           | **9.23**                            | **267,363.35**                             |   | **0.00**                              | **44,006.74**                    |   | **24,011.94**                    | **24,167.38**                      |   | **175,177.30**                             |   | **89,447.37**                        |
| **Ult.**  |     | **2,978.07**                        |   | **56,233.69**                      |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |

| **Eco. Indicators**             |   |   |                           |         |   |           |   |   |         |   |          |
|---------------------------------|--------|--------|--------------------------------|--------------|--------|----------------|--------|--------|--------------|--------|---------------|
| Return on Investment (disc) :   | 4.899  |   |                           |         |   |           |   |   |         |   |          |
| Return on Investment (undisc) : | 8.249  |   |                           |         |   |           |   |   |         |   |          |
| Years to Payout :               | 0.93   |   | **Present Worth Profile (M$)** |
| Internal Rate of Return (%) :   | 241.51 |   | **PW**                         | **5.00% :**  |   | **118,938.19** |   | **PW** | **20.00% :** |   | **59,050.62** |
|                            |   |   | **PW**                         | **8.00% :**  |   | **99,357.83**  |   | **PW** | **30.00% :** |   | **43,140.18** |
|                            |   |   | **PW**                         | **10.00% :** |   | **89,447.37**  |   | **PW** | **40.00% :** |   | **33,162.10** |
|                            |   |   | **PW**                         | **12.00% :** |   | **81,272.87**  |   | **PW** | **50.00% :** |   | **26,266.83** |
|                            |   |   | **PW**                         | **15.00% :** |   | **71,365.37**  |   | **PW** | **60.00% :** |   | **21,211.53** |
|                            |   |   |                           |         |   |           |   |   |         |   |          |

----

| **Date:       Partner:**    | 5/22/2008         All Cases | 3:08:18PM | **ECONOMIC SUMMARY PROJECTION****ReoStar Energy Corp**                                                                                                                                                      | **Grand Total** |
|-----------------------------|-----------------------------|-----------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-----------------|
|                        |                        |      | **Custom Selection         Discount Rate:** 10.00                           **   As of:** 4/1/2008 |            |
|                        |                        |      |                                                                                                                                                                                                        |            |
|                        |                        |           |                                                                                                                                                                                                        |            |
| **Est. Cum Oil (Mbbl) :**   | **9,243.23**                |      | **CORSICANA AREA**                                                                                                                                                                                          |
| **Est. Cum Gas (MMcf) :**   | **9.35**                    |      |                                                                                                                                                                                                        |
| **Est. Cum Water (Mbbl) :** | **23,312.57**               |      |                                                                                                                                                                                                        |

|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|-----------|----------|-------------------------------------|--------|------------------------------------|--------|----------------------------------|--------|----------------------------------|-------------------------------------|-------------------------------------|--------------------------------------------|--------|---------------------------------------|----------------------------------|--------|----------------------------------|------------------------------------|--------|--------------------------------------------|--------|--------------------------------------|
| **Year**  |     | **Oil         Gross        (Mbbl)** |   | **Gas        Gross        (MMcf)** |   | **Oil        Net        (Mbbl)** |   | **Gas        Net        (MMcf)** | **Oil        Price        ($/bbl)** | **Gas        Price        ($/Mcf)** | **Oil & Gas         Rev. Net        (M$)** |   | **Misc.        Rev. Net        (M$)** | **Costs        Net        (M$)** |   | **Taxes        Net        (M$)** | **Invest.        Net        (M$)** |   | **NonDisc.         CF Annual        (M$)** |   | **Cum         Disc. CF        (M$)** |
| 2008      |     | 11.43                               |   | 0.00                               |   | 8.14                             |   | 0.00                             | 93.33                               | 0.00                                | 759.86                                     |   | 0.00                                  | 330.27                           |   | 53.95                            | 2,277.00                           |   | -1,901.37                                  |   | -1,813.71                            |
| 2009      |     | 57.65                               |   | 0.00                               |   | 42.97                            |   | 0.00                             | 93.33                               | 0.00                                | 4,009.97                                   |   | 0.00                                  | 1,450.79                         |   | 284.71                           | 10,979.85                          |   | -8,705.38                                  |   | -9,665.43                            |
| 2010      |     | 708.86                              |   | 0.00                               |   | 552.77                           |   | 0.00                             | 93.33                               | 0.00                                | 51,587.43                                  |   | 0.00                                  | 4,044.04                         |   | 3,662.71                         | 14,271.97                          |   | 29,608.71                                  |   | 12,859.98                            |
| 2011      |     | 1,619.73                            |   | 0.00                               |   | 1,246.63                         |   | 0.00                             | 93.33                               | 0.00                                | 116,342.01                                 |   | 0.00                                  | 4,468.85                         |   | 8,260.28                         | 7,331.10                           |   | 96,281.78                                  |   | 82,652.88                            |
| 2012      |     | 1,191.59                            |   | 0.00                               |   | 906.48                           |   | 0.00                             | 93.33                               | 0.00                                | 84,597.27                                  |   | 0.00                                  | 5,087.44                         |   | 6,006.41                         | 2,186.47                           |   | 71,316.95                                  |   | 129,410.79                           |
| 2013      |     | 996.82                              |   | 0.00                               |   | 749.58                           |   | 0.00                             | 93.33                               | 0.00                                | 69,954.85                                  |   | 0.00                                  | 5,814.01                         |   | 4,966.79                         | 16,334.20                          |   | 42,839.84                                  |   | 155,097.73                           |
| 2014      |     | 996.34                              |   | 0.00                               |   | 755.02                           |   | 0.00                             | 93.33                               | 0.00                                | 70,462.93                                  |   | 0.00                                  | 7,428.25                         |   | 5,002.87                         | 0.00                               |   | 58,031.81                                  |   | 186,194.64                           |
| 2015      |     | 1,251.06                            |   | 0.00                               |   | 956.92                           |   | 0.00                             | 93.33                               | 0.00                                | 89,305.35                                  |   | 0.00                                  | 7,292.23                         |   | 6,340.68                         | 7,766.63                           |   | 67,905.81                                  |   | 219,299.34                           |
| 2016      |     | 840.08                              |   | 0.00                               |   | 644.23                           |   | 0.00                             | 93.33                               | 0.00                                | 60,123.39                                  |   | 0.00                                  | 5,288.35                         |   | 4,268.76                         | 0.00                               |   | 50,566.27                                  |   | 241,566.88                           |
| 2017      |     | 793.82                              |   | 0.00                               |   | 610.64                           |   | 0.00                             | 93.33                               | 0.00                                | 56,987.81                                  |   | 0.00                                  | 4,997.83                         |   | 4,046.13                         | 8,331.60                           |   | 39,612.24                                  |   | 257,412.89                           |
| 2018      |     | 612.36                              |   | 0.00                               |   | 462.05                           |   | 0.00                             | 93.33                               | 0.00                                | 43,121.28                                  |   | 0.00                                  | 4,655.81                         |   | 3,061.61                         | 0.00                               |   | 35,403.85                                  |   | 270,15068                            |
| 2019      |     | 596.89                              |   | 0.00                               |   | 451.15                           |   | 0.00                             | 93.33                               | 0.00                                | 42,103.62                                  |   | 0.00                                  | 4,630.33                         |   | 2,989.36                         | 7,459.71                           |   | 27,02422                                   |   | 278,969.79                           |
| 2020      |     | 597.43                              |   | 0.00                               |   | 463.60                           |   | 0.00                             | 93.33                               | 0.00                                | 43,265.89                                  |   | 0.00                                  | 4,202.01                         |   | 3,071.88                         | 6,945.25                           |   | 29,046.75                                  |   | 287,476.49                           |
| 2021      |     | 823.09                              |   | 0.00                               |   | 639.49                           |   | 0.00                             | 93.33                               | 0.00                                | 59,680.63                                  |   | 0.00                                  | 4,400.57                         |   | 4,237.32                         | 4,501.55                           |   | 46,541.19                                  |   | 299,864.56                           |
| 2022      |     | 810.59                              |   | 0.00                               |   | 623.51                           |   | 0.00                             | 93.33                               | 0.00                                | 58,189.74                                  |   | 0.00                                  | 4,363.63                         |   | 4,131.47                         | 7,716.95                           |   | 41,977.70                                  |   | 310,009.56                           |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
| **Rem.**  |     | 2,260.29                            |   | 0.00                               |   | 1,710.20                         |   | 0.00                             | 93.33                               | 0.00                                | 159,604.79                                 |   | 0.00                                  | 19,621.64                        |   | 11,331.94                        | 0.00                               |   | 128,651.21                                 |   | 25,499.62                            |
| **Total** | **50.0** | **14,168.02**                       |   | **0.00**                           |   | **10,823.38**                    |   | **0.00**                         | **93.33**                           | **0.00**                            | **1,010,096.81**                           |   | **0.00**                              | **88,076.06**                    |   | **71,716.87**                    | **96,102.28**                      |   | **754,201.60**                             |   | **335,509.17**                       |
| **Ult.**  |     | **23,411.25**                       |   | **9.35**                           |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |

| **Eco. Indicators**             |   |   |                           |         |   |           |   |   |         |   |           |
|---------------------------------|--------|--------|--------------------------------|--------------|--------|----------------|--------|--------|--------------|--------|----------------|
| Return on Investment (disc) :   | 7,118  |   |                           |         |   |           |   |   |         |   |           |
| Return on Investment (undisc) : | 8.848  |   |                           |         |   |           |   |   |         |   |           |
| Years to Payout :               | 3.20   |   | **Present Worth Profile (M$)** |
| Internal Rate of Return (%) :   | 126.05 |   | **PW**                         | **5.00% :**  |   | **490,801.32** |   | **PW** | **20.00% :** |   | **175,709.07** |
|                            |   |   | **PW**                         | **8.00% :**  |   | **388,556.44** |   | **PW** | **30.00% :** |   | **101,920.12** |
|                            |   |   | **PW**                         | **10.00% :** |   | **335,509.17** |   | **PW** | **40.00% :** |   | **62,711.31**  |
|                            |   |   | **PW**                         | **12.00% :** |   | **291,597.49** |   | **PW** | **50.00% :** |   | **39,841.74**  |
|                            |   |   | **PW**                         | **15.00% :** |   | **238,887.21** |   | **PW** | **60.00% :** |   | **25,677.45**  |
|                            |   |   |                           |         |   |           |   |   |         |   |           |

----

| **Date:       Partner:**    | 5/21/2008         All Cases | 10:47:31AM | **ECONOMIC SUMMARY PROJECTION****ReoStar Energy Corp**                                                                                                                                                      | **Grand Total** |
|-----------------------------|-----------------------------|------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-----------------|
|                        |                        |       | **Custom Selection         Discount Rate:** 10.00                           **   As of:** 4/1/2008 |            |
|                        |                        |       |                                                                                                                                                                                                        |            |
|                        |                        |            |                                                                                                                                                                                                        |            |
| **Est. Cum Oil (Mbbl) :**   | **4,276.95**                |       | **EAST TEXAS AREA**                                                                                                                                                                                         |
| **Est. Cum Gas (MMcf) :**   | **875.02**                  |       |                                                                                                                                                                                                        |
| **Est. Cum Water (Mbbl) :** | **8,821.45**                |       |                                                                                                                                                                                                        |

|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|-----------|----------|-------------------------------------|--------|------------------------------------|--------|----------------------------------|--------|----------------------------------|-------------------------------------|-------------------------------------|--------------------------------------------|--------|---------------------------------------|----------------------------------|--------|----------------------------------|------------------------------------|--------|--------------------------------------------|--------|--------------------------------------|
| **Year**  |     | **Oil         Gross        (Mbbl)** |   | **Gas        Gross        (MMcf)** |   | **Oil        Net        (Mbbl)** |   | **Gas        Net        (MMcf)** | **Oil        Price        ($/bbl)** | **Gas        Price        ($/Mcf)** | **Oil & Gas         Rev. Net        (M$)** |   | **Misc.        Rev. Net        (M$)** | **Costs        Net        (M$)** |   | **Taxes        Net        (M$)** | **Invest.        Net        (M$)** |   | **NonDisc.         CF Annual        (M$)** |   | **Cum         Disc. CF        (M$)** |
| 2008      |     | 5.70                                |   | 4.41                               |   | 2.49                             |   | 0.89                             | 101.54                              | 9.86                                | 262.06                                     |   | 0.00                                  | 78.73                            |   | 20.10                            | 181.25                             |   | -18.02                                     |   | -20.17                               |
| 2009      |     | 6.46                                |   | 2.19                               |   | 3.18                             |   | 0.44                             | 101.54                              | 9.86                                | 327.72                                     |   | 0.00                                  | 105.24                           |   | 24.02                            | 0.00                               |   | 198.47                                     |   | 155.58                               |
| 2010      |     | 4.28                                |   | 0.00                               |   | 2.48                             |   | 0.00                             | 101.54                              | 0.00                                | 251.64                                     |   | 0.00                                  | 87.02                            |   | 17.87                            | 0.00                               |   | 146.76                                     |   | 273.14                               |
| 2011      |     | 3.49                                |   | 0.00                               |   | 2.09                             |   | 0.00                             | 101.54                              | 0.00                                | 212.53                                     |   | 0.00                                  | 84.24                            |   | 15.09                            | 0.00                               |   | 113.20                                     |   | 355.23                               |
| 2012      |     | 3.01                                |   | 0.00                               |   | 1.80                             |   | 0.00                             | 101.54                              | 0.00                                | 183.26                                     |   | 0.00                                  | 84.24                            |   | 13.01                            | 0.00                               |   | 86.01                                      |   | 411.70                               |
| 2013      |     | 2.58                                |   | 0.00                               |   | 1.55                             |   | 0.00                             | 101.54                              | 0.00                                | 157.16                                     |   | 0.00                                  | 84.24                            |   | 11.16                            | 0.00                               |   | 61.76                                      |   | 448.41                               |
| 2014      |     | 2.22                                |   | 0.00                               |   | 1.33                             |   | 0.00                             | 101.54                              | 0.00                                | 135.17                                     |   | 0.00                                  | 84.24                            |   | 9.60                             | 0.00                               |   | 41.33                                      |   | 470.67                               |
| 2015      |     | 1.91                                |   | 0.00                               |   | 1.14                             |   | 0.00                             | 101.54                              | 0.00                                | 116.26                                     |   | 0.00                                  | 84.24                            |   | 8.25                             | 0.00                               |   | 23.76                                      |   | 482.27                               |
| 2016      |     | 1.01                                |   | 0.00                               |   | 0.61                             |   | 0.00                             | 101.54                              | 0.00                                | 61.71                                      |   | 0.00                                  | 46.27                            |   | 4.38                             | 0.00                               |   | 11.06                                      |   | 487.16                               |
| 2017      |     | 0.69                                |   | 0.00                               |   | 0.42                             |   | 0.00                             | 101.54                              | 0.00                                | 42.30                                      |   | 0.00                                  | 35.10                            |   | 3.00                             | 0.00                               |   | 4.20                                       |   | 488.85                               |
| 2018      |     | 0.16                                |   | 0.00                               |   | 0.10                             |   | 0.00                             | 101.54                              | 0.00                                | 9.71                                       |   | 0.00                                  | 8.72                             |   | 0.69                             | 0.00                               |   | 0.30                                       |   | 488.965                              |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
| **Rem.**  |     | 0.00                                |   | 0.00                               |   | 0.00                             |   | 0.00                             | 0.00                                | 0.00                                | 0.00                                       |   | 0.00                                  | 0.00                             |   | 0.00                             | 0.00                               |   | 0.00                                       |   | 0.00                                 |
| **Total** | **10.2** | **31.51**                           |   | **6.59**                           |   | **17.20**                        |   | **1.34**                         | **101.54**                          | **9.86**                            | **1,759.53**                               |   | **0.00**                              | **782.27**                       |   | **127.17**                       | **181.25**                         |   | **668.84**                                 |   | **488.96**                           |
| **Ult.**  |     | **4,308.47**                        |   | **881.61**                         |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |

| **Eco. Indicators**             |   |   |                           |         |   |       |   |   |         |   |       |
|---------------------------------|--------|--------|--------------------------------|--------------|--------|------------|--------|--------|--------------|--------|------------|
| Return on Investment (disc) :   | 3.765  |   |                           |         |   |       |   |   |         |   |       |
| Return on Investment (undisc) : | 4.690  |   |                           |         |   |       |   |   |         |   |       |
| Years to Payout :               | 0.83   |   | **Present Worth Profile (M$)** |
| Internal Rate of Return (%) :   | 177.38 |   | **PW**                         | **5.00% :**  |   | **569.59** |   | **PW** | **20.00% :** |   | **367.79** |
|                            |   |   | **PW**                         | **8.00% :**  |   | **519.28** |   | **PW** | **30.00% :** |   | **282.85** |
|                            |   |   | **PW**                         | **10.00% :** |   | **488.96** |   | **PW** | **40.00% :** |   | **221.19** |
|                            |   |   | **PW**                         | **12.00% :** |   | **460.94** |   | **PW** | **50.00% :** |   | **175.08** |
|                            |   |   | **PW**                         | **15.00% :** |   | **422.74** |   | **PW** | **60.00% :** |   | **139.70** |
|                            |   |   |                           |         |   |       |   |   |         |   |       |

----

| **Date:       Partner:**    | 5/28/2008         All Cases | 3:24:15PM | **ECONOMIC SUMMARY PROJECTION****ReoStar Energy Corp**                                                                                                                                                      | **Proved Producing Rsv Class & Category** |
|-----------------------------|-----------------------------|-----------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------|
|                        |                        |      | **Custom Selection         Discount Rate:** 10.00                           **   As of:** 4/1/2008 | **Total**                                 |
|                        |                        |      |                                                                                                                                                                                                        |                                      |
|                        |                        |           |                                                                                                                                                                                                        |                                      |
| **Est. Cum Oil (Mbbl) :**   | **12,136.20**               |      |                                                                                                                                                                                                        |
| **Est. Cum Gas (MMcf) :**   | **4,540.89**                |      |                                                                                                                                                                                                        |
| **Est. Cum Water (Mbbl) :** | **30,837.33**               |      |                                                                                                                                                                                                        |

|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|-----------|----------|-------------------------------------|--------|------------------------------------|--------|----------------------------------|--------|----------------------------------|-------------------------------------|-------------------------------------|--------------------------------------------|--------|---------------------------------------|----------------------------------|--------|----------------------------------|------------------------------------|--------|--------------------------------------------|--------|--------------------------------------|
| **Year**  |     | **Oil         Gross        (Mbbl)** |   | **Gas        Gross        (MMcf)** |   | **Oil        Net        (Mbbl)** |   | **Gas        Net        (MMcf)** | **Oil        Price        ($/bbl)** | **Gas        Price        ($/Mcf)** | **Oil & Gas         Rev. Net        (M$)** |   | **Misc.        Rev. Net        (M$)** | **Costs        Net        (M$)** |   | **Taxes        Net        (M$)** | **Invest.        Net        (M$)** |   | **NonDisc.         CF Annual        (M$)** |   | **Cum         Disc. CF        (M$)** |
| 2008      |     | 92.55                               |   | 970.92                             |   | 31.09                            |   | 279.22                           | 97.94                               | 8.76                                | 5.491.77                                   |   | 0.00                                  | 820.06                           |   | 461.33                           | 0.00                               |   | 4.210.37                                   |   | 4.060.93                             |
| 2009      |     | 101.03                              |   | 1,012.99                           |   | 39.07                            |   | 288.53                           | 96.92                               | 8.79                                | 6,323.05                                   |   | 0.00                                  | 1,051.59                         |   | 522.60                           | 0.00                               |   | 4,748.86                                   |   | 8,256.23                             |
| 2010      |     | 102.65                              |   | 826.94                             |   | 49.85                            |   | 236.83                           | 95.49                               | 8.80                                | 6,844.76                                   |   | 0.00                                  | 1,020.33                         |   | 546.22                           | 0.00                               |   | 5,278.21                                   |   | 12,465.87                            |
| 2011      |     | 115.80                              |   | 710.29                             |   | 66.08                            |   | 204.16                           | 94.65                               | 9.19                                | 8,130.67                                   |   | 0.00                                  | 990.09                           |   | 631.49                           | 0.00                               |   | 6,509.09                                   |   | 17,179.37                            |
| 2012      |     | 99.13                               |   | 630.80                             |   | 57.02                            |   | 181.43                           | 94.61                               | 9.33                                | 7,087.85                                   |   | 0.00                                  | 972.05                           |   | 552.12                           | 0.00                               |   | 5,563.68                                   |   | 20,828.85                            |
| 2013      |     | 83.59                               |   | 569.76                             |   | 48.02                            |   | 164.03                           | 94.60                               | 9.33                                | 6,073.98                                   |   | 0.00                                  | 934.35                           |   | 475.45                           | 0.00                               |   | 4,664.18                                   |   | 23,597.95                            |
| 2014      |     | 70.62                               |   | 520.46                             |   | 40.53                            |   | 150.22                           | 94.61                               | 9.34                                | 5,237.63                                   |   | 0.00                                  | 881.40                           |   | 412.34                           | 0.00                               |   | 3,943.88                                   |   | 25,717.51                            |
| 2015      |     | 60.95                               |   | 481.94                             |   | 34.75                            |   | 139.18                           | 94.64                               | 9.33                                | 4,587.10                                   |   | 0.00                                  | 876.54                           |   | 363.14                           | 0.00                               |   | 3,347.41                                   |   | 27,346.05                            |
| 2016      |     | 52.19                               |   | 451.74                             |   | 29.56                            |   | 130.50                           | 94.59                               | 9.33                                | 4,014.23                                   |   | 0.00                                  | 833.61                           |   | 320.12                           | 0.00                               |   | 2,860.49                                   |   | 28,605.68                            |
| 2017      |     | 44.26                               |   | 419.60                             |   | 25.18                            |   | 12l.39                           | 94.57                               | 9.34                                | 3,514.50                                   |   | 0.00                                  | 793.67                           |   | 282.20                           | 0.00                               |   | 2,438.64                                   |   | 29,577.62                            |
| 2018      |     | 38.75                               |   | 396.76                             |   | 21.83                            |   | 114.64                           | 94.62                               | 9.34                                | 3,135.91                                   |   | 0.00                                  | 790.78                           |   | 253.49                           | 0.00                               |   | 2,091.04                                   |   | 30,33228                             |
| 2019      |     | 33.99                               |   | 372.55                             |   | 18.97                            |   | 106.97                           | 94.67                               | 9.33                                | 2,794.25                                   |   | 0.00                                  | 773.00                           |   | 227.14                           | 0.00                               |   | 1,794.12                                   |   | 30,918.27                            |
| 2020      |     | 30.02                               |   | 354.38                             |   | 16.60                            |   | 101.71                           | 94.71                               | 9.33                                | 2,521.85                                   |   | 0.00                                  | 770.44                           |   | 206.37                           | 0.00                               |   | 1,545.04                                   |   | 31,375.06                            |
| 2021      |     | 26.40                               |   | 333.75                             |   | 14.50                            |   | 95.90                            | 94.75                               | 9.33                                | 2,268.57                                   |   | 0.00                                  | 764.69                           |   | 186.82                           | 0.00                               |   | 1,317.07                                   |   | 31,727.50                            |
| 2022      |     | 23.27                               |   | 313.39                             |   | 12.71                            |   | 90.08                            | 94.78                               | 9.34                                | 2,045.86                                   |   | 0.00                                  | 75l.38                           |   | 169.44                           | 0.00                               |   | 1,125.04                                   |   | 32,000.04                            |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
| **Rem.**  |     | 176.80                              |   | 3,678.34                           |   | 96.56                            |   | 1,041.86                         | 94.85                               | 9.35                                | 18,899.18                                  |   | 0.00                                  | 9,436.08                         |   | 1,621.81                         | 0.00                               |   | 7,841.29                                   |   | 995.71                               |
| **Total** | **50.0** | **1,152.00**                        |   | **12,050.60**                      |   | **602.33**                       |   | **3,446.64**                     | **95.06**                           | **9.20**                            | **88,971.17**                              |   | **0.00**                              | **22,460.07**                    |   | **7,232.08**                     | **0.00**                           |   | **59,279.02**                              |   | **32,995.75**                        |
| **Ult.**  |     | **13,288.20**                       |   | **16,591.50**                      |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |

| **Eco. Indicators**             |   |   |                           |         |   |          |   |   |         |   |          |
|---------------------------------|--------|--------|--------------------------------|--------------|--------|---------------|--------|--------|--------------|--------|---------------|
| Return on Investment (disc) :   | 0.000  |   |                           |         |   |          |   |   |         |   |          |
| Return on Investment (undisc) : | 0.000  |   |                           |         |   |          |   |   |         |   |          |
| Years to Payout :               | 0.00   |   | **Present Worth Profile (M$)** |
| Internal Rate of Return (%) :   | 0.00   |   | **PW**                         | **5.00% :**  |   | **42,623.80** |   | **PW** | **20.00% :** |   | **22,301.32** |
|                            |   |   | **PW**                         | **8.00% :**  |   | **36,316.66** |   | **PW** | **30.00% :** |   | **16,559.15** |
|                            |   |   | **PW**                         | **10.00% :** |   | **32,995.75** |   | **PW** | **40.00% :** |   | **13,036.12** |
|                            |   |   | **PW**                         | **12.00% :** |   | **30,189.81** |   | **PW** | **50.00% :** |   | **10,689.57** |
|                            |   |   | **PW**                         | **15.00% :** |   | **26,713.30** |   | **PW** | **60.00% :** |   | **9,034.36**  |
|                            |   |   |                           |         |   |          |   |   |         |   |          |

----

| **Date:       Partner:**    | 5/19/2008         All Cases | 8:26:48AM | **ECONOMIC SUMMARY PROJECTION****ReoStar Energy Corp**                                                                                                                                                      | **Proved Producing Rsv Class & Category** |
|-----------------------------|-----------------------------|-----------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------|
|                        |                        |      | **Custom Selection         Discount Rate:** 10.00                           **   As of:** 4/1/2008 |                                      |
|                        |                        |      |                                                                                                                                                                                                        |                                      |
|                        |                        |           |                                                                                                                                                                                                        |                                      |
| **Est. Cum Oil (Mbbl) :**   | **353.26**                  |      | **BARNETT AREA**                                                                                                                                                                                            |
| **Est. Cum Gas (MMcf) :**   | **3,749.67**                |      |                                                                                                                                                                                                        |
| **Est. Cum Water (Mbbl) :** | **666.55**                  |      |                                                                                                                                                                                                        |

|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|-----------|----------|-------------------------------------|--------|------------------------------------|--------|----------------------------------|--------|----------------------------------|-------------------------------------|-------------------------------------|--------------------------------------------|--------|---------------------------------------|----------------------------------|--------|----------------------------------|------------------------------------|--------|--------------------------------------------|--------|--------------------------------------|
| **Year**  |     | **Oil         Gross        (Mbbl)** |   | **Gas        Gross        (MMcf)** |   | **Oil        Net        (Mbbl)** |   | **Gas        Net        (MMcf)** | **Oil        Price        ($/bbl)** | **Gas        Price        ($/Mcf)** | **Oil & Gas         Rev. Net        (M$)** |   | **Misc.        Rev. Net        (M$)** | **Costs        Net        (M$)** |   | **Taxes        Net        (M$)** | **Invest.        Net        (M$)** |   | **NonDisc.         CF Annual        (M$)** |   | **Cum         Disc. CF        (M$)** |
| 2008      |     | 79.96                               |   | 974.71                             |   | 22.23                            |   | 278.77                           | 99.26                               | 8.76                                | 4,648.79                                   |   | 0.00                                  | 445.47                           |   | 400.73                           | 0.00                               |   | 3,802.58                                   |   | 3,669.25                             |
| 2009      |     | 77.53                               |   | 1,011.89                           |   | 21.58                            |   | 288.31                           | 99.26                               | 8.79                                | 4,676.31                                   |   | 0.00                                  | 558.92                           |   | 405.31                           | 0.00                               |   | 3,712.08                                   |   | 6,955.13                             |
| 2010      |     | 59.04                               |   | 826.94                             |   | 16.48                            |   | 236.83                           | 99.26                               | 8.80                                | 3,720.38                                   |   | 0.00                                  | 536.06                           |   | 324.39                           | 0.00                               |   | 2,859.94                                   |   | 9,245.44                             |
| 2011      |     | 47.12                               |   | 710.29                             |   | 13.24                            |   | 204.16                           | 99.26                               | 9.19                                | 3,190.31                                   |   | 0.00                                  | 505.81                           |   | 280.72                           | 0.00                               |   | 2,403.78                                   |   | 10,986.82                            |
| 2012      |     | 39.43                               |   | 630.80                             |   | 11.09                            |   | 181.43                           | 99.26                               | 9.33                                | 2,793.50                                   |   | 0.00                                  | 487.77                           |   | 247.23                           | 0.00                               |   | 2,058.50                                   |   | 12,336.86                            |
| 2013      |     | 33.22                               |   | 569.76                             |   | 9.26                             |   | 164.03                           | 99.26                               | 9.33                                | 2,450.50                                   |   | 0.00                                  | 462.02                           |   | 218.18                           | 0.00                               |   | 1,770.29                                   |   | 13,387.59                            |
| 2014      |     | 28.13                               |   | 520.46                             |   | 7.84                             |   | 150.22                           | 99.26                               | 9.34                                | 2,180.85                                   |   | 0.00                                  | 432.30                           |   | 195.31                           | 0.00                               |   | 1,553.24                                   |   | 14,222.05                            |
| 2015      |     | 24.77                               |   | 481.94                             |   | 6.91                             |   | 139.18                           | 99.26                               | 9.33                                | 1,984.76                                   |   | 0.00                                  | 427.45                           |   | 178.37                           | 0.00                               |   | 1,378.94                                   |   | 14,892.64                            |
| 2016      |     | 21.88                               |   | 451.74                             |   | 6.13                             |   | 130.50                           | 99.26                               | 9.33                                | 1,826.51                                   |   | 0.00                                  | 422.49                           |   | 164.79                           | 0.00                               |   | 1,239.23                                   |   | 15,438.11                            |
| 2017      |     | 18.58                               |   | 419.60                             |   | 5.29                             |   | 121.39                           | 99.26                               | 9.34                                | 1,659.07                                   |   | 0.00                                  | 393.71                           |   | 150.46                           | 0.00                               |   | 1,114.90                                   |   | 15,882.25                            |
| 2018      |     | 16.72                               |   | 396.76                             |   | 4.77                             |   | 114.64                           | 99.26                               | 9.34                                | 1,543.91                                   |   | 0.00                                  | 390.83                           |   | 140.45                           | 0.00                               |   | 1,012.63                                   |   | 16,247.42                            |
| 2019      |     | 15.03                               |   | 372.55                             |   | 4.29                             |   | 106.97                           | 99.26                               | 9.33                                | 1,423.74                                   |   | 0.00                                  | 373.04                           |   | 129.83                           | 0.00                               |   | 920.87                                     |   | 16,548.05                            |
| 2020      |     | 13.60                               |   | 354.38                             |   | 3.88                             |   | 101.71                           | 99.26                               | 9.33                                | 1,334.67                                   |   | 0.00                                  | 370.48                           |   | 122.08                           | 0.00                               |   | 842.11                                     |   | 16,796.89                            |
| 2021      |     | 12.20                               |   | 333.75                             |   | 3.49                             |   | 95.90                            | 99.26                               | 9.33                                | 1,241.71                                   |   | 0.00                                  | 364.73                           |   | 113.91                           | 0.00                               |   | 763.07                                     |   | 17,000.99                            |
| 2022      |     | 10.90                               |   | 313.39                             |   | 3.13                             |   | 90.08                            | 99.26                               | 9.34                                | 1,151.17                                   |   | 0.00                                  | 351.42                           |   | 105.92                           | 0.00                               |   | 693.83                                     |   | 17,168.98                            |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
| **Rem.**  |     | 85.09                               |   | 3,678.34                           |   | 24.78                            |   | 1,041.86                         | 99.26                               | 9.35                                | 12,200.07                                  |   | 0.00                                  | 5,627.72                         |   | 1,146.18                         | 0.00                               |   | 5,426.18                                   |   | 723.74                               |
| **Total** | **48.6** | **583.19**                          |   | **12,047.31**                      |   | **164.40**                       |   | **3.445.97**                     | **99.26**                           | **9.20**                            | **48,026.26**                              |   | **0.00**                              | **12,150.23**                    |   | **4,323.87**                     | **0.00**                           |   | **31,55216**                               |   | **17,892.72**                        |
| **Ult.**  |     | **936.45**                          |   | **15,796.98**                      |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |

| **Eco. Indicators**             |   |   |                           |         |   |          |   |   |         |   |          |
|---------------------------------|--------|--------|--------------------------------|--------------|--------|---------------|--------|--------|--------------|--------|---------------|
| Return on Investment (disc) :   | 0.000  |   |                           |         |   |          |   |   |         |   |          |
| Return on Investment (undisc) : | 0.000  |   |                           |         |   |          |   |   |         |   |          |
| Years to Payout :               | 0.00   |   | **Present Worth Profile (M$)** |
| Internal Rate of Return (%) :   | 0.00   |   | **PW**                         | **5.00% :**  |   | **22,728.21** |   | **PW** | **20.00% :** |   | **12,796.89** |
|                            |   |   | **PW**                         | **8.00% :**  |   | **19,532.81** |   | **PW** | **30.00% :** |   | **10,118.12** |
|                            |   |   | **PW**                         | **10.00% :** |   | **17,892.72** |   | **PW** | **40.00% :** |   | **8,441.55**  |
|                            |   |   | **PW**                         | **12.00% :** |   | **16,530.15** |   | **PW** | **50.00% :** |   | **7,281.25**  |
|                            |   |   | **PW**                         | **15.00% :** |   | **14,869.48** |   | **PW** | **60.00% :** |   | **6,424.67**  |
|                            |   |   |                           |         |   |          |   |   |         |   |          |

----

| 5/19/2008                                                                                                                | 8:39:40AM                    |             | **Economic One-Liners****** |        |
|--------------------------------------------------------------------------------------------------------------------------|------------------------------|------------------|-----------------------------|--------|
|                                                                                                                     |                         |             |
| **Project Name:              ReoStar      Energy Corp** | **As of Date: 4/1/2008****** |             |
|                                                                                                                     |                         |             |                        |   |
| **Ownership Group:      All        Cases**                                                      |                         | **BARNETT AREA** |

|                                 |               | **Net Reserves**      |   | **Net Revenue**       | **Expense** |                | **Cash Flow** |                |
|---------------------------------|--------------------|-----------------------|--------|-----------------------|-------------|---------------------|---------------|---------------------|
| **Lease Name*Risked*/UnRisked** | *Reserve Category* | **Oil        (Mbbl)** |   | **Gas        (MMcf)** |        | **Oil        (M$)** |          | **Gas        (M$)** | **Other        (M$)** | **& Tax        (M$)** | **Invest.        (M$)** | **Non-Disc.        (M$)** |   | **Disc. 10%        (M$)** | **Life        (years)** |

| **Grand Total**                           | **Total** | **164.40** |   | **3,445.97** |   | **16,317.75** |   | **31,708.51** | **0.00** | **16,474.10** | **0.00** | **31,552.16** |   | **17,892.72** | **48.62** |
|-------------------------------------------|-----------|------------|--------|--------------|--------|---------------|--------|---------------|----------|---------------|----------|---------------|--------|---------------|-----------|
|                                      |      |       |   |         |   |          |   |          |     |          |     |          |   |          |      |
| **Proved Producing Rsv Class & Category** | **Total** | **164.40** |   | **3,445.97** |   | **16,317.75** |   | **31,708.51** | **0.00** | **16,474.10** | **0.00** | **31,552.16** |   | **17,892.72** | **48.62** |
| BERRY I                                   | *P-DP*    | 17.46      |   | 176.81       |   | 1,733.13      |   | 1,631.37      | 0.00     | 890.98        | 0.00     | 2,473.52      |   | 1,352.51      | 40.38     |
| BERRY 2                                   | *P-DP*    | 13.54      |   | 186.03       |   | 1,343.63      |   | 1,719.82      | 0.00     | 686.59        | 0.00     | 2,376.86      |   | 1,277.49      | 41.53     |
| BOYD I                                    | *P-DP*    | 2.27       |   | 66.23        |   | 225.52        |   | 604.40        | 0.00     | 286.92        | 0.00     | 543.00        |   | 290.07        | 35.05     |
| BOYD 2                                    | *P-DP*    | 14.42      |   | 195.07       |   | 1,430.86      |   | 1,799.64      | 0.00     | 870.59        | 0.00     | 2,359.91      |   | 1,299.50      | 39.75     |
| CRAIG MUNCASTER 2                         | *P-DP*    | 1.26       |   | 123.99       |   | 124.86        |   | 1,195.90      | 0.00     | 523.32        | 0.00     | 797.44        |   | 380.62        | 42.34     |
| CRAIG MUNCASTER 3                         | *P-DP*    | 0.62       |   | 27.45        |   | 61.11         |   | 258.06        | 0.00     | 187.14        | 0.00     | 132.03        |   | 86.31         | 18.14     |
| CRAIG MUNCASTER 4                         | *P-DP*    | 10.89      |   | 28.54        |   | 1,080.68      |   | 260.89        | 0.00     | 522.65        | 0.00     | 818.92        |   | 515.69        | 22.89     |
| CRAIG MUNCASTER 5                         | *P-DP*    | 0.94       |   | 6.09         |   | 93.25         |   | 51.72         | 0.00     | 110.53        | 0.00     | 34.43         |   | 31.30         | 3.37      |
| CRAIG MUNCASTER 6                         | *P-DP*    | 0.42       |   | 1.48         |   | 41.98         |   | 13.18         | 0.00     | 41.16         | 0.00     | 14.00         |   | 12.93         | 2.71      |
| CRAIG MUNCASTER 7                         | *P-DP*    | 1.63       |   | 36.15        |   | 162.16        |   | 343.65        | 0.00     | 227.31        | 0.00     | 278.50        |   | 164.11        | 25.48     |
| CRANDALL 3                                | *P-DP*    | 0.97       |   | 76.49        |   | 96.09         |   | 709.04        | 0.00     | 393.06        | 0.00     | 412.08        |   | 235.43        | 26.00     |
| FLETCHER 1                                | *P-DP*    | 0.22       |   | 6.01         |   | 21.39         |   | 74.04         | 0.00     | 61.95         | 0.00     | 33.49         |   | 28.60         | 6.34      |
| FORD 1                                    | *P-DP*    | 8.66       |   | 149.80       |   | 859.74        |   | l,383.13      | 0.00     | 572.18        | 0.00     | 1,670.69      |   | 911.21        | 40.17     |
| INGLISH 1                                 | *P-DP*    | 0.47       |   | 15.58        |   | 46.40         |   | 147.78        | 0.00     | 137.56        | 0.00     | 56.63         |   | 41.27         | 10.99     |
| INGLISH 1-H                               | *P-DP*    | 3.53       |   | 75.17        |   | 350.63        |   | 687.91        | 0.00     | 364.70        | 0.00     | 673.83        |   | 418.78        | 27.82     |
| INGLISH 2                                 | *P-DP*    | 0.17       |   | 0.79         |   | 16.83         |   | 7.31          | 0.00     | 19.54         | 0.00     | 4.60          |   | 4.38          | 1.59      |
| INGLISH 3                                 | *P-DP*    | 0.98       |   | 45.78        |   | 97.71         |   | 440.85        | 0.00     | 224.73        | 0.00     | 313.84        |   | 185.01        | 28.00     |
| INGLISH 4                                 | *P-DP*    | 0.61       |   | 14.55        |   | 60.23         |   | 133.95        | 0.00     | 95.52         | 0.00     | 98.66         |   | 74.66         | 12.81     |
| INGLISH 5                                 | *P-DP*    | 4.09       |   | 83.08        |   | 406.30        |   | 701.34        | 0.00     | 321.46        | 0.00     | 786.18        |   | 519.83        | 28.40     |
| INGLISH 6                                 | *P-DP*    | 2.48       |   | 124.13       |   | 246.20        |   | 1,146.78      | 0.00     | 476.17        | 0.00     | 916.81        |   | 486.06        | 35.81     |
| INGLISH 7                                 | *P-DP*    | 2.01       |   | 155.89       |   | 199.24        |   | 1,439.95      | 0.00     | 626.95        | 0.00     | 1,012.24      |   | 540.41        | 33.49     |
| INGLISH B 1                               | *P-DP*    | 1.03       |   | 59.88        |   | 102.43        |   | 490.64        | 0.00     | 208.59        | 0.00     | 384.49        |   | 210.45        | 35.30     |
| INGLISH B 2                               | *P-DP*    | 2.73       |   | 130.32       |   | 270.59        |   | 981.72        | 0.00     | 413.48        | 0.00     | 838.83        |   | 452.57        | 36.51     |
| INGLISH B 3                               | *P-DP*    | 0.95       |   | 64.48        |   | 94.22         |   | 594.49        | 0.00     | 258.54        | 0.00     | 430.17        |   | 242.95        | 32.54     |
| INGLISH D 1                               | *P-DP*    | 4.00       |   | 77.79        |   | 397.48        |   | 696.12        | 0.00     | 433.99        | 0.00     | 659.61        |   | 441.45        | 23.42     |
| INGLISH D 17                              | *P-DP*    | 16.71      |   | 214.23       |   | 1,659.00      |   | 1,982.27      | 0.00     | 969.70        | 0.00     | 2,671.57      |   | 1,364.81      | 44.61     |
| INGLISH D 2                               | *P-DP*    | 0.99       |   | 36.37        |   | 98.13         |   | 304.33        | 0.00     | 196.70        | 0.00     | 205.75        |   | 141.19        | 17.97     |
| INGLISH D 3                               | *P-DP*    | 1.88       |   | 62.45        |   | 186.71        |   | 503.60        | 0.00     | 264.44        | 0.00     | 425.87        |   | 277.60        | 24.93     |
| INGLISH D 4                               | *P-DP*    | 4.89       |   | 40.28        |   | 485.62        |   | 369.52        | 0.00     | 209.70        | 0.00     | 645.44        |   | 440.31        | 19.64     |
| INGLISH D 5                               | *P-DP*    | 1.78       |   | 55.58        |   | 176.40        |   | 512.37        | 0.00     | 245.997       | 0.00     | 442.78        |   | 256.74        | 31.81     |
| INGLISH D 6                               | *P-DP*    | 2.82       |   | 65.91        |   | 280.35        |   | 607.95        | 0.00     | 265.97        | 0.00     | 622.34        |   | 338.05        | 39.07     |

----

| 5/19/2008                                                                                                                | 8:39:40AM                    |             | **Economic One-Liners****** |        |
|--------------------------------------------------------------------------------------------------------------------------|------------------------------|------------------|-----------------------------|--------|
|                                                                                                                     |                         |             |
| **Project Name:              ReoStar      Energy Corp** | **As of Date: 4/1/2008****** |             |
|                                                                                                                     |                         |             |                        |   |
| **Ownership Group:      All        Cases**                                                      |                         | **BARNETT AREA** |

|                                 |               | **Net Reserves**      |   | **Net Revenue**       | **Expense** |                | **Cash Flow** |                |
|---------------------------------|--------------------|-----------------------|--------|-----------------------|-------------|---------------------|---------------|---------------------|
| **Lease Name*Risked*/UnRisked** | *Reserve Category* | **Oil        (Mbbl)** |   | **Gas        (MMcf)** |        | **Oil        (M$)** |          | **Gas        (M$)** | **Other        (M$)** | **& Tax        (M$)** | **Invest.        (M$)** | **Non-Disc.        (M$)** |   | **Disc. 10%        (M$)** | **Life        (years)** |

| INGLISH D 7         | *P-DP* | 1.91 |   | 61.09  |   | 189.82 |   | 562.84   | 0.00 | 271.50 | 0.00 | 481.15   |   | 287.41 | 30.21 |
|---------------------|--------|------|--------|--------|--------|--------|--------|----------|------|--------|------|----------|--------|--------|-------|
| INGLISH D 8         | *P-DP* | 3.05 |   | 124.76 |   | 302.68 |   | 1,151.84 | 0.00 | 556.23 | 0.00 | 898.30   |   | 512.05 | 29.73 |
| INGLISH D 9         | *P-DP* | 6.64 |   | 90.83  |   | 658.90 |   | 836.21   | 0.00 | 506.35 | 0.00 | 988.77   |   | 630.62 | 27.49 |
| INGLISH SISTERS 1   | *P-DP* | 0.99 |   | 53.25  |   | 98.45  |   | 483.70   | 0.00 | 271.52 | 0.00 | 310.64   |   | 179.16 | 26.89 |
| INGLISH SISTERS 2   | *P-DP* | 0.70 |   | 12.39  |   | 69.80  |   | 112.50   | 0.00 | 128.18 | 0.00 | 54.12    |   | 43.03  | 8.68  |
| INGLISH SISTERS 3   | *P-DP* | 1.77 |   | 32.17  |   | 175.81 |   | 289.01   | 0.00 | 230.35 | 0.00 | 234.48   |   | 164.96 | 16.84 |
| INGLISH SISTERS 4   | *P-DP* | 1.48 |   | 25.44  |   | 146.63 |   | 226,84   | 0.00 | 213.17 | 0.00 | 160.30   |   | 118.20 | 13.76 |
| INGLISH SISTERS 5   | *P-DP* | 2.11 |   | 105.01 |   | 209.34 |   | 1,017.11 | 0.00 | 379.97 | 0.00 | 846.47   |   | 441.82 | 40.47 |
| INGLISH SISTERS 6   | *P-DP* | 5.36 |   | 152.48 |   | 531.62 |   | 1,480.17 | 0.00 | 467.55 | 0.00 | 1,544.24 |   | 758.54 | 48.62 |
| INGLISH SISTERS 7   | *P-DP* | 5.11 |   | 101.33 |   | 506.93 |   | 982.81   | 0.00 | 372.75 | 0.00 | 1,116.99 |   | 587.65 | 42.41 |
| KEW MUNCASTER 1     | *P-DP* | 0.66 |   | 90.97  |   | 65.21  |   | 945.48   | 0.00 | 505.31 | 0.00 | 505.38   |   | 310.58 | 23.46 |
| MCCOY 1 & 3     | *P-DP* | 0.98 |   | 4.05   |   | 97.04  |   | 24.42    | 0.00 | 81.33  | 0.00 | 40.13    |   | 34.51  | 5.55  |
| MOSS 1              | *P-DP* | 2.82 |   | 5.58   |   | 279.70 |   | 41.46    | 0.00 | 202.28 | 0.00 | 118.88   |   | 94.84  | 8.57  |
| MUNCASTER 2         | *P-DP* | 0.30 |   | 35.30  |   | 29.59  |   | 328.15   | 0.00 | 164.77 | 0.00 | 192.97   |   | 150.90 | 10.53 |
| MUNCASTER 3         | *P-DP* | 0.00 |   | 0.00   |   | 0.00   |   | 0.00     | 0.00 | 0.00   | 0.00 | 0.00     |   | 0.00   | 0.00  |
| NOBLES 1            | *P-DP* | 0.01 |   | 0.50   |   | 0.54   |   | 5.11     | 0.00 | 4.76   | 0.00 | 0.88     |   | 0.83   | 1.92  |
| PHILLIPS 1          | *P-DP* | 3.00 |   | 0.02   |   | 297.31 |   | 0.14     | 0.00 | 222.10 | 0.00 | 75.36    |   | 65.02  | 5.17  |
| PHILLIPS 2          | *P-DP* | 0.42 |   | 0.00   |   | 41.41  |   | 0.00     | 0.00 | 29.10  | 0.00 | 12.31    |   | 11.54  | 2.22  |
| SHERMAN MUNCASTER 1 | *P-DP* | 0.94 |   | 97.69  |   | 93.14  |   | 968.90   | 0.00 | 456.17 | 0.00 | 605.87   |   | 334.41 | 29.47 |
| SHERMAN MUNCASTER 2 | *P-DP* | 0.76 |   | 45.39  |   | 74.95  |   | 420.72   | 0.00 | 267.42 | 0.00 | 228.25   |   | 142.24 | 21.32 |
| WILSON 1            | *P-DP* | 0.00 |   | 5.28   |   | 0.00   |   | 37.36    | 0.00 | 35.17  | 0.00 | 2.19     |   | 2.12   | 0.90  |

----

| **Date:       Partner:**    | 5/22/2008         All Cases | 3:08:18PM | **ECONOMIC SUMMARY PROJECTION****ReoStar Energy Corp**                                                                                                                                                      | **Proved Producing Rsv Class & Category** |
|-----------------------------|-----------------------------|-----------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------|
|                        |                        |      | **Custom Selection         Discount Rate:** 10.00                           **   As of:** 4/1/2008 |                                      |
|                        |                        |      |                                                                                                                                                                                                        |                                      |
|                        |                        |           |                                                                                                                                                                                                        |                                      |
| **Est. Cum Oil (Mbbl) :**   | **8,409.57**                |      | **CORSICANA AREA**                                                                                                                                                                                          |
| **Est. Cum Gas (MMcf) :**   | **8.61**                    |      |                                                                                                                                                                                                        |
| **Est. Cum Water (Mbbl) :** | **21,380.61**               |      |                                                                                                                                                                                                        |

|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|-----------|----------|-------------------------------------|--------|------------------------------------|--------|----------------------------------|--------|----------------------------------|-------------------------------------|-------------------------------------|--------------------------------------------|--------|---------------------------------------|----------------------------------|--------|----------------------------------|------------------------------------|--------|--------------------------------------------|--------|--------------------------------------|
| **Year**  |     | **Oil         Gross        (Mbbl)** |   | **Gas        Gross        (MMcf)** |   | **Oil        Net        (Mbbl)** |   | **Gas        Net        (MMcf)** | **Oil        Price        ($/bbl)** | **Gas        Price        ($/Mcf)** | **Oil & Gas         Rev. Net        (M$)** |   | **Misc.        Rev. Net        (M$)** | **Costs        Net        (M$)** |   | **Taxes        Net        (M$)** | **Invest.        Net        (M$)** |   | **NonDisc.         CF Annual        (M$)** |   | **Cum         Disc. CF        (M$)** |
| 2008      |     | 9.68                                |   | 0.00                               |   | 7.46                             |   | 0.00                             | 93.33                               | 0.00                                | 695.76                                     |   | 0.00                                  | 326.35                           |   | 49.40                            | 0.00                               |   | 320.01                                     |   | 306.99                               |
| 2009      |     | 20.67                               |   | 0.00                               |   | 15.96                            |   | 0.00                             | 93.33                               | 0.00                                | 1.489.68                                   |   | 0.00                                  | 435.14                           |   | 105.77                           | 0.00                               |   | 948.77                                     |   | 1,138.52                             |
| 2010      |     | 41.55                               |   | 0.00                               |   | 32.13                            |   | 0.00                             | 93.33                               | 0.00                                | 2,998.88                                   |   | 0.00                                  | 435.14                           |   | 212.92                           | 0.00                               |   | 2,350.82                                   |   | 3,003.82                             |
| 2011      |     | 66.91                               |   | 0.00                               |   | 51.78                            |   | 0.00                             | 93.33                               | 0.00                                | 4,832.42                                   |   | 0.00                                  | 435.14                           |   | 343.10                           | 0.00                               |   | 4,054.18                                   |   | 5,938.85                             |
| 2012      |     | 58.17                               |   | 0.00                               |   | 45.02                            |   | 0.00                             | 93.33                               | 0.00                                | 4,201.27                                   |   | 0.00                                  | 435.14                           |   | 298.29                           | 0.00                               |   | 3,467.84                                   |   | 8,213.77                             |
| 2013      |     | 49.06                               |   | 0.00                               |   | 37.97                            |   | 0.00                             | 93.33                               | 0.00                                | 3,543.66                                   |   | 0.00                                  | 423.19                           |   | 251.60                           | 0.00                               |   | 2,868.87                                   |   | 9,917.26                             |
| 2014      |     | 41.37                               |   | 0.00                               |   | 32.02                            |   | 0.00                             | 93.33                               | 0.00                                | 2,988.12                                   |   | 0.00                                  | 399.96                           |   | 212.16                           | 0.00                               |   | 2,376.01                                   |   | 11,194.47                            |
| 2015      |     | 35.21                               |   | 0.00                               |   | 27.25                            |   | 0.00                             | 93.33                               | 0.00                                | 2,543.29                                   |   | 0.00                                  | 399.96                           |   | 180.57                           | 0.00                               |   | 1,962.76                                   |   | 12,149.62                            |
| 2016      |     | 30.11                               |   | 0.00                               |   | 23.31                            |   | 0.00                             | 93.33                               | 0.00                                | 2,175.34                                   |   | 0.00                                  | 399.96                           |   | 154.45                           | 0.00                               |   | 1,620.94                                   |   | 12,863.63                            |
| 2017      |     | 25.68                               |   | 0.00                               |   | 19.88                            |   | 0.00                             | 93.33                               | 0.00                                | 1,855.43                                   |   | 0.00                                  | 399.96                           |   | 131.74                           | 0.00                               |   | 1,323.73                                   |   | 13,391.43                            |
| 2018      |     | 22.03                               |   | 0.00                               |   | 17.06                            |   | 0.00                             | 93.33                               | 0.00                                | 1,592.00                                   |   | 0.00                                  | 399.96                           |   | 113.03                           | 0.00                               |   | 1,079.01                                   |   | 13,780.91                            |
| 2019      |     | 18.96                               |   | 0.00                               |   | 14.69                            |   | 0.00                             | 93.33                               | 0.00                                | 1,370.51                                   |   | 0.00                                  | 399.96                           |   | 97.31                            | 0.00                               |   | 873.25                                     |   | 14,066.27                            |
| 2020      |     | 16.42                               |   | 0.00                               |   | 12.72                            |   | 0.00                             | 93.33                               | 0.00                                | 1,187.18                                   |   | 0.00                                  | 399.96                           |   | 84.29                            | 0.00                               |   | 702.93                                     |   | 14,274.22                            |
| 2021      |     | 14.20                               |   | 0.00                               |   | 11.00                            |   | 0.00                             | 93.33                               | 0.00                                | 1,026.86                                   |   | 0.00                                  | 399.96                           |   | 72.91                            | 0.00                               |   | 554.00                                     |   | 14,422.56                            |
| 2022      |     | 12.37                               |   | 0.00                               |   | 9.59                             |   | 0.00                             | 93.33                               | 0.00                                | 894.69                                     |   | 0.00                                  | 399.96                           |   | 63.52                            | 0.00                               |   | 431.21                                     |   | 14,527.11                            |
|      |     |                                |   |                               |   |                             |   |                             |                                     |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
| **Rem.**  |     | 91.70                               |   | 0.00                               |   | 71.78                            |   | 0.00                             | 93.33                               | 0.00                                | 6,699.11                                   |   | 0.00                                  | 3,808.36                         |   | 475.64                           | 0.00                               |   | 2,415.11                                   |   | 271.98                               |
| **Total** | **50.0** | **554,09**                          |   | **0.00**                           |   | **429,62**                       |   | **0.00**                         | **93.33**                           | **0.00**                            | **40,094.21**                              |   | **0.00**                              | **9,898.07**                     |   | **2,846.69**                     | **0.00**                           |   | **27,349.45**                              |   | **14,799.08**                        |
| **Ult.**  |     | **8,963,66**                        |   | **8.61**                           |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |

| **Eco. Indicators**             |   |   |                           |         |   |          |   |   |         |   |         |
|---------------------------------|--------|--------|--------------------------------|--------------|--------|---------------|--------|--------|--------------|--------|--------------|
| Return on Investment (disc) :   | 0.000  |   |                           |         |   |          |   |   |         |   |         |
| Return on Investment (undisc) : | 0.000  |   |                           |         |   |          |   |   |         |   |         |
| Years to Payout :               | 0.00   |   | **Present Worth Profile (M$)** |
| Internal Rate of Return (%) :   | 0.00   |   | **PW**                         | **5.00% :**  |   | **19,558.24** |   | **PW** | **20.00% :** |   | **9,252.41** |
|                            |   |   | **PW**                         | **8.00% :**  |   | **16,467.25** |   | **PW** | **30.00% :** |   | **6,226.93** |
|                            |   |   | **PW**                         | **10.00% :** |   | **14,799.08** |   | **PW** | **40.00% :** |   | **4,408.97** |
|                            |   |   | **PW**                         | **12.00% :** |   | **13,367.52** |   | **PW** | **50.00% :** |   | **3,244.73** |
|                            |   |   | **PW**                         | **15.00% :** |   | **1l,567.97** |   | **PW** | **60.00% :** |   | **2,463.50** |
|                            |   |   |                           |         |   |          |   |   |         |   |         |

----

| 5/22/2008                                                                                                                | 3:16:01PM                    |               | **Economic One-Liners****** |        |
|--------------------------------------------------------------------------------------------------------------------------|------------------------------|--------------------|-----------------------------|--------|
|                                                                                                                     |                         |               |
| **Project Name:              ReoStar      Energy Corp** | **As of Date: 4/1/2008****** |               |
|                                                                                                                     |                         |               |                        |   |
| **Ownership Group:      All        Cases**                                                      |                         | **CORSICANA AREA** |

|                                 |               | **Net Reserves**      |   | **Net Revenue**       | **Expense** |                | **Cash Flow** |                |
|---------------------------------|--------------------|-----------------------|--------|-----------------------|-------------|---------------------|---------------|---------------------|
| **Lease Name*Risked*/UnRisked** | *Reserve Category* | **Oil        (Mbbl)** |   | **Gas        (MMcf)** |        | **Oil        (M$)** |          | **Gas        (M$)** | **Other        (M$)** | **& Tax        (M$)** | **Invest.        (M$)** | **Non-Disc.        (M$)** |   | **Disc. 10%        (M$)** | **Life        (years)** |

| **Grand Total**                           | **Total** | **429.62** |   | **0.00** |   | **40,094.21** |   | **0.00** | **0.00** | **12,744.76** | **0.00** | **27,349.45** |   | **14,799.08** | **50.00** |
|-------------------------------------------|-----------|------------|--------|----------|--------|---------------|--------|----------|----------|---------------|----------|---------------|--------|---------------|-----------|
|                                      |      |            |   |     |   |               |   |     |     |               |     |               |   |               |      |
| **Proved Producing Rsv Class & Category** | **Total** | **429.62** |   | **0.00** |   | **40,094.21** |   | **0.00** | **0.00** | **12,744.76** | **0.00** | **27,349.45** |   | **14,799.08** | **50.00** |
| BARRY 2H                                  | *P-DP*    | 4.10       |   | 0.00     |   | 382.92        |   | 0.00     | 0.00     | 226.91        | 0.00     | 156.01        |   | 88.41         | 22.69     |
| BARTH 37                                  | *P-DP*    | 0.00       |   | 0.00     |   | 0.00          |   | 0.00     | 0.00     | 0.00          | 0.00     | 0.00          |   | 0.00          | 0.00      |
| BENTON MULTI                              | *P-DP*    | 0.00       |   | 0.00     |   | 0.00          |   | 0.00     | 0.00     | 0.00          | 0.00     | 0.00          |   | 0.00          | 0.00      |
| BLACKBURN 1 C                             | *P-DP*    | 0.00       |   | 0.00     |   | 0.00          |   | 0.00     | 0.00     | 0.00          | 0.00     | 0.00          |   | 0.00          | 0.00      |
| BOUNDS REX T MULTI                        | *P-DP*    | 0.00       |   | 0.00     |   | 0.00          |   | 0.00     | 0.00     | 0.00          | 0.00     | 0.00          |   | 0.00          | 0.00      |
| CAVENDER - B - MULTI                      | *P-DP*    | 24.46      |   | 0.00     |   | 2,282.74      |   | 0.00     | 0.00     | 1,549.41      | 0.00     | 733.32        |   | 299.04        | 39.44     |
| CENTRAL PETROLEUM CO NO 1                 | *P-DP*    | 2.32       |   | 0.00     |   | 216.81        |   | 0.00     | 0.00     | 205.73        | 0.00     | 11.08         |   | 9.26          | 5.42      |
| CHAPMAN - C - MULTI                       | *P-DP*    | 0.00       |   | 0.00     |   | 0.00          |   | 0.00     | 0.00     | 0.00          | 0.00     | 0.00          |   | 0.00          | 0.00      |
| DREEBEN CEN PET NO 2 13                   | *P-DP*    | 0.00       |   | 0.00     |   | 0.00          |   | 0.00     | 0.00     | 0.00          | 0.00     | 0.00          |   | 0.00          | 0.00      |
| FLEMING - A - MULTI                       | *P-DP*    | 0.00       |   | 0.00     |   | 0.00          |   | 0.00     | 0.00     | 0.00          | 0.00     | 0.00          |   | 0.00          | 0.00      |
| GARVIN J A 6W                             | *P-DP*    | 0.00       |   | 0.00     |   | 0.00          |   | 0.00     | 0.00     | 0.00          | 0.00     | 0.00          |   | 0.00          | 0.00      |
| GIBSON 151                                | *P-DP*    | 8.84       |   | 0.00     |   | 824.66        |   | 0.00     | 0.00     | 498.53        | 0.00     | 326.13        |   | 114.93        | 50.00     |
| HILL GILLETTE 108                         | *P-DP*    | 11.10      |   | 0.00     |   | 1,035.80      |   | 0.00     | 0.00     | 513.52        | 0.00     | 522.28        |   | 166.82        | 50.00     |
| JACKSON ELLA MULTI                        | *P-DP*    | 0.00       |   | 0.00     |   | 0.00          |   | 0.00     | 0.00     | 0.00          | 0.00     | 0.00          |   | 0.00          | 0.00      |
| KERR 1 & 2 MULTI                          | *P-DP*    | 0.00       |   | 0.00     |   | 0.00          |   | 0.00     | 0.00     | 0.00          | 0.00     | 0.00          |   | 0.00          | 0.00      |
| KING -A- 12PC                             | *P-DP*    | 319.77     |   | 0.00     |   | 29,842.22     |   | 0.00     | 0.00     | 7,384.94      | 0.00     | 22,457.29     |   | 12,968.27     | 17.89     |
| KING -B- MULTI                            | *P-DP*    | 0.00       |   | 0.00     |   | 0.00          |   | 0.00     | 0.00     | 0.00          | 0.00     | 0.00          |   | 0.00          | 0.00      |
| MCKINNEY lB & 2 B                         | *P-DP*    | 9.80       |   | 0.00     |   | 914.33        |   | 0.00     | 0.00     | 280.71        | 0.00     | 633.62        |   | 373.85        | 24.53     |
| MIRUS SOUTH MULTI                         | *P-DP*    | 0.00       |   | 0.00     |   | 0.00          |   | 0.00     | 0.00     | 0.00          | 0.00     | 0.00          |   | 0.00          | 0.00      |
| MUNSEY & MUNSEY MULTI                     | *P-DP*    | 0.00       |   | 0.00     |   | 0.00          |   | 0.00     | 0.00     | 0.00          | 0.00     | 0.00          |   | 0.00          | 0.00      |
| PIERCE 16R                                | *P-DP*    | 0.00       |   | 0.00     |   | 0.00          |   | 0.00     | 0.00     | 0.00          | 0.00     | 0.00          |   | 0.00          | 0.00      |
| PIERCE HELEN H FEE MULTI                  | *P-DP*    | 49.23      |   | 0.00     |   | 4,594.72      |   | 0.00     | 0.00     | 2,085.01      | 0.00     | 2,509.71      |   | 778.49        | 50.00     |
| STOUT MULTl                               | *P-DP*    | 0.00       |   | 0.00     |   | 0.00          |   | 0.00     | 0.00     | 0.00          | 0.00     | 0.00          |   | 0.00          | 0.00      |
| TATUM -A- MULTI                           | *P-DP*    | 0.00       |   | 0.00     |   | 0.00          |   | 0.00     | 0.00     | 0.00          | 0.00     | 0.00          |   | 0.00          | 0.00      |
| WORTHEY J A MULTI                         | *P-DP*    | 0.00       |   | 0.00     |   | 0.00          |   | 0.00     | 0.00     | 0.00          | 0.00     | 0.00          |   | 0.00          | 0.00      |
| WRIGHT -A- MULTI                          | *P-DP*    | 0.00       |   | 0.00     |   | 0.00          |   | 0.00     | 0.00     | 0.00          | 0.00     | 0.00          |   | 0.00          | 0.00      |
| WRIGHT J J W & H 24R                  | *P-DP*    | 0.00       |   | 0.00     |   | 0.00          |   | 0.00     | 0.00     | 0.00          | 0.00     | 0.00          |   | 0.00          | 0.00      |

----

| **Date:       Partner:**    | 5/21/2008         All Cases | 10:47:33AM | **ECONOMIC SUMMARY PROJECTION****ReoStar Energy Corp**                                                                                                                                                      | **Proved Producing Rsv Class & Category** |
|-----------------------------|-----------------------------|------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------|
|                        |                        |       | **Custom Selection         Discount Rate:** 10.00                           **   As of:** 4/1/2008 |                                      |
|                        |                        |       |                                                                                                                                                                                                        |                                      |
|                        |                        |            |                                                                                                                                                                                                        |                                      |
| **Est. Cum Oil (Mbbl) :**   | **3,373.36**                |       | **EAST TEXAS AREA**                                                                                                                                                                                         |
| **Est. Cum Gas (MMcf) :**   | **782.61**                  |       |                                                                                                                                                                                                        |
| **Est. Cum Water (Mbbl) :** | **8,790.17**                |       |                                                                                                                                                                                                        |

|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|-----------|----------|-------------------------------------|--------|------------------------------------|--------|----------------------------------|--------|----------------------------------|-------------------------------------|-------------------------------------|--------------------------------------------|--------|---------------------------------------|----------------------------------|--------|----------------------------------|------------------------------------|--------|--------------------------------------------|--------|--------------------------------------|
| **Year**  |     | **Oil         Gross        (Mbbl)** |   | **Gas        Gross        (MMcf)** |   | **Oil        Net        (Mbbl)** |   | **Gas        Net        (MMcf)** | **Oil        Price        ($/bbl)** | **Gas        Price        ($/Mcf)** | **Oil & Gas         Rev. Net        (M$)** |   | **Misc.        Rev. Net        (M$)** | **Costs        Net        (M$)** |   | **Taxes        Net        (M$)** | **Invest.        Net        (M$)** |   | **NonDisc.         CF Annual        (M$)** |   | **Cum         Disc. CF        (M$)** |
| 2008      |     | 2.92                                |   | 2.20                               |   | 1.41                             |   | 0.45                             | 101.54                              | 9.86                                | 147.22                                     |   | 0.00                                  | 48.24                            |   | 11.20                            | 0.00                               |   | 87.79                                      |   | 84.69                                |
| 2009      |     | 2.83                                |   | 1.09                               |   | 1.53                             |   | 0.22                             | 101.54                              | 9.86                                | 157.06                                     |   | 0.00                                  | 57.53                            |   | 11.52                            | 0.00                               |   | 88.01                                      |   | 162.58                               |
| 2010      |     | 2.06                                |   | 0.00                               |   | 1.24                             |   | 0.00                             | 101.54                              | 0.00                                | 125.50                                     |   | 0.00                                  | 49.14                            |   | 8.91                             | 0.00                               |   | 67.45                                      |   | 216.61                               |
| 2011      |     | 1.77                                |   | 0.00                               |   | 1.06                             |   | 0.00                             | 101.54                              | 0.00                                | 107.95                                     |   | 0.00                                  | 49.14                            |   | 7.66                             | 0.00                               |   | 51.14                                      |   | 253.70                               |
| 2012      |     | 1.53                                |   | 0.00                               |   | 0.92                             |   | 0.00                             | 101.54                              | 0.00                                | 93.08                                      |   | 0.00                                  | 49.14                            |   | 6.61                             | 0.00                               |   | 37.33                                      |   | 278.22                               |
| 2013      |     | 1.31                                |   | 0.00                               |   | 0.79                             |   | 0.00                             | 101.54                              | 0.00                                | 79.82                                      |   | 0.00                                  | 49.14                            |   | 5.67                             | 0.00                               |   | 25.01                                      |   | 293.10                               |
| 2014      |     | 1.13                                |   | 0.00                               |   | 0.68                             |   | 0.00                             | 101.54                              | 0.00                                | 68.65                                      |   | 0.00                                  | 49.14                            |   | 4.87                             | 0.00                               |   | 14.64                                      |   | 300.99                               |
| 2015      |     | 0.97                                |   | 0.00                               |   | 0.58                             |   | 0.00                             | 101.54                              | 0.00                                | 59.05                                      |   | 0.00                                  | 49.14                            |   | 4.19                             | 0.00                               |   | 5.71                                       |   | 303.80                               |
| 2016      |     | 0.20                                |   | 0.00                               |   | 0.12                             |   | 0.00                             | 101.54                              | 0.00                                | 12.37                                      |   | 0.00                                  | 11.17                            |   | 0.88                             | 0.00                               |   | 0.33                                       |   | 303.95                               |
|      |     |                                |   |                               |   |                             |   |                             |                                     |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
| **Rem.**  |     | 0.00                                |   | 0.00                               |   | 0.00                             |   | 0.00                             |   0.00                    | 0.00                                | 0.00                                       |   | 0.00                                  | 0.00                             |   | 0.00                             | 0.00                               |   | 0.00                                       |   | 0.00                                 |
| **Total** | **50.0** | 14.72                               |   | **3.30**                           |   | **8.31**                         |   | **8.31**                         | **101.54**                          | **9.86**                            | **850.70**                                 |   | **0.00**                              | **411.77**                       |   | **61.52**                        | **0.00**                           |   | **377.41**                                 |   | **303.95**                           |
| **Ult.**  |     | **3,388.08**                        |   | **785.91**                         |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |

| **Eco. Indicators**             |   |   |                           |         |   |       |   |   |         |   |       |
|---------------------------------|--------|--------|--------------------------------|--------------|--------|------------|--------|--------|--------------|--------|------------|
| Return on Investment (disc) :   | 0.000  |   |                           |         |   |       |   |   |         |   |       |
| Return on Investment (undisc) : | 0.000  |   |                           |         |   |       |   |   |         |   |       |
| Years to Payout :               | 0.00   |   | **Present Worth Profile (M$)** |
| Internal Rate of Return (%) :   | 0.00   |   | **PW**                         | **5.00% :**  |   | **337.35** |   | **PW** | **20.00% :** |   | **252.02** |
|                            |   |   | **PW**                         | **8.00% :**  |   | **316.61** |   | **PW** | **30.00% :** |   | **214.11** |
|                            |   |   | **PW**                         | **10.00% :** |   | **303.95** |   | **PW** | **40.00% :** |   | **185.60** |
|                            |   |   | **PW**                         | **12.00% :** |   | **292.13** |   | **PW** | **50.00% :** |   | **163.59** |
|                            |   |   | **PW**                         | **15.00% :** |   | **275.85** |   | **PW** | **60.00% :** |   | **146,19** |
|                            |   |   |                           |         |   |       |   |   |         |   |       |

----

| 5/21/2008                                                                                                                | 10:49:03AM                   |                | **Economic One-Liners****** |        |
|--------------------------------------------------------------------------------------------------------------------------|------------------------------|---------------------|-----------------------------|--------|
|                                                                                                                     |                         |                |
| **Project Name:              ReoStar      Energy Corp** | **As of Date: 4/1/2008****** |                |
|                                                                                                                     |                         |                |                        |   |
| **Ownership Group:      All        Cases**                                                      |                         | **EAST TEXAS AREA** |

|                                 |               | **Net Reserves**      |   | **Net Revenue**       | **Expense** |                | **Cash Flow** |                |
|---------------------------------|--------------------|-----------------------|--------|-----------------------|-------------|---------------------|---------------|---------------------|
| **Lease Name*Risked*/UnRisked** | *Reserve Category* | **Oil        (Mbbl)** |   | **Gas        (MMcf)** |        | **Oil        (M$)** |          | **Gas        (M$)** | **Other        (M$)** | **& Tax        (M$)** | **Invest.        (M$)** | **Non-Disc.        (M$)** |   | **Disc. 10%        (M$)** | **Life        (years)** |

| **Grand Total**                           | **Total** | **8.31** |   | **0.67** |   | **844.10** |   | **6.60** | **0.00** | **473.29** | **0.00** | **377.41** |   | **303.95** | **7.98** |
|-------------------------------------------|-----------|----------|--------|----------|--------|------------|--------|----------|----------|------------|----------|------------|--------|------------|----------|
|                                      |      |          |   |     |   |            |   |     |     |            |     |            |   |            |     |
| **Proved Producing Rsv Class & Category** | **Total** | **8.31** |   | **0.67** |   | **844.10** |   | **6.60** | **0.00** | **473.29** | **0.00** | **377.41** |   | **303.95** | **7.98** |
| MCKINLEY J C & R S -B- R A -C-        | *P-DP*    | 8.05     |   | 0.00     |   | 817.24     |   | 0.00     | 0.00     | 450.03     | 0.00     | 367.21     |   | 294.15     | 7.98     |
| SIMPSON D 005-005                         | *P-DP*    | 0.26     |   | 0.67     |   | 26.86      |   | 6.60     | 0.00     | 23.27      | 0.00     | 10.20      |   | 9.80       | 1.31     |

----

| **Date:       Partner:**    | 5/28/2008         All Cases | 3:24:15PM | **ECONOMIC SUMMARY PROJECTION****ReoStar Energy Corp**                                                                                                                                                      | **Proved Producing Rsv Class & Category** |
|-----------------------------|-----------------------------|-----------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------|
|                        |                        |      | **Custom Selection         Discount Rate:** 10.00                           **   As of:** 4/1/2008 | **Total**** **                       |
|                        |                        |      |                                                                                                                                                                                                        |                                      |
|                        |                        |           |                                                                                                                                                                                                        |                                      |
| **Est. Cum Oil (Mbbl) :**   | **1,715.09**                |      |                                                                                                                                                                                                        |
| **Est. Cum Gas (MMcf) :**   | **17.88**                   |      |                                                                                                                                                                                                        |
| **Est. Cum Water (Mbbl) :** | **1,778.53**                |      |                                                                                                                                                                                                        |

|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|-----------|----------|-------------------------------------|--------|------------------------------------|--------|----------------------------------|--------|----------------------------------|-------------------------------------|-------------------------------------|--------------------------------------------|--------|---------------------------------------|----------------------------------|--------|----------------------------------|------------------------------------|--------|--------------------------------------------|--------|--------------------------------------|
| **Year**  |     | **Oil         Gross        (Mbbl)** |   | **Gas        Gross        (MMcf)** |   | **Oil        Net        (Mbbl)** |   | **Gas        Net        (MMcf)** | **Oil        Price        ($/bbl)** | **Gas        Price        ($/Mcf)** | **Oil & Gas         Rev. Net        (M$)** |   | **Misc.        Rev. Net        (M$)** | **Costs        Net        (M$)** |   | **Taxes        Net        (M$)** | **Invest.        Net        (M$)** |   | **NonDisc.         CF Annual        (M$)** |   | **Cum         Disc. CF        (M$)** |
| 2008      |     | 1.55                                |   | -22.71                             |   | 0.23                             |   | -5.40                            | 100.48                              | 0.00                                | -21.21                                     |   | 0.00                                  | 1.26                             |   | -2.88                            | 150.31                             |   | -170.90                                    |   | -165.35                              |
| 2009      |     | 18.10                               |   | 132.51                             |   | 1.94                             |   | 39.70                            | 99.47                               | 8.80                                | 542.51                                     |   | 0.00                                  | 4.03                             |   | 48.65                            | 434.57                             |   | 55.26                                      |   | -123.62                              |
| 2010      |     | 7.58                                |   | 112.27                             |   | 1.25                             |   | 35.55                            | 99.34                               | 8.80                                | 437.43                                     |   | 0.00                                  | 4.40                             |   | 40.13                            | 0.00                               |   | 392.90                                     |   | 190.80                               |
| 2011      |     | 4.01                                |   | 77.18                              |   | 0.89                             |   | 26.46                            | 99.26                               | 9.15                                | 330.511                                    |   | 0.00                                  | 2.00                             |   | 30.49                            | 0.00                               |   | 298.01                                     |   | 407.45                               |
| 2012      |     | 4.01                                |   | 71.90                              |   | 0.83                             |   | 211.93                           | 99.26                               | 9.36                                | 277.79                                     |   | 0.00                                  | 2.00                             |   | 25.40                            | 35.63                              |   | 214.76                                     |   | 547.64                               |
| 2013      |     | 3.42                                |   | 58.24                              |   | 0.70                             |   | 17.49                            | 99.26                               | 9.37                                | 233.79                                     |   | 0.00                                  | 0.11                             |   | 21.35                            | 42.00                              |   | 170.33                                     |   | 649.54                               |
| 2014      |     | 4.77                                |   | 101.48                             |   | 0.97                             |   | 25.41                            | 99.26                               | 9.37                                | 334.86                                     |   | 0.00                                  | 0.00                             |   | 311.68                           | 38.25                              |   | 265.93                                     |   | 792.18                               |
| 2015      |     | 3.04                                |   | 83.36                              |   | 0.66                             |   | 25.70                            | 99.26                               | 9.52                                | 310.69                                     |   | 0.00                                  | 0.00                             |   | 29.16                            | 78.30                              |   | 203.24                                     |   | 890.29                               |
| 2016      |     | 2.27                                |   | 70.78                              |   | 0.51                             |   | 23.54                            | 99.26                               | 9.57                                | 275.48                                     |   | 0.00                                  | 0.00                             |   | 26.09                            | 0.00                               |   | 249.39                                     |   | 1,000.33                             |
| 2017      |     | 3.18                                |   | 98.67                              |   | 0.74                             |   | 29.73                            | 99.26                               | 9.47                                | 354.71                                     |   | 0.00                                  | 0.00                             |   | 33.35                            | 103.13                             |   | 218.24                                     |   | 1,086.24                             |
| 2018      |     | 2.58                                |   | 89.47                              |   | 0.60                             |   | 27.00                            | 99.26                               | 9.46                                | 314.39                                     |   | 0.00                                  | 2.88                             |   | 29.73                            | 0.00                               |   | 281.78                                     |   | 1,188.18                             |
| 2019      |     | 1.67                                |   | 65.11                              |   | 0.37                             |   | 20.79                            | 99.26                               | 9.47                                | 233.99                                     |   | 0.00                                  | 12.35                            |   | 22.32                            | 0.00                               |   | 199.32                                     |   | 1,253.34                             |
| 2020      |     | 1.21                                |   | 52.75                              |   | 0.26                             |   | 17.30                            | 99.26                               | 9.47                                | 190.11                                     |   | 0.00                                  | 12.35                            |   | 18.25                            | 0.00                               |   | 159.51                                     |   | 1,300.52                             |
| 2021      |     | 11.91                               |   | 39.16                              |   | 0.19                             |   | 12.07                            | 99.26                               | 9.45                                | 133.19                                     |   | 0.00                                  | 1.98                             |   | 12.76                            | 0.00                               |   | 118.45                                     |   | 1,332.25                             |
| 2022      |     | 0.71                                |   | 33.21                              |   | 0.15                             |   | 10.12                            | 99.26                               | 9.44                                | 109.94                                     |   | 0.00                                  | 0.00                             |   | 10.58                            | 0.00                               |   | 99.36                                      |   | 1,356.327                            |
|      |     |                                |   |                               |   |                             |   |                             |                                     |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
| **Rem.**  |     | 1.15                                |   | 448.53                             |   | 0.12                             |   | 133.97                           | 99.26                               | 9.41                                | 1,273.42                                   |   | 0.00                                  | 302.78                           |   | 126.59                           | 0.00                               |   | 844.05                                     |   | 106.60                               |
| **Total** | **41.8** | **60.18**                           |   | **1,511.90**                       |   | **10.42**                        |   | **460.37**                       | **99.33**                           | **9.33**                            | **5,330.59**                               |   | **0.00**                              | **346.14**                       |   | **502.65**                       | **882.18**                         |   | **3,599.62**                               |   | **1,462.92**                         |
| **Ult.**  |     | **1,775.27**                        |   | **1,529.7**9                       |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |

| **Eco. Indicators**             |   |   |                           |         |   |         |   |   |         |   |       |
|---------------------------------|--------|--------|--------------------------------|--------------|--------|--------------|--------|--------|--------------|--------|------------|
| Return on Investment (disc) :   | 3.152  |   |                           |         |   |         |   |   |         |   |       |
| Return on Investment (undisc) : | 5.080  |   |                           |         |   |         |   |   |         |   |       |
| Years to Payout :               | 2.80   |   | **Present Worth Profile (M$)** |
| Internal Rate of Return (%) :   | 71.92  |   | **PW**                         | **5.00% :**  |   | **2,197.59** |   | **PW** | **20.00% :** |   | **745.77** |
|                            |   |   | **PW**                         | **8.00% :**  |   | **1,708.08** |   | **PW** | **30.00% :** |   | **415.15** |
|                            |   |   | **PW**                         | **10.00% :** |   | **1,462.92** |   | **PW** | **40.00% :** |   | **234.85** |
|                            |   |   | **PW**                         | **12.00% :** |   | **1,263.47** |   | **PW** | **50.00% :** |   | **125.69** |
|                            |   |   | **PW**                         | **15.00% :** |   | **1,027.04** |   | **PW** | **60.00% :** |   | **54.88**  |
|                            |   |   |                           |         |   |         |   |   |         |   |       |

----

| **Date:       Partner:**    | 5/19/2008         All Cases | 8:26:15AM | **ECONOMIC SUMMARY PROJECTION****ReoStar Energy Corp**                                                                                                                                                      | **Proved Producing Rsv Class & Category** |
|-----------------------------|-----------------------------|-----------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------|
|                        |                        |      | **Custom Selection         Discount Rate:** 10.00                           **   As of:** 4/1/2008 |                                      |
|                        |                        |      |                                                                                                                                                                                                        |                                      |
|                        |                        |           |                                                                                                                                                                                                        |                                      |
| **Est. Cum Oil (Mbbl) :**   | **-18.58**                  |      | **BARNETT AREA**                                                                                                                                                                                       |
| **Est. Cum Gas (MMcf) :**   | **-71.03**                  |      |                                                                                                                                                                                                        |
| **Est. Cum Water (Mbbl) :** | **-181.87**                 |      |                                                                                                                                                                                                        |

|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|-----------|----------|-------------------------------------|--------|------------------------------------|--------|----------------------------------|--------|----------------------------------|-------------------------------------|-------------------------------------|--------------------------------------------|--------|---------------------------------------|----------------------------------|--------|----------------------------------|------------------------------------|--------|--------------------------------------------|--------|--------------------------------------|
| **Year**  |     | **Oil         Gross        (Mbbl)** |   | **Gas        Gross        (MMcf)** |   | **Oil        Net        (Mbbl)** |   | **Gas        Net        (MMcf)** | **Oil        Price        ($/bbl)** | **Gas        Price        ($/Mcf)** | **Oil & Gas         Rev. Net        (M$)** |   | **Misc.        Rev. Net        (M$)** | **Costs        Net        (M$)** |   | **Taxes        Net        (M$)** | **Invest.        Net        (M$)** |   | **NonDisc.         CF Annual        (M$)** |   | **Cum         Disc. CF        (M$)** |
| 2008      |     | 0.95                                |   | -22.71                             |   | 0.10                             |   | -5.40                            | 99.26                               | 0.00                                | -34.58                                     |   | 0.00                                  | -0.15                            |   | -3.76                            | 145.31                             |   | -175.99                                    |   | -170.12                              |
| 2009      |     | 17.22                               |   | 132.51                             |   | 1.76                             |   | 39.70                            | 99.26                               | 8.80                                | 524.36                                     |   | 0.00                                  | -0.19                            |   | 47.36                            | 434.57                             |   | 42.62                                      |   | -139.68                              |
| 2010      |     | 7.36                                |   | 112.27                             |   | 1.21                             |   | 35.55                            | 99.26                               | 8.80                                | 432.90                                     |   | 0.00                                  | 1.63                             |   | 39.81                            | 0.00                               |   | 391.46                                     |   | 173.55                               |
| 2011      |     | 4.01                                |   | 77.18                              |   | 0.89                             |   | 26.46                            | 99.26                               | 9.15                                | 330.50                                     |   | 0.00                                  | 2.00                             |   | 30.49                            | 0.00                               |   | 298.01                                     |   | 390.21                               |
| 2012      |     | 4.01                                |   | 71.90                              |   | 0.83                             |   | 20.93                            | 99.26                               | 9.36                                | 277.79                                     |   | 0.00                                  | 2.00                             |   | 25.40                            | 35.63                              |   | 214.76                                     |   | 530.40                               |
| 2013      |     | 3.42                                |   | 58.24                              |   | 0.70                             |   | 17.49                            | 99.26                               | 9.37                                | 233.79                                     |   | 0.00                                  | 0.11                             |   | 21.35                            | 42.00                              |   | 170.33                                     |   | 632.29                               |
| 2014      |     | 4.77                                |   | 101.48                             |   | 0.97                             |   | 25.41                            | 99.26                               | 9.37                                | 334.86                                     |   | 0.00                                  | 0.00                             |   | 30.68                            | 38.25                              |   | 265.93                                     |   | 774.93                               |
| 2015      |     | 3.04                                |   | 83.36                              |   | 0.66                             |   | 25.70                            | 99.26                               | 9.52                                | 310.69                                     |   | 0.00                                  | 0.00                             |   | 29.16                            | 78.30                              |   | 203.24                                     |   | 873.05                               |
| 2016      |     | 2.27                                |   | 70.78                              |   | 0.51                             |   | 23.54                            | 99.26                               | 9.57                                | 275.48                                     |   | 0.00                                  | 0.00                             |   | 26.09                            | 0.00                               |   | 249.39                                     |   | 983.09                               |
| 2017      |     | 3.18                                |   | 98.67                              |   | 0.74                             |   | 29.73                            | 99.26                               | 9.47                                | 354.71                                     |   | 0.00                                  | 0.00                             |   | 33.35                            | 103.13                             |   | 218.24                                     |   | 1,069.00                             |
| 2018      |     | 2.58                                |   | 89.47                              |   | 0.60                             |   | 27.00                            | 99.26                               | 9.46                                | 314.39                                     |   | 0.00                                  | 2.88                             |   | 29.73                            | 0.00                               |   | 281.78                                     |   | 1,170.93                             |
| 2019      |     | 1.67                                |   | 65.11                              |   | 0.37                             |   | 20.79                            | 99.26                               | 9.47                                | 233.99                                     |   | 0.00                                  | 12.35                            |   | 22.32                            | 0.00                               |   | 199.32                                     |   | 1,236.10                             |
| 2020      |     | 1.21                                |   | 52.75                              |   | 0.26                             |   | 17.30                            | 99.26                               | 9.47                                | 190.11                                     |   | 0.00                                  | 12.35                            |   | 18.25                            | 0.00                               |   | 159.51                                     |   | 1,283.27                             |
| 2021      |     | 11.91                               |   | 39.16                              |   | 0.19                             |   | 12.07                            | 99.26                               | 9.45                                | 133.19                                     |   | 0.00                                  | 1.98                             |   | 12.76                            | 0.00                               |   | 118.45                                     |   | 1,315.01                             |
| 2022      |     | 0.71                                |   | 33.21                              |   | 0.15                             |   | 10.12                            | 99.26                               | 9.44                                | 109.94                                     |   | 0.00                                  | 0.00                             |   | 10.58                            | 0.00                               |   | 99.36                                      |   | 1,339.08                             |
|      |     |                                |   |                               |   |                             |   |                             |                                     |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
| **Rem.**  |     | 1.15                                |   | 448.53                             |   | 0.12                             |   | 133.97                           | 99.26                               | 9.41                                | 1,273.42                                   |   | 0.00                                  | 302.78                           |   | 126.59                           | 0.00                               |   | 844.05                                     |   | 106.60                               |
| **Total** | **41.8** | **58.48**                           |   | **1,511.90**                       |   | **10.08**                        |   | **460.37**                       | **99.26**                           | **9.33**                            | **5,295.53**                               |   | **0.00**                              | **337.74**                       |   | **500.16**                       | **877.18**                         |   | **3,580.46**                               |   | **1,445,68**                         |
| **Ult.**  |     | **39,89**                           |   | ******1,440.87**                   |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |

| **Eco. Indicators**             |   |   |                           |         |   |         |   |   |         |   |       |
|---------------------------------|--------|--------|--------------------------------|--------------|--------|--------------|--------|--------|--------------|--------|------------|
| Return on Investment (disc) :   | 3.141  |   |                           |         |   |         |   |   |         |   |       |
| Return on Investment (undisc) : | 5.082  |   |                           |         |   |         |   |   |         |   |       |
| Years to Payout :               | 2.86   |   | **Present Worth Profile (M$)** |
| Internal Rate of Return (%) :   | 09.44  |   | **PW**                         | **5.00% :**  |   | **2,179.42** |   | **PW** | **20.00% :** |   | **730.21** |
|                            |   |   | **PW**                         | **8.00% :**  |   | **1,690.48** |   | **PW** | **30.00% :** |   | **401.09** |
|                            |   |   | **PW**                         | **10.00% :** |   | **1.445.68** |   | **PW** | **40.00% :** |   | **222.10** |
|                            |   |   | **PW**                         | **12.00% :** |   | **1,246.58** |   | **PW** | **50.00% :** |   | **114.11** |
|                            |   |   | **PW**                         | **15.00% :** |   | **1,010.67** |   | **PW** | **60.00% :** |   | **44.35**  |
|                            |   |   |                           |         |   |         |   |   |         |   |       |

----

| 5/19/2008                                                                                                                | 8:40:53AM                    |             | **Economic One-Liners****** |        |
|--------------------------------------------------------------------------------------------------------------------------|------------------------------|------------------|-----------------------------|--------|
|                                                                                                                     |                         |             |
| **Project Name:              ReoStar      Energy Corp** | **As of Date: 4/1/2008****** |             |
|                                                                                                                     |                         |             |                        |   |
| **Ownership Group:      All        Cases**                                                      |                         | **BARNETT AREA** |

|                                 |               | **Net Reserves**      |   | **Net Revenue**       | **Expense** |                | **Cash Flow** |                |
|---------------------------------|--------------------|-----------------------|--------|-----------------------|-------------|---------------------|---------------|---------------------|
| **Lease Name*Risked*/UnRisked** | *Reserve Category* | **Oil        (Mbbl)** |   | **Gas        (MMcf)** |        | **Oil        (M$)** |          | **Gas        (M$)** | **Other        (M$)** | **& Tax        (M$)** | **Invest.        (M$)** | **Non-Disc.        (M$)** |   | **Disc. 10%        (M$)** | **Life        (years)** |

| **Grand Total**                           | **Total** | **10.08** |   | **460.37** |   | **1,000.17** |   | **4,295.36** | **0.00** | **837.89** | **877.18** | **3,580.46** |   | **1,445.68** | **41.80** |
|-------------------------------------------|-----------|-----------|--------|------------|--------|--------------|--------|--------------|----------|------------|------------|--------------|--------|--------------|-----------|
|                                      |      |           |   |       |   |              |   |         |     |            |       |              |   |              |      |
| **Proved Producing Rsv Class & Category** | **Total** | **10.08** |   | **460.37** |   | **1,000.17** |   | **4,295.36** | **0.00** | **837.89** | **877.18** | **3,580.46** |   | **1,445.68** | **41.80** |
| AI POWELL 1                               | *P-NP*    | 0.00      |   | 0.00       |   | 0.00         |   | 0.00         | 0.00     | 0.00       | 0.00       | 0.00         |   | 0.00         | 0.00      |
| Al POWELL 2                               | *P-NP*    | 0.00      |   | 0.00       |   | 0.00         |   | 0.00         | 0.00     | 0.00       | 0.00       | 0.00         |   | 0.00         | 0.00      |
| CRAIG MUNCASTER 2 (Refrac)                | *P-NP*    | 0.09      |   | 77.70      |   | 8.56         |   | 757.68       | 0.00     | 71.40      | 78.30      | 616.54       |   | 157.26       | 41.80     |
| CRAIG MUNCASTER 3 (Refrac)                | *P-NP*    | 0.30      |   | 35.57      |   | 29.43        |   | 333.24       | 0.00     | 91.96      | 62.63      | 208.08       |   | 113.48       | 24.67     |
| CRAIG MUNCASTER 7 (recomp)                | *P-NP*    | 6.23      |   | -8.36      |   | 618.38       |   | -84.25       | 0.00     | 48.15      | 13.75      | 472.23       |   | 277.40       | 27.25     |
| CRANDALL 3{Refrac}                        | *P-NP*    | 0.21      |   | 43.10      |   | 21.08        |   | 393.25       | 0.00     | 94.24      | 89.55      | 235.54       |   | 104.66       | 30.37     |
| INGLISH I-H{Refrac}                       | *P-NP*    | -0.24     |   | 6.88       |   | -24.27       |   | 62.58        | 0.00     | 16.58      | 89.94      | -68.20       |   | -75.92       | 29.06     |
| INGLISH 5{Refrac}                         | *P-NP*    | -0.15     |   | 18.07      |   | -14.51       |   | 159.09       | 0.00     | 62.24      | 46.69      | 35.66        |   | -73.90       | 34.44     |
| INGLISH B I{Refrac}                       | *P-NP*    | 0.06      |   | 10.41      |   | 5.54         |   | 84.10        | 0.00     | 10.54      | 32.25      | 46.85        |   | 27.28        | 35.70     |
| INGLISH B 2{ Refrae}                      | *P-NP*    | 0.04      |   | 6.88       |   | 3.83         |   | 50.03        | 0.00     | 1.50       | 55.89      | -3.48        |   | -1.40        | 36.04     |
| INGLISH B 3{Refrac}                       | *P-NP*    | 0.08      |   | 6.37       |   | 8.12         |   | 58.47        | 0.00     | 10.55      | 41.63      | 14.42        |   | -8.62        | 33.24     |
| INGLISH D 5{Refrac}                       | *P-NP*    | 0.08      |   | 13.97      |   | 8.30         |   | 131.24       | 0.00     | 17.63      | 38.25      | 83.67        |   | 26.52        | 32.50     |
| INGLISH D 6{ Refrac}                      | *P-NP*    | 0.29      |   | 24.12      |   | 29.10        |   | 225.62       | 0.00     | 31.32      | 35.63      | 187.78       |   | 85.57        | 40.49     |
| INGLISH D 7{Refrac}                       | *P-NP*    | 1.30      |   | 35.51      |   | 128.55       |   | 332.12       | 0.00     | 89.08      | 42.00      | 329.59       |   | 121.35       | 37.21     |
| INGLISH SISTERS 1 {Refrac}                | *P-NP*    | 0.62      |   | 47.17      |   | 61.52        |   | 430.15       | 0.00     | 62.63      | 0.00       | 429.04       |   | 224.36       | 28.79     |
| INGLISII SISTERS 5 {Refrac}               | *P-NP*    | 0.19      |   | 41.99      |   | 19.29        |   | 412.20       | 0.00     | 42.59      | 56.44      | 332.46       |   | 32.64        | 40.47     |
| MUNCASTER 2 {Refrac}                      | *P-NP*    | 0.21      |   | 60.60      |   | 21.00        |   | 566.24       | 0.00     | 87.67      | 103.31     | 396.27       |   | 232.91       | 12.91     |
| NOBLES I (refrac)                         | *P-NP*    | 0.47      |   | 2.09       |   | 46.51        |   | 21.43        | 0.00     | 10.85      | 6.19       | 50.95        |   | 43.51        | 4.81      |
| SHERMAN MUNCASTER 2 {Refrac}              | *P-NP*    | 030       |   | 38.81      |   | 29.73        |   | 357.07       | 0.00     | 88.98      | 84.75      | 213.08       |   | 113.57       | 26.27     |

----

| **Date:       Partner:**    | 5/22/2008         All Cases | 3:08:18PM | **ECONOMIC SUMMARY PROJECTION****ReoStar Energy Corp**                                                                                                                                                      | **Proved Producing Rsv Class & Category** |
|-----------------------------|-----------------------------|-----------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------|
|                        |                        |      | **Custom Selection         Discount Rate:** 10.00                           **   As of:** 4/1/2008 |                                      |
|                        |                        |      |                                                                                                                                                                                                        |                                      |
|                        |                        |           |                                                                                                                                                                                                        |                                      |
| **Est. Cum Oil (Mbbl) :**   | **833.66**                  |      | **CORSICANA AREA**                                                                                                                                                                                     |
| **Est. Cum Gas (MMcf) :**   | **0.74**                    |      |                                                                                                                                                                                                        |
| **Est. Cum Water (Mbbl) :** | **1,931.96**                |      |                                                                                                                                                                                                        |

|      |    |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|-----------|---------|-------------------------------------|--------|------------------------------------|--------|----------------------------------|--------|----------------------------------|-------------------------------------|-------------------------------------|--------------------------------------------|--------|---------------------------------------|----------------------------------|--------|----------------------------------|------------------------------------|--------|--------------------------------------------|--------|--------------------------------------|
| **Year**  |    | **Oil         Gross        (Mbbl)** |   | **Gas        Gross        (MMcf)** |   | **Oil        Net        (Mbbl)** |   | **Gas        Net        (MMcf)** | **Oil        Price        ($/bbl)** | **Gas        Price        ($/Mcf)** | **Oil & Gas         Rev. Net        (M$)** |   | **Misc.        Rev. Net        (M$)** | **Costs        Net        (M$)** |   | **Taxes        Net        (M$)** | **Invest.        Net        (M$)** |   | **NonDisc.         CF Annual        (M$)** |   | **Cum         Disc. CF        (M$)** |
| 2008      |    | 0.00                                |   | 0.00                               |   | 0.00                             |   | 0.00                             | 0.00                                | 0.00                                | 0.00                                       |   | 0.00                                  | 0.00                             |   | 0.00                             | 0.00                               |   | 0.00                                       |   | 0.00                                 |
|      |    |                                |   |                               |   |                             |   |                             |                                     |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |    |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |    |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |    |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |    |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |    |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |    |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |    |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
| **Rem.**  |    | 0.00                                |   | 0.00                               |   | 0.00                             |   | 0.00                             | 0.00                                | 0.00                                | 0.00                                       |   | 0.00                                  | 0.00                             |   | 0.00                             | 0.00                               |   | 0.00                                       |   | 0.00                                 |
| **Total** | **0.0** | **0.00**                            |   | **0.00**                           |   | **0.00**                         |   | **0.00**                         | **0.00**                            | **0.00**                            | **0.00**                                   |   | **0.00**                              | **0.00**                         |   | **0.00**                         | **0.00**                           |   | **0.00**                                   |   | **0.00**                             |
| **Ult.**  |    | **833.66**                          |   | ******.74**                        |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |

| **Eco. Indicators**             |   |   |                           |         |   |     |   |   |         |   |     |
|---------------------------------|--------|--------|--------------------------------|--------------|--------|----------|--------|--------|--------------|--------|----------|
| Return on Investment (disc) :   | 0.000  |   |                           |         |   |     |   |   |         |   |     |
| Return on Investment (undisc) : | 0.000  |   |                           |         |   |     |   |   |         |   |     |
| Years to Payout :               | 0.00   |   | **Present Worth Profile (M$)** |
| Internal Rate of Return (%) :   | 0.00   |   | **PW**                         | **5.00% :**  |   | **0.00** |   | **PW** | **20.00% :** |   | **0.00** |
|                            |   |   | **PW**                         | **8.00% :**  |   | **0.00** |   | **PW** | **30.00% :** |   | **0.00** |
|                            |   |   | **PW**                         | **10.00% :** |   | **0.00** |   | **PW** | **40.00% :** |   | **0.00** |
|                            |   |   | **PW**                         | **12.00% :** |   | **0.00** |   | **PW** | **50.00% :** |   | **0.00** |
|                            |   |   | **PW**                         | **15.00% :** |   | **0.00** |   | **PW** | **60.00% :** |   | **0.00** |
|                            |   |   |                           |         |   |     |   |   |         |   |     |

----

| 5/22/2008                                                                                                                | 3:16:27PM                    |               | **Economic One-Liners****** |        |
|--------------------------------------------------------------------------------------------------------------------------|------------------------------|--------------------|-----------------------------|--------|
|                                                                                                                     |                         |               |
| **Project Name:              ReoStar      Energy Corp** | **As of Date: 4/1/2008****** |               |
|                                                                                                                     |                         |               |                        |   |
| **Ownership Group:      All        Cases**                                                      |                         | **CORSICANA AREA** |

|                                 |               | **Net Reserves**      |   | **Net Revenue**       | **Expense** |                | **Cash Flow** |                |
|---------------------------------|--------------------|-----------------------|--------|-----------------------|-------------|---------------------|---------------|---------------------|
| **Lease Name*Risked*/UnRisked** | *Reserve Category* | **Oil        (Mbbl)** |   | **Gas        (MMcf)** |        | **Oil        (M$)** |          | **Gas        (M$)** | **Other        (M$)** | **& Tax        (M$)** | **Invest.        (M$)** | **Non-Disc.        (M$)** |   | **Disc. 10%        (M$)** | **Life        (years)** |

| **Grand Total**                           | **Total** | **0.00** |   | **0.00** |   | **0.00** |   | **0.00** | **0.00** | **0.00** | **0.00** | **0.00** |   | **0.00** | **0.00** |
|-------------------------------------------|-----------|----------|--------|----------|--------|----------|--------|----------|----------|----------|----------|----------|--------|----------|----------|
|                                      |      |          |   |     |   |          |   |     |     |          |     |          |   |          |     |
| **Proved Producing Rsv Class & Category** | **Total** | **0.00** |   | **0.00** |   | **0.00** |   | **0.00** | **0.00** | **0.00** | **0.00** | **0.00** |   | **0.00** | **0.00** |
| GARVIN 291                                | *P-NP*    | 0.00     |   | 0.00     |   | 0.00     |   | 0.00     | 0.00     | 0.00     | 0.00     | 0.00     |   | 0.00     | 0.00     |
| MCKINNEY BERTHA 95                        | *P-NP*    | 0.00     |   | 0.00     |   | 0.00     |   | 0.00     | 0.00     | 0.00     | 0.00     | 0.00     |   | 0.00     | 0.00     |
| WRIGHT -B- 9 R                            | *P-NP*    | 0.00     |   | 0.00     |   | 0.00     |   | 0.00     | 0.00     | 0.00     | 0.00     | 0.00     |   | 0.00     | 0.00     |

----

| **Date:       Partner:**    | 5/21/2008         All Cases | 10:47:33AM | **ECONOMIC SUMMARY PROJECTION****ReoStar Energy Corp**                                                                                                                                                      | **Proved Producing Rsv Class & Category** |
|-----------------------------|-----------------------------|------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------|
|                        |                        |       | **Custom Selection         Discount Rate:** 10.00                           **   As of:** 4/1/2008 |                                      |
|                        |                        |       |                                                                                                                                                                                                        |                                      |
|                        |                        |            |                                                                                                                                                                                                        |                                      |
| **Est. Cum Oil (Mbbl) :**   | **900.01**                  |       | **EAST TEXAS AREA**                                                                                                                                                                                    |
| **Est. Cum Gas (MMcf) :**   | **-88.17**                  |       |                                                                                                                                                                                                        |
| **Est. Cum Water (Mbbl) :** | **28.44**                   |       |                                                                                                                                                                                                        |

|      |    |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|-----------|---------|-------------------------------------|--------|------------------------------------|--------|----------------------------------|--------|----------------------------------|-------------------------------------|-------------------------------------|--------------------------------------------|--------|---------------------------------------|----------------------------------|--------|----------------------------------|------------------------------------|--------|--------------------------------------------|--------|--------------------------------------|
| **Year**  |    | **Oil         Gross        (Mbbl)** |   | **Gas        Gross        (MMcf)** |   | **Oil        Net        (Mbbl)** |   | **Gas        Net        (MMcf)** | **Oil        Price        ($/bbl)** | **Gas        Price        ($/Mcf)** | **Oil & Gas         Rev. Net        (M$)** |   | **Misc.        Rev. Net        (M$)** | **Costs        Net        (M$)** |   | **Taxes        Net        (M$)** | **Invest.        Net        (M$)** |   | **NonDisc.         CF Annual        (M$)** |   | **Cum         Disc. CF        (M$)** |
| 2008      |    | 0.60                                |   | 0.00                               |   | 0.12                             |   | 0.00                             | 101.54                              | 0.00                                | 12.37                                      |   | 0.00                                  | 1.41                             |   | 0.88                             | 5.00                               |   | 5.09                                       |   | 4.77                                 |
| 2009      |    | 0.88                                |   | 0.00                               |   | 0.18                             |   | 0.00                             | 101.54                              | 0.00                                | 18.15                                      |   | 0.00                                  | 4.22                             |   | 1.29                             | 0.00                               |   | 12.63                                      |   | 16.06                                |
| 2010      |    | 0.22                                |   | 0.00                               |   | 0.04                             |   | 0.00                             | 101.54                              | 0.00                                | 4.54                                       |   | 0.00                                  | 2.78                             |   | 0.32                             | 0.00                               |   | 1.44                                       |   | 17.24                                |
|      |    |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |    |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |    |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |    |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |    |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |    |                                |   |                               |   |                             |   |                             |                                     |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |    |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
| **Rem.**  |    | 0.00                                |   | 0.00                               |   | 0.00                             |   | 0.00                             | 0.00                                | 0.00                                | 0.00                                       |   | 0.00                                  | 0.00                             |   | 0.00                             | 0.00                               |   | 0.00                                       |   | 0.00                                 |
| **Total** | **2.4** | **1.70**                            |   | **0.00**                           |   | **0.35**                         |   | **0.00**                         | **101.54**                          | **0.00**                            | **35.06**                                  |   | **0.00**                              | **8.41**                         |   | **2.49**                         | **5.00**                           |   | **19.16**                                  |   | **17.24**                            |
| **Ult.**  |    | **901.71**                          |   | ******88.17**                      |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |

| **Eco. Indicators**             |   |   |                           |         |   |      |   |   |         |   |      |
|---------------------------------|--------|--------|--------------------------------|--------------|--------|-----------|--------|--------|--------------|--------|-----------|
| Return on Investment (disc) :   | 4.624  |   |                           |         |   |      |   |   |         |   |      |
| Return on Investment (undisc) : | 4.832  |   |                           |         |   |      |   |   |         |   |      |
| Years to Payout :               | 0.57   |   | **Present Worth Profile (M$)** |
| Internal Rate of Return (%) :   | > 1000 |   | **PW**                         | **5.00% :**  |   | **18.17** |   | **PW** | **20.00% :** |   | **15.56** |
|                            |   |   | **PW**                         | **8.00% :**  |   | **17.61** |   | **PW** | **30.00% :** |   | **14.06** |
|                            |   |   | **PW**                         | **10.00% :** |   | **17.24** |   | **PW** | **40.00% :** |   | **12.74** |
|                            |   |   | **PW**                         | **12.00% :** |   | **16.89** |   | **PW** | **50.00% :** |   | **11.57** |
|                            |   |   | **PW**                         | **15.00% :** |   | **16.37** |   | **PW** | **60.00% :** |   | **10.53** |
|                            |   |   |                           |         |   |      |   |   |         |   |      |

----

| 5/22/2008                                                                                                                | 10:49:32AM                   |                | **Economic One-Liners****** |        |
|--------------------------------------------------------------------------------------------------------------------------|------------------------------|---------------------|-----------------------------|--------|
|                                                                                                                     |                         |                |
| **Project Name:              ReoStar      Energy Corp** | **As of Date: 4/1/2008****** |                |
|                                                                                                                     |                         |                |                        |   |
| **Ownership Group:      All        Cases**                                                      |                         | **EAST TEXAS AREA** |

|                                 |               | **Net Reserves**      |   | **Net Revenue**       | **Expense** |                | **Cash Flow** |                |
|---------------------------------|--------------------|-----------------------|--------|-----------------------|-------------|---------------------|---------------|---------------------|
| **Lease Name*Risked*/UnRisked** | *Reserve Category* | **Oil        (Mbbl)** |   | **Gas        (MMcf)** |        | **Oil        (M$)** |          | **Gas        (M$)** | **Other        (M$)** | **& Tax        (M$)** | **Invest.        (M$)** | **Non-Disc.        (M$)** |   | **Disc. 10%        (M$)** | **Life        (years)** |

| **Grand Total**                           | **Total** | **0.35** |   | **0.00** |   | **35.06** |   | **0.00** | **0.00** | **10.90** | **5.00** | **19.16** |   | **17.24** | **2.42** |
|-------------------------------------------|-----------|----------|--------|----------|--------|-----------|--------|----------|----------|-----------|----------|-----------|--------|-----------|----------|
|                                      |      |          |   |     |   |           |   |     |     |           |     |           |   |           |     |
| **Proved Producing Rsv Class & Category** | **Total** | **0.35** |   | **0.00** |   | **35.06** |   | **0.00** | **0.00** | **10.90** | **5.00** | **19.16** |   | **17.24** | **2.42** |
| ALFORD MULT - MULTI                       | *P-NP*    | 0.35     |   | 0.00     |   | 35.06     |   | 0.00     | 0.00     | 10.90     | 5.00     | 19.16     |   | 17.24     | 2.42     |
| SONIAT                                    | *P-NP*    | 0.00     |   | 0.00     |   | 0.00      |   | 0.00     | 0.00     | 0.00      | 0.00     | 0.00      |   | 0.00      | 0.00     |

----

| **Date:       Partner:**    | 5/28/2008         All Cases | 3:24:15PM | **ECONOMIC SUMMARY PROJECTION****ReoStar Energy Corp**                                                                                                                                                      | **Proved Producing Rsv Class & Category** |
|-----------------------------|-----------------------------|-----------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------|
|                        |                        |      | **Custom Selection         Discount Rate:** 10.00                           **   As of:** 4/1/2008 | **Total**                                 |
|                        |                        |      |                                                                                                                                                                                                        |                                      |
|                        |                        |           |                                                                                                                                                                                                        |                                      |
| **Est. Cum Oil (Mbbl) :**   | **3.58**                    |      |                                                                                                                                                                                                        |
| **Est. Cum Gas (MMcf) :**   | **4.23**                    |      |                                                                                                                                                                                                        |
| **Est. Cum Water (Mbbl) :** | **2.84**                    |      |                                                                                                                                                                                                        |

|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|-----------|----------|-------------------------------------|--------|------------------------------------|--------|----------------------------------|--------|----------------------------------|-------------------------------------|-------------------------------------|--------------------------------------------|--------|---------------------------------------|----------------------------------|--------|----------------------------------|------------------------------------|--------|--------------------------------------------|--------|--------------------------------------|
| **Year**  |     | **Oil         Gross        (Mbbl)** |   | **Gas        Gross        (MMcf)** |   | **Oil        Net        (Mbbl)** |   | **Gas        Net        (MMcf)** | **Oil        Price        ($/bbl)** | **Gas        Price        ($/Mcf)** | **Oil & Gas         Rev. Net        (M$)** |   | **Misc.        Rev. Net        (M$)** | **Costs        Net        (M$)** |   | **Taxes        Net        (M$)** | **Invest.        Net        (M$)** |   | **NonDisc.         CF Annual        (M$)** |   | **Cum         Disc. CF        (M$)** |
| 2008      |     | 111.71                              |   | 496.05                             |   | 40.97                            |   | 207.86                           | 99.30                               | 8,83                                | 6,499.92                                   |   | 0.00                                  | 99.94                            |   | 515.36                           | 1,391.45                           |   | 4,493.17                                   |   | 4,29.163                             |
| 2009      |     | 85.01                               |   | 499.35                             |   | 36.03                            |   | 209.50                           | 99.35                               | 8.83                                | 5,429.83                                   |   | 0.00                                  | 149.33                           |   | 439.48                           | 0.00                               |   | 4.841.01                                   |   | 8,587.17                             |
| 2010      |     | 46.51                               |   | 389.21                             |   | 19.90                            |   | 163.48                           | 99.39                               | 8.83                                | 3,421.02                                   |   | 0.00                                  | 140.94                           |   | 284.76                           | 0.00                               |   | 2,995.33                                   |   | 10,990.04                            |
| 2011      |     | 25.75                               |   | 327.32                             |   | 11.12                            |   | 137.48                           | 99.47                               | 9.22                                | 2,373.62                                   |   | 0.00                                  | 140.94                           |   | 205.27                           | 0.00                               |   | 2,027.41                                   |   | 12,401.47                            |
| 2012      |     | 15.76                               |   | 287.10                             |   | 0.88                             |   | 120.59                           | 99.55                               | 9.35                                | 1,813.10                                   |   | 0.00                                  | 140.94                           |   | 161.44                           | 0.00                               |   | 1,510.73                                   |   | 13,452.28                            |
| 2013      |     | 13.56                               |   | 256.71                             |   | 5.92                             |   | 107.83                           | 99.55                               | 9.35                                | 1,597.98                                   |   | 0.00                                  | 140.94                           |   | 142.70                           | 0.00                               |   | 1,314.34                                   |   | 14.232.32                            |
| 2014      |     | 11.97                               |   | 234.15                             |   | 5.22                             |   | 98.35                            | 99.54                               | 9.35                                | 1,439.81                                   |   | 0.00                                  | 140.94                           |   | 128.90                           | 0.00                               |   | 1,169.97                                   |   | 14,860.81                            |
| 2015      |     | 10.71                               |   | 216.23                             |   | 4.67                             |   | 90.82                            | 99.53                               | 9.35                                | 1,313.77                                   |   | 0.00                                  | 140.94                           |   | 117.91                           | 0.00                               |   | 1,054.92                                   |   | 15,373.78                            |
| 2016      |     | 9.70                                |   | 202.10                             |   | 4.22                             |   | 84.89                            | 99.52                               | 9.35                                | 1,213.73                                   |   | 0.00                                  | 140.94                           |   | 109.20                           | 0.00                               |   | 963.59                                     |   | 15,797.87                            |
| 2017      |     | 8.81                                |   | 189.27                             |   | 3.82                             |   | 79.50                            | 99.50                               | 9.35                                | 1,123.95                                   |   | 0.00                                  | 140.94                           |   | 101.36                           | 0.00                               |   | 881.65                                     |   | 16,149.07                            |
| 2018      |     | 7.64                                |   | 178.82                             |   | 3.24                             |   | 75.11                            | 99.32                               | 9.35                                | 1,023.82                                   |   | 0.00                                  | 114.56                           |   | 93.06                            | 0.00                               |   | 816.20                                     |   | 16,443.37                            |
| 2019      |     | 6.94                                |   | 170.16                             |   | 2.92                             |   | 71.47                            | 99.26                               | 9.35                                | 957.92                                     |   | 0.00                                  | 105.84                           |   | 87.40                            | 0.00                               |   | 764.68                                     |   | 10,692.99                            |
| 2020      |     | 6.44                                |   | 161.64                             |   | 2.71                             |   | 67.89                            | 99.26                               | 9.35                                | 903.53                                     |   | 0.00                                  | 105.844                          |   | 82.56                            | 0.00                               |   | 715.13                                     |   | 16,904.28                            |
| 2021      |     | 5.97                                |   | 153.13                             |   | 2.51                             |   | 64.32                            | 99.26                               | 9.35                                | 850.24                                     |   | 0.00                                  | 105.84                           |   | 77.81                            | 0.00                               |   | 666.59                                     |   | 17,082.54                            |
| 2022      |     | 5.54                                |   | 145.48                             |   | 2.33                             |   | 61.10                            | 99.26                               | 9.35                                | 802.58                                     |   | 0.00                                  | 105.84                           |   | 73.56                            | 0.00                               |   | 623.19                                     |   | 17,233.41                            |
|      |     |                                |   |                               |   |                             |   |                             |                                     |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
| **Rem.**  |     | 70.69                               |   | 2,263.54                           |   | 29.68                            |   | 950.61                           | 99.26                               | 9.35                                | 11,836.72                                  |   | 0.00                                  | 3,519.39                         |   | 1,098.23                         | 0.00                               |   | 7,219.10                                   |   | 805.22                               |
| **Total** | **49.6** | **442.70**                          |   | **6.170.26**                       |   | **188.14**                       |   | **2.590.79**                     | **99.36**                           | **9.23**                            | **42,001.54**                              |   | **0.00**                              | **5,434.10**                     |   | **3,718.99**                     | **1.391.45**                       |   | **32,057.00**                              |   | **18.038.63**                        |
| **Ult.**  |     | **446.28**                          |   | ******6.174.49**                   |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |

| **Eco. Indicators**             |   |   |                           |         |   |          |   |   |         |   |          |
|---------------------------------|--------|--------|--------------------------------|--------------|--------|---------------|--------|--------|--------------|--------|---------------|
| Return on Investment (disc) :   | 14.093 |   |                           |         |   |          |   |   |         |   |          |
| Return on Investment (undisc) : | 24.039 |   |                           |         |   |          |   |   |         |   |          |
| Years to Payout :               | 0.19   |   | **Present Worth Profile (M$)** |
| Internal Rate of Return (%) :   | > 1000 |   | **PW**                         | **5.00% :**  |   | **22.633.87** |   | **PW** | **20.00% :** |   | **13,420.17** |
|                            |   |   | **PW**                         | **8.00% :**  |   | **19.561.92** |   | **PW** | **30.00% :** |   | **10,953.15** |
|                            |   |   | **PW**                         | **10.00% :** |   | **18.038.63** |   | **PW** | **40.00% :** |   | **9.337.65**  |
|                            |   |   | **PW**                         | **12.00% :** |   | **16.793.30** |   | **PW** | **50.00% :** |   | **8,164.78**  |
|                            |   |   | **PW**                         | **15.00% :** |   | **15,29l.07** |   | **PW** | **60.00% :** |   | **7.259.99**  |
|                            |   |   |                           |         |   |          |   |   |         |   |          |

----

| **Date:       Partner:**    | 5/19/2008         All Cases | 8:26:48AM | **ECONOMIC SUMMARY PROJECTION****ReoStar Energy Corp**                                                                                                                                                      | **Proved Producing Rsv Class & Category** |
|-----------------------------|-----------------------------|-----------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------|
|                        |                        |      | **Custom Selection         Discount Rate:** 10.00                           **   As of:** 4/1/2008 |                                      |
|                        |                        |      |                                                                                                                                                                                                        |                                      |
|                        |                        |           |                                                                                                                                                                                                        |                                      |
| **Est. Cum Oil (Mbbl) :**   | **0.00**                    |      | **BARNETT AREA**                                                                                                                                                                                            |
| **Est. Cum Gas (MMcf) :**   | **0.00**                    |      |                                                                                                                                                                                                        |
| **Est. Cum Water (Mbbl) :** | **0.00**                    |      |                                                                                                                                                                                                        |

|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|-----------|----------|-------------------------------------|--------|------------------------------------|--------|----------------------------------|--------|----------------------------------|-------------------------------------|-------------------------------------|--------------------------------------------|--------|---------------------------------------|----------------------------------|--------|----------------------------------|------------------------------------|--------|--------------------------------------------|--------|--------------------------------------|
| **Year**  |     | **Oil         Gross        (Mbbl)** |   | **Gas        Gross        (MMcf)** |   | **Oil        Net        (Mbbl)** |   | **Gas        Net        (MMcf)** | **Oil        Price        ($/bbl)** | **Gas        Price        ($/Mcf)** | **Oil & Gas         Rev. Net        (M$)** |   | **Misc.        Rev. Net        (M$)** | **Costs        Net        (M$)** |   | **Taxes        Net        (M$)** | **Invest.        Net        (M$)** |   | **NonDisc.         CF Annual        (M$)** |   | **Cum         Disc. CF        (M$)** |
| 2008      |     | 109.53                              |   | 493.84                             |   | 46.00                            |   | 207.42                           | 99.26                               | 8.83                                | 6,397.45                                   |   | 0.00                                  | 70.85                            |   | 507.34                           | 1,215.20                           |   | 4,604,06                                   |   | 4,403.26                             |
| 2009      |     | 82.26                               |   | 498.26                             |   | 34.55                            |   | 209.28                           | 99.26                               | 8.83                                | 5,277.31                                   |   | 0.00                                  | 105.84                           |   | 428.28                           | 0.00                               |   | 4,743.18                                   |   | 8,610.24                             |
| 2010      |     | 44.52                               |   | 389.21                             |   | 18.70                            |   | 163.48                           | 99.26                               | 8.83                                | 3,299.42                                   |   | 0.00                                  | 105.84                           |   | 276.12                           | 0.00                               |   | 2,917.46                                   |   | 10,950.76                            |
| 2011      |     | 24.04                               |   | 327.32                             |   | 11.12                            |   | 137.48                           | 99.26                               | 9.22                                | 2,269.03                                   |   | 0.00                                  | 105.84                           |   | 197.85                           | 0.00                               |   | 1,965.34                                   |   | 12,377.19                            |
| 2012      |     | 14.28                               |   | 287.10                             |   | 6.00                             |   | 120.59                           | 99.26                               | 9.35                                | 1,722.92                                   |   | 0.00                                  | 105.84                           |   | 155.03                           | 0.00                               |   | 1,462.05                                   |   | 13,336.05                            |
| 2013      |     | 12.29                               |   | 256.71                             |   | 5.16                             |   | 107.83                           | 99.26                               | 9.35                                | 1,520.64                                   |   | 0.00                                  | 105.84                           |   | 137.21                           | 0.00                               |   | 1,277.59                                   |   | 14,094.25                            |
| 2014      |     | 10.88                               |   | 234.15                             |   | 4.57                             |   | 98.35                            | 99.26                               | 9.35                                | 1,373.29                                   |   | 0.00                                  | 105.84                           |   | 124.18                           | 0.00                               |   | 1,143.27                                   |   | 14,708.38                            |
| 2015      |     | 9.77                                |   | 216.23                             |   | 4.10                             |   | 90.82                            | 99.26                               | 9.35                                | 1,256.56                                   |   | 0.00                                  | 105.84                           |   | 113.85                           | 0.00                               |   | 1,036.88                                   |   | 15,212.56                            |
| 2016      |     | 8.89                                |   | 202.10                             |   | 3.73                             |   | 84.89                            | 99.26                               | 9.35                                | 1,164.40                                   |   | 0.00                                  | 105.84                           |   | 105.69                           | 0.00                               |   | 952.86                                     |   | 15,631.90                            |
| 2017      |     | 8.11                                |   | 189.27                             |   | 3.41                             |   | 79.50                            | 99.26                               | 9.35                                | 1,081.64                                   |   | 0.00                                  | 105.84                           |   | 98.36                            | 0.00                               |   | 877.45                                     |   | 15,981.41                            |
| 2018      |     | 7.48                                |   | 178.82                             |   | 3.14                             |   | 75.11                            | 99.26                               | 9.35                                | 1,014.11                                   |   | 0.00                                  | 105.84                           |   | 92.37                            | 0.00                               |   | 815.90                                     |   | 16,275.60                            |
| 2019      |     | 6.94                                |   | 170.16                             |   | 2.92                             |   | 71.47                            | 99.26                               | 9.35                                | 957.92                                     |   | 0.00                                  | 105.84                           |   | 87.40                            | 0.00                               |   | 764.68                                     |   | 16,525.22                            |
| 2020      |     | 6.44                                |   | 161.64                             |   | 2.71                             |   | 67.89                            | 99.26                               | 9.35                                | 903.53                                     |   | 0.00                                  | 105.84                           |   | 82.56                            | 0.00                               |   | 715.13                                     |   | 16,736.51                            |
| 2021      |     | 5.97                                |   | 153.13                             |   | 2.51                             |   | 64.32                            | 99.26                               | 9.35                                | 850.24                                     |   | 0.00                                  | 105.84                           |   | 77.81                            | 0.00                               |   | 666.59                                     |   | 16,914.77                            |
| 2022      |     | 5.54                                |   | 145.48                             |   | 2.33                             |   | 61.10                            | 99.26                               | 9.35                                | 802.58                                     |   | 0.00                                  | 105.84                           |   | 73.56                            | 0.00                               |   | 623.19                                     |   | 17,065.64                            |
|      |     |                                |   |                               |   |                             |   |                             |                                     |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
| **Rem.**  |     | 70.69                               |   | 2,263.54                           |   | 29.68                            |   | 950.61                           | 99.26                               | 9.35                                | 11,836.72                                  |   | 0.00                                  | 3,519.39                         |   | 1,098.23                         | 0.00                               |   | 7,219.10                                   |   | 805.22                               |
| **Total** | **49.6** | **427.61**                          |   | **6,166.96**                       |   | **179.60**                       |   | **2,590.12**                     | **99.26**                           | **9.23**                            | **41,727.77**                              |   | **0.00**                              | **5,072.00**                     |   | **3,655.83**                     | **1,215.20**                       |   | **31,784.74**                              |   | **17,870.86**                        |
| **Ult.**  |     | **427.61**                          |   | ******6,166.96**                   |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |

| **Eco. Indicators**             |   |   |                           |         |   |          |   |   |         |   |          |
|---------------------------------|--------|--------|--------------------------------|--------------|--------|---------------|--------|--------|--------------|--------|---------------|
| Return on Investment (disc) :   | 15.823 |   |                           |         |   |          |   |   |         |   |          |
| Return on Investment (undisc) : | 27.156 |   |                           |         |   |          |   |   |         |   |          |
| Years to Payout :               | 0.17   |   | **Present Worth Profile (M$)** |
| Internal Rate of Return (%) :   | > 1000 |   | **PW**                         | **5.00% :**  |   | **22,419.80** |   | **PW** | **20.00% :** |   | **13,319.95** |
|                            |   |   | **PW**                         | **8.00% :**  |   | **19,376.85** |   | **PW** | **30.00% :** |   | **10,898.48** |
|                            |   |   | **PW**                         | **10.00% :** |   | **17,870.86** |   | **PW** | **40.00% :** |   | **9,314.81**  |
|                            |   |   | **PW**                         | **12.00% :** |   | **16,641.38** |   | **PW** | **50.00% :** |   | **8,164.87**  |
|                            |   |   | **PW**                         | **15.00% :** |   | **15,160.55** |   | **PW** | **60.00% :** |   | **7,277.02**  |
|                            |   |   |                           |         |   |          |   |   |         |   |          |

----

| 5/19/2008                                                                                                                | 8:42:08AM                    |             | **Economic One-Liners****** |        |
|--------------------------------------------------------------------------------------------------------------------------|------------------------------|------------------|-----------------------------|--------|
|                                                                                                                     |                         |             |
| **Project Name:              ReoStar      Energy Corp** | **As of Date: 4/1/2008****** |             |
|                                                                                                                     |                         |             |                        |   |
| **Ownership Group:      All        Cases**                                                      |                         | **BARNETT AREA** |

|                                 |               | **Net Reserves**      |   | **Net Revenue**       | **Expense** |                | **Cash Flow** |                |
|---------------------------------|--------------------|-----------------------|--------|-----------------------|-------------|---------------------|---------------|---------------------|
| **Lease Name*Risked*/UnRisked** | *Reserve Category* | **Oil        (Mbbl)** |   | **Gas        (MMcf)** |        | **Oil        (M$)** |          | **Gas        (M$)** | **Other        (M$)** | **& Tax        (M$)** | **Invest.        (M$)** | **Non-Disc.        (M$)** |   | **Disc. 10%        (M$)** | **Life        (years)** |

| **Grand Total**                           | **Total** | **179.60** |   | **2,590.12** |   | **17,825.77** |   | **23,902.01** | **0.00** | **8,727.83** | **1,215.20** | **31,784.74** |   | **17,870.86** | **49.64** |
|-------------------------------------------|-----------|------------|--------|--------------|--------|---------------|--------|---------------|----------|--------------|--------------|---------------|--------|---------------|-----------|
|                                      |      |            |   |         |   |               |   |          |     |              |         |               |   |               |      |
| **Proved Producing Rsv Class & Category** | **Total** | **179.60** |   | **2,590.12** |   | **17,825.77** |   | **23,902.01** | **0.00** | **8,727.83** | **1,215.20** | **31,784.74** |   | **17,870.86** | **49.64** |
| BUSBY 1                                   | *P-BP*    | 17.18      |   | 247.78       |   | 1,705.27      |   | 2.286.53      | 0.00     | 832.32       | 116.25       | 3,043.24      |   | 1,710.81      | 47.75     |
| INGLISH 13                                | *P-BP*    | 24.51      |   | 353.48       |   | 2,432.84      |   | 3,262.23      | 0.00     | 1,214.77     | 165.85       | 4.314.44      |   | 2,427.95      | 49.64     |
| INGLISH 8                                 | *P-BP*    | 26.57      |   | 383.24       |   | 2,637.49      |   | 3,536.51      | 0.00     | 1,287.32     | 179.80       | 4.706.87      |   | 2,646.05      | 47.75     |
| INGLISH 9                                 | *P-BP*    | 27.95      |   | 403.06       |   | 2,773.91      |   | 3,719.43      | 0.00     | 1,353.90     | 189.10       | 4,950.33      |   | 2,782.92      | 47.75     |
| INGLISH D 10                              | *P-BP*    | 27.49      |   | 396.45       |   | 2,728.44      |   | 3,658.45      | 0.00     | 1,331.71     | 186.00       | 4.869.18      |   | 2,737.29      | 47.75     |
| lNGLISH SISTERS 8                         | *P-BP*    | 27.49      |   | 396.45       |   | 2,728.44      |   | 3,658.45      | 0.00     | 1,331.71     | 186.00       | 4,869.18      |   | 2,737.29      | 47.75     |
| INGLlSH SISTERS 9                         | *P-BP*    | 28.41      |   | 409.67       |   | 2,819.38      |   | 3,780.40      | 0.00     | 1,376.10     | 192.20       | 5,031.49      |   | 2,828.54      | 47.75     |

----

| **Date:       Partner:**    | 5/21/2008         All Cases | 10:47:33AM | **ECONOMIC SUMMARY PROJECTION****ReoStar Energy Corp**                                                                                                                                                      | **Proved Producing Rsv Class & Category** |
|-----------------------------|-----------------------------|------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------|
|                        |                        |       | **Custom Selection         Discount Rate:** 10.00                           **   As of:** 4/1/2008 |                                      |
|                        |                        |       |                                                                                                                                                                                                        |                                      |
|                        |                        |            |                                                                                                                                                                                                        |                                      |
| **Est. Cum Oil (Mbbl) :**   | **3.58**                    |       | **EAST TEXAS AREA**                                                                                                                                                                                         |
| **Est. Cum Gas (MMcf) :**   | **4.23**                    |       |                                                                                                                                                                                                        |
| **Est. Cum Water (Mbbl) :** | **2.84**                    |       |                                                                                                                                                                                                        |

|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|-----------|----------|-------------------------------------|--------|------------------------------------|--------|----------------------------------|--------|----------------------------------|-------------------------------------|-------------------------------------|--------------------------------------------|--------|---------------------------------------|----------------------------------|--------|----------------------------------|------------------------------------|--------|--------------------------------------------|--------|--------------------------------------|
| **Year**  |     | **Oil         Gross        (Mbbl)** |   | **Gas        Gross        (MMcf)** |   | **Oil        Net        (Mbbl)** |   | **Gas        Net        (MMcf)** | **Oil        Price        ($/bbl)** | **Gas        Price        ($/Mcf)** | **Oil & Gas         Rev. Net        (M$)** |   | **Misc.        Rev. Net        (M$)** | **Costs        Net        (M$)** |   | **Taxes        Net        (M$)** | **Invest.        Net        (M$)** |   | **NonDisc.         CF Annual        (M$)** |   | **Cum         Disc. CF        (M$)** |
| 2008      |     | 2.18                                |   | 2.20                               |   | 0.97                             |   | 0.45                             | 101.54                              | 9.86                                | 102.46                                     |   | 0.00                                  | 29.08                            |   | 8.02                             | 176.25                             |   | -110.89                                    |   | -109.63                              |
| 2009      |     | 2.75                                |   | 1.09                               |   | 1.48                             |   | 0.22                             | 101.54                              | 9.86                                | 152.52                                     |   | 0.00                                  | 43.49                            |   | 11.20                            | 0.00                               |   | 97.83                                      |   | -23.06                               |
| 2010      |     | 2.00                                |   | 0.00                               |   | 1.20                             |   | 0.00                             | 101.54                              | 0.00                                | 121.60                                     |   | 0.00                                  | 35.10                            |   | 8.63                             | 0.00                               |   | 77.87                                      |   | 39.29                                |
| 2011      |     | 1.72                                |   | 0.00                               |   | 1.03                             |   | 0.00                             | 101.54                              | 0.00                                | 104.59                                     |   | 0.00                                  | 35.10                            |   | 7.43                             | 0.00                               |   | 62.06                                      |   | 84.28                                |
| 2012      |     | 1.48                                |   | 0.00                               |   | 0.89                             |   | 0.00                             | 101.54                              | 0.00                                | 90.18                                      |   | 0.00                                  | 35.10                            |   | 6.40                             | 0.00                               |   | 48.68                                      |   | 116.23                               |
| 2013      |     | 1.27                                |   | 0.00                               |   | 0.76                             |   | 0.00                             | 101.54                              | 0.00                                | 77.34                                      |   | 0.00                                  | 35.10                            |   | 5.49                             | 0.00                               |   | 36.75                                      |   | 138.07                               |
| 2014      |     | 1.09                                |   | 0.00                               |   | 0.66                             |   | 0.00                             | 101.54                              | 0.00                                | 66.52                                      |   | 0.00                                  | 35.10                            |   | 4.72                             | 0.00                               |   | 26.69                                      |   | 152.43                               |
| 2015      |     | 0.94                                |   | 0.00                               |   | 0.56                             |   | 0.00                             | 101.54                              | 0.00                                | 57.21                                      |   | 0.00                                  | 35.10                            |   | 4.06                             | 0.00                               |   | 18.05                                      |   | 161.23                               |
| 2016      |     | 0.81                                |   | 0.00                               |   | 0.49                             |   | 0.00                             | 101.54                              | 0.00                                | 49.33                                      |   | 0.00                                  | 35.10                            |   | 3.50                             | 0.00                               |   | 10.73                                      |   | 165.97                               |
| 2017      |     | 0.69                                |   | 0.00                               |   | 0.42                             |   | 0.00                             | 101.54                              | 0.00                                | 42.30                                      |   | 0.00                                  | 35.10                            |   | 3.00                             | 0.00                               |   | 4.20                                       |   | 167.66                               |
| 2018      |     | 0.16                                |   | 0.00                               |   | 0.10                             |   | 0.00                             | 101.54                              | 0.00                                | 9.71                                       |   | 0.00                                  | 8.72                             |   | 0.69                             | 0.00                               |   | 0.30                                       |   | 167.77                               |
|      |     |                                |   |                               |   |                             |   |                             |                                     |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
| **Rem.**  |     | 0.00                                |   | 0.00                               |   | 0.00                             |   | 0.00                             | 0.00                                | 0.00                                | 0.00                                       |   | 0.00                                  | 0.00                             |   | 0.00                             | 0.00                               |   | 0.00                                       |   | 0.00                                 |
| **Total** | **10.2** | **15.09**                           |   | **3.30**                           |   | **8.54**                         |   | **0.67**                         | **101.54**                          | **9.86**                            | **873.77**                                 |   | **0.00**                              | **362.09**                       |   | **63.16**                        | **176.25**                         |   | **272.27**                                 |   | **167.77**                           |
| **Ult.**  |     | **18.67**                           |   | ******7.53**                       |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |

| **Eco. Indicators**             |   |   |                           |         |   |       |   |   |         |   |       |
|---------------------------------|--------|--------|--------------------------------|--------------|--------|------------|--------|--------|--------------|--------|------------|
| Return on Investment (disc) :   | 1.975  |   |                           |         |   |       |   |   |         |   |       |
| Return on Investment (undisc) : | 2.545  |   |                           |         |   |       |   |   |         |   |       |
| Years to Payout :               | 1.91   |   | **Present Worth Profile (M$)** |
| Internal Rate of Return (%) :   | 50.06  |   | **PW**                         | **5.00% :**  |   | **214.07** |   | **PW** | **20.00% :** |   | **100.22** |
|                            |   |   | **PW**                         | **8.00% :**  |   | **185.06** |   | **PW** | **30.00% :** |   | **54.68**  |
|                            |   |   | **PW**                         | **10.00% :** |   | **167.77** |   | **PW** | **40.00% :** |   | **22.84**  |
|                            |   |   | **PW**                         | **12.00% :** |   | **151.92** |   | **PW** | **50.00% :** |   | **-0.09**  |
|                            |   |   | **PW**                         | **15.00% :** |   | **130.52** |   | **PW** | **60.00% :** |   | **-17.03** |
|                            |   |   |                           |         |   |       |   |   |         |   |       |

----

| 5/21/2008                                                                                                                | 10:50:00AM                   |                | **Economic One-Liners****** |        |
|--------------------------------------------------------------------------------------------------------------------------|------------------------------|---------------------|-----------------------------|--------|
|                                                                                                                     |                         |                |
| **Project Name:              ReoStar      Energy Corp** | **As of Date: 4/1/2008****** |                |
|                                                                                                                     |                         |                |                        |   |
| **Ownership Group:      All        Cases**                                                      |                         | **EAST TEXAS AREA** |

|                                 |               | **Net Reserves**      |   | **Net Revenue**       | **Expense** |                | **Cash Flow** |                |
|---------------------------------|--------------------|-----------------------|--------|-----------------------|-------------|---------------------|---------------|---------------------|
| **Lease Name*Risked*/UnRisked** | *Reserve Category* | **Oil        (Mbbl)** |   | **Gas        (MMcf)** |        | **Oil        (M$)** |          | **Gas        (M$)** | **Other        (M$)** | **& Tax        (M$)** | **Invest.        (M$)** | **Non-Disc.        (M$)** |   | **Disc. 10%        (M$)** | **Life        (years)** |

| **Grand Total**                           | **Total** | **8.54** |   | **0.67** |   | **867.16** |   | **6.60** | **0.00** | **425.25** | **176.25** | **272.27** |   | **167.77** | **10.17** |
|-------------------------------------------|-----------|----------|--------|----------|--------|------------|--------|----------|----------|------------|------------|------------|--------|------------|-----------|
|                                      |      |          |   |     |   |            |   |     |     |            |       |            |   |            |      |
| **Proved Producing Rsv Class & Category** | **Total** | **8.54** |   | **0.67** |   | **867.16** |   | **6.60** | **0.00** | **425.25** | **176.25** | **272.27** |   | **167.77** | **10.17** |
| MCKINLEY #20                              | *P-BP*    | 1.66     |   | 0.00     |   | 168.06     |   | 0.00     | 0.00     | 80.40      | 12.75      | 74.91      |   | 52.67      | 10.17     |
| MCKINLEY #25                              | *P-BP*    | 1.66     |   | 0.00     |   | 168.06     |   | 0.00     | 0.00     | 80.40      | 12.75      | 74.91      |   | 54.46      | 9.84      |
| MCKINLEY #27                              | *P-BP*    | 1.66     |   | 0.00     |   | 168.06     |   | 0.00     | 0.00     | 80.41      | 50.25      | 37.40      |   | 17.11      | 9.92      |
| MCKINLEY #45                              | *P-BP*    | 1.66     |   | 0.00     |   | 168.06     |   | 0.00     | 0.00     | 80.39      | 50.25      | 37.42      |   | 16.98      | 10.00     |
| MCKINLEY #59                              | *P-BP*    | 1.66     |   | 0.00     |   | 168.06     |   | 0.00     | 0.00     | 80.40      | 40.50      | 47.16      |   | 26.27      | 10.09     |
| SIMPSON D #6                              | *P-BP*    | 0.26     |   | 0.67     |   | 26.86      |   | 6.60     | 0.00     | 23.27      | 9.75       | 0.45       |   | 0.28       | 1.31      |

----

| **Date:       Partner:**    | 5/28/2008         All Cases | 3:24:15PM | **ECONOMIC SUMMARY PROJECTION****ReoStar Energy Corp**                                                                                                                                                      | **Proved Producing Rsv Class & Category** |
|-----------------------------|-----------------------------|-----------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------|
|                        |                        |      | **Custom Selection         Discount Rate:** 10.00                           **   As of:** 4/1/2008 | **Total **                           |
|                        |                        |      |                                                                                                                                                                                                        |                                      |
|                        |                        |           |                                                                                                                                                                                                        |                                      |
| **Est. Cum Oil (Mbbl) :**   | **0.00**                    |      | ****                                                                                                                                                                                                        |
| **Est. Cum Gas (MMcf) :**   | **0.00**                    |      |                                                                                                                                                                                                        |
| **Est. Cum Water (Mbbl) :** | **0.00**                    |      |                                                                                                                                                                                                        |

|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|-----------|----------|-------------------------------------|--------|------------------------------------|--------|----------------------------------|--------|----------------------------------|-------------------------------------|-------------------------------------|--------------------------------------------|--------|---------------------------------------|----------------------------------|--------|----------------------------------|------------------------------------|--------|--------------------------------------------|--------|--------------------------------------|
| **Year**  |     | **Oil         Gross        (Mbbl)** |   | **Gas        Gross        (MMcf)** |   | **Oil        Net        (Mbbl)** |   | **Gas        Net        (MMcf)** | **Oil        Price        ($/bbl)** | **Gas        Price        ($/Mcf)** | **Oil & Gas         Rev. Net        (M$)** |   | **Misc.        Rev. Net        (M$)** | **Costs        Net        (M$)** |   | **Taxes        Net        (M$)** | **Invest.        Net        (M$)** |   | **NonDisc.         CF Annual        (M$)** |   | **Cum         Disc. CF        (M$)** |
| 2008      |     | 163.74                              |   | 1,152.81                           |   | 61.43                            |   | 432.30                           | 99.19                               | 8.83                                | 9,910.91                                   |   | 0.00                                  | 171.55                           |   | 814.19                           | 19,327.00                          |   | -10,401.83                                 |   | -10,140.53                           |
| 2009      |     | 421.09                              |   | 3,127.10                           |   | 171.05                           |   | 1,172.66                         | 98.32                               | 8.83                                | 27,172.61                                  |   | 0.00                                  | 1,632.35                         |   | 2,229.56                         | 15,929.85                          |   | 7,380.85                                   |   | -3,897.18                            |
| 2010      |     | 901.06                              |   | 2,408.23                           |   | 608.29                           |   | 903.09                           | 94.18                               | 8.83                                | 65,263.42                                  |   | 0.00                                  | 4,260.26                         |   | 4,864.97                         | 14,346.97                          |   | 41,791.21                                  |   | 28,413.34                            |
| 2011      |     | 1,696.87                            |   | 1,962.91                           |   | 1,248.87                         |   | 736.09                           | 93.58                               | 9.21                                | 123,654.55                                 |   | 0.00                                  | 4,685.07                         |   | 8,976.18                         | 7,331.10                           |   | 102,662.21                                 |   | 102,840.45                           |
| 2012      |     | 1,226.44                            |   | 1,686.90                           |   | 896.34                           |   | 632.59                           | 93.56                               | 9.35                                | 89,774.47                                  |   | 0.00                                  | 5,303.66                         |   | 6,545.55                         | 2,186.47                           |   | 75,738. 79                                 |   | 152,501.68                           |
| 2013      |     | 1,018.34                            |   | 1,489.94                           |   | 738.08                           |   | 558.73                           | 93.54                               | 9.35                                | 74,263.61                                  |   | 0.00                                  | 6,042.19                         |   | 5,424.25                         | 16,334.20                          |   | 46,462.98                                  |   | 180,338.74                           |
| 2014      |     | 1,014.66                            |   | 1,347.69                           |   | 745.39                           |   | 505.38                           | 93.50                               | 9.35                                | 74,422.92                                  |   | 0.00                                  | 7,679.65                         |   | 5,421.09                         | 0.00                               |   | 61,322.18                                  |   | 213,202.82                           |
| 2015      |     | 1,267.21                            |   | 1,237.00                           |   | 948.93                           |   | 463.88                           | 91.45                               | 9.35                                | 93,012.09                                  |   | 0.00                                  | 7,543.63                         |   | 6,729.67                         | 7,766.63                           |   | 70,972.16                                  |   | 247,798.13                           |
| 2016      |     | 854.82                              |   | 1,150.87                           |   | 637.74                           |   | 431.57                           | 93.48                               | 9.35                                | 63,653.39                                  |   | 0.00                                  | 5,539.76                         |   | 4,636.44                         | 0.00                               |   | 53,477.20                                  |   | 271,346.39                           |
| 2017      |     | 807.43                              |   | 1,073.89                           |   | 605.49                           |   | 402.71                           | 93.47                               | 9.35                                | 60,360.89                                  |   | 0.00                                  | 5,249.24                         |   | 4,394.84                         | 8,331.6                            |   | 42,385.21                                  |   | 288,296.63                           |
| 2018      |     | 625.08                              |   | 1,011.65                           |   | 458.02                           |   | 379.37                           | 93.49                               | 9.35                                | 46,370.60                                  |   | 0.00                                  | 4,907.21                         |   | 3,395.20                         | 0.00                               |   | 38,068.18                                  |   | 301 ,994.86                          |
| 2019      |     | 608.89                              |   | 960.39                             |   | 448.07                           |   | 360.15                           | 93.48                               | 9.35                                | 45,253.43                                  |   | 0.00                                  | 4,881.73                         |   | 3,310.67                         | 7,459.71                           |   | 29,601.31                                  |   | 311,654.94                           |
| 2020      |     | 608.59                              |   | 912.48                             |   | 461.22                           |   | 342.18                           | 93.46                               | 9.35                                | 46,305.22                                  |   | 0.00                                  | 4,453.42                         |   | 3,380.47                         | 6,945.25                           |   | 31,526.08                                  |   | 320,89402                            |
| 2021      |     | 833.35                              |   | 864.19                             |   | 637.66                           |   | 324.07                           | 93.41                               | 9.35                                | 62,595.15                                  |   | 0.00                                  | 4,651.97                         |   | 4,532.15                         | 4,501.55                           |   | 48,909.48                                  |   | 333,915.31                           |
| 2022      |     | 819.98                              |   | 820.99                             |   | 622.09                           |   | 307.87                           | 93.40                               | 9.35                                | 60,984.02                                  |   | 0.00                                  | 4,615.03                         |   | 4,413.36                         | 7,716.95                           |   | 44,238.68                                  |   | 344,607.60                           |
|      |     |                                |   |                               |   |                             |   |                             |                                     |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
| **Rem.**  |     | 2,320.51                            |   | 11,621.83                          |   | 1,695.39                         |   | 4,358.19                         | 93.52                               | 9.35                                | 199,319.10                                 |   | 0.00                                  | 33,008.04                        |   | 15,333.66                        | 0.00                               |   | 150,977.41                                 |   | 28,340.60                            |
| **Total** | **42.1** | **15,188.05**                       |   | **32,828.88**                      |   | **10,984.06**                    |   | **12,310.83**                    | **93.64**                           | **9.24**                            | **1,142,316.39**                           |   | **0.00**                              | **104,624.75**                   |   | **84,402.26**                    | **118,177.28**                     |   | **835,112.09**                             |   | **372,948.20**                       |
| **Ult.**  |     | **15,188.05**                       |   | ******32,828.88**                  |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |

| **Eco. Indicators**             |   |   |                           |         |   |           |   |   |         |   |           |
|---------------------------------|--------|--------|--------------------------------|--------------|--------|----------------|--------|--------|--------------|--------|----------------|
| Return on Investment (disc) :   | 5.914  |   |                           |         |   |           |   |   |         |   |           |
| Return on Investment (undisc) : | 8.067  |   |                           |         |   |           |   |   |         |   |           |
| Years to Payout :               | 3.07   |   | **Present Worth Profile (M$)** |
| Internal Rate of Return (%) :   | 112.77 |   | **PW**                         | **5.00% :**  |   | **542,853.84** |   | **PW** | **20.00% :** |   | **198,660.22** |
|                            |   |   | **PW**                         | **8.00% :**  |   | **430,846.88** |   | **PW** | **30.00% :** |   | **117,415.70** |
|                            |   |   | **PW**                         | **10.00% :** |   | **372,948.20** |   | **PW** | **40.00% :** |   | **73,485.99**  |
|                            |   |   | **PW**                         | **12.00% :** |   | **325,084.73** |   | **PW** | **50.00% :** |   | **47,303.61**  |
|                            |   |   | **PW**                         | **15.00% :** |   | **267,643.91** |   | **PW** | **60.00% :** |   | **30,679.45**  |
|                            |   |   |                           |         |   |           |   |   |         |   |           |

----

| **Date:       Partner:**    | 5/19/2008         All Cases | 8:26:48AM | **ECONOMIC SUMMARY PROJECTION****ReoStar Energy Corp**                                                                                                                                                      | **Proved Producing Rsv Class & Category** |
|-----------------------------|-----------------------------|-----------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------|
|                        |                        |      | **Custom Selection         Discount Rate:** 10.00                           **   As of:** 4/1/2008 | ** **                                |
|                        |                        |      |                                                                                                                                                                                                        |                                      |
|                        |                        |           |                                                                                                                                                                                                        |                                      |
| **Est. Cum Oil (Mbbl) :**   | **0.00**                    |      | **BARNETT AREA**                                                                                                                                                                                            |
| **Est. Cum Gas (MMcf) :**   | **0.00**                    |      |                                                                                                                                                                                                        |
| **Est. Cum Water (Mbbl) :** | **0.00**                    |      |                                                                                                                                                                                                        |

|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|-----------|----------|-------------------------------------|--------|------------------------------------|--------|----------------------------------|--------|----------------------------------|-------------------------------------|-------------------------------------|--------------------------------------------|--------|---------------------------------------|----------------------------------|--------|----------------------------------|------------------------------------|--------|--------------------------------------------|--------|--------------------------------------|
| **Year**  |     | **Oil         Gross        (Mbbl)** |   | **Gas        Gross        (MMcf)** |   | **Oil        Net        (Mbbl)** |   | **Gas        Net        (MMcf)** | **Oil        Price        ($/bbl)** | **Gas        Price        ($/Mcf)** | **Oil & Gas         Rev. Net        (M$)** |   | **Misc.        Rev. Net        (M$)** | **Costs        Net        (M$)** |   | **Taxes        Net        (M$)** | **Invest.        Net        (M$)** |   | **NonDisc.         CF Annual        (M$)** |   | **Cum         Disc. CF        (M$)** |
| 2008      |     | 161.99                              |   | 1,152.81                           |   | 60.75                            |   | 432.30                           | 99.26                               | 8.83                                | 9,846.82                                   |   | 0.00                                  | 167.63                           |   | 809.64                           | 17,050.00                          |   | -8,180.45                                  |   | -8,019.83                            |
| 2009      |     | 384.12                              |   | 3,127.10                           |   | 144.04                           |   | 1,172.66                         | 99.26                               | 8.83                                | 24,652.32                                  |   | 0.00                                  | 616.70                           |   | 2,050.62                         | 4,950.00                           |   | 17,035.00                                  |   | 6,906.76                             |
| 2010      |     | 233.74                              |   | 2,408.23                           |   | 87.65                            |   | 903.09                           | 99.26                               | 8.83                                | 16,674.86                                  |   | 0.00                                  | 651.36                           |   | 1,415.18                         | 75.00                              |   | 14,533.32                                  |   | 18,557.19                            |
| 2011      |     | 144.06                              |   | 1,962.91                           |   | 54.02                            |   | 736.09                           | 99.26                               | 9.21                                | 12,144.96                                  |   | 0.00                                  | 651.36                           |   | 1,059.00                         | 0.00                               |   | 10,434.61                                  |   | 26,126.43                            |
| 2012      |     | 93.02                               |   | 1,686.90                           |   | 34.88                            |   | 632.59                           | 99.26                               | 9.35                                | 9,378.47                                   |   | 0.00                                  | 651.36                           |   | 837.44                           | 0.00                               |   | 7,889.68                                   |   | 31,304.67                            |
| 2013      |     | 70.58                               |   | 1,489.94                           |   | 26.47                            |   | 558.73                           | 99.26                               | 9.35                                | 7,852.42                                   |   | 0.00                                  | 651.36                           |   | 709.06                           | 0.00                               |   | 6,492.01                                   |   | 35,158.27                            |
| 2014      |     | 59.69                               |   | 1,347.69                           |   | 22.38                            |   | 505.38                           | 99.26                               | 9.35                                | 6,948.12                                   |   | 0.00                                  | 651.36                           |   | 630.38                           | 0.00                               |   | 5,666.38                                   |   | 38,202.65                            |
| 2015      |     | 51.36                               |   | 1,237.00                           |   | 19.26                            |   | 463.88                           | 99.26                               | 9.35                                | 6,250.03                                   |   | 0.00                                  | 651.36                           |   | 569.56                           | 0.00                               |   | 5,029.11                                   |   | 40,648.41                            |
| 2016      |     | 44.85                               |   | 1,150.87                           |   | 16.82                            |   | 431.57                           | 99.26                               | 9.35                                | 5,705.35                                   |   | 0.00                                  | 651.36                           |   | 522.13                           | 0.00                               |   | 4,531.86                                   |   | 42,643.14                            |
| 2017      |     | 39.29                               |   | 1,073.89                           |   | 14.73                            |   | 402.71                           | 99.26                               | 9.35                                | 5,228.50                                   |   | 0.00                                  | 651.36                           |   | 480.44                           | 0.00                               |   | 4,096.70                                   |   | 44,275.17                            |
| 2018      |     | 34.75                               |   | 1,011.65                           |   | 13.03                            |   | 379.37                           | 99.26                               | 9.35                                | 4,841.32                                   |   | 0.00                                  | 651.36                           |   | 446.62                           | 0.00                               |   | 3,743.34                                   |   | 45,625.09                            |
| 2019      |     | 30.95                               |   | 960.39                             |   | 11.61                            |   | 360.15                           | 99.26                               | 9.35                                | 4,520.32                                   |   | 0.00                                  | 651.36                           |   | 418.62                           | 0.00                               |   | 3,450.34                                   |   | 46,751.43                            |
| 2020      |     | 27.58                               |   | 912.48                             |   | 10.34                            |   | 342.18                           | 99.26                               | 9.35                                | 4,226.51                                   |   | 0.00                                  | 651.36                           |   | 392.89                           | 0.00                               |   | 3,182.26                                   |   | 47,691.75                            |
| 2021      |     | 24.46                               |   | 864.19                             |   | 9.17                             |   | 324.07                           | 99.26                               | 9.35                                | 3,941.38                                   |   | 0.00                                  | 651.36                           |   | 367.73                           | 0.00                               |   | 2,922.29                                   |   | 48,473.32                            |
| 2022      |     | 21.75                               |   | 820.99                             |   | 8.16                             |   | 307.87                           | 99.26                               | 9.35                                | 3,688.97                                   |   | 0.00                                  | 651.36                           |   | 345.42                           | 0.00                               |   | 2,692.19                                   |   | 49,125.15                            |
|      |     |                                |   |                               |   |                             |   |                             |                                     |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
| **Rem.**  |     | 151.92                              |   | 11,621.83                          |   | 56.97                            |   | 4,358.19                         | 99.26                               | 9.35                                | 46,413.42                                  |   | 0.00                                  | 17,194.76                        |   | 4,477.35                         | 0.00                               |   | 24,741.31                                  |   | 3,112.96                             |
| **Total** | **42.1** | **1,574.12**                        |   | **32,828.88**                      |   | **590.30**                       |   | **12,310.83**                    | **99.26**                           | **9.24**                            | **172,313.79**                             |   | **0.00**                              | **26,446.77**                    |   | **15,532.08**                    | **22,075.00**                      |   | **108,259.94**                             |   | **52,238.11**                        |
| **Ult.**  |     | **1,574.12**                        |   | ******32,828.88**                  |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |

| **Eco. Indicators**             |   |   |                           |         |   |          |   |   |         |   |          |
|---------------------------------|--------|--------|--------------------------------|--------------|--------|---------------|--------|--------|--------------|--------|---------------|
| Return on Investment (disc) :   | 3.480  |   |                           |         |   |          |   |   |         |   |          |
| Return on Investment (undisc) : | 5.904  |   |                           |         |   |          |   |   |         |   |          |
| Years to Payout :               | 1.31   |   | **Present Worth Profile (M$)** |
| Internal Rate of Return (%) :   | 105.59 |   | **PW**                         | **5.00% :**  |   | **71,610.76** |   | **PW** | **20.00% :** |   | **32,203.56** |
|                            |   |   | **PW**                         | **8.00% :**  |   | **58,757.69** |   | **PW** | **30.00% :** |   | **21,722.50** |
|                            |   |   | **PW**                         | **10.00% :** |   | **52,238.11** |   | **PW** | **40.00% :** |   | **15,183.64** |
|                            |   |   | **PW**                         | **12.00% :** |   | **46,854.76** |   | **PW** | **50.00% :** |   | **10,706.60** |
|                            |   |   | **PW**                         | **15.00% :** |   | **40,324.67** |   | **PW** | **60.00% :** |   | **7,465.49**  |
|                            |   |   |                           |         |   |          |   |   |         |   |          |

----

| 5/19/2008                                                                                                                | 8:43:18AM                    |             | **Economic One-Liners****** |        |
|--------------------------------------------------------------------------------------------------------------------------|------------------------------|------------------|-----------------------------|--------|
|                                                                                                                     |                         |             |
| **Project Name:              ReoStar      Energy Corp** | **As of Date: 4/1/2008****** |             |
|                                                                                                                     |                         |             |                        |   |
| **Ownership Group:      All        Cases**                                                      |                         | **BARNETT AREA** |

|                                 |               | **Net Reserves**      |   | **Net Revenue**       | **Expense** |                |   | **Cash Flow**       |                  |
|---------------------------------|--------------------|-----------------------|--------|-----------------------|-------------|---------------------|--------|---------------------|-----------------------|
| **Lease Name*Risked*/UnRisked** | *Reserve Category* | **Oil        (Mbbl)** |   | **Gas        (MMcf)** |        | **Oil        (M$)** |   | **Gas        (M$)** | **Other        (M$)** | **& Tax        (M$)** |   | **Invest.        (M$)** | **Non-Disc.        (M$)** |   | **Disc. 10%        (M$)** | **Life        (years)** |

| **Grand Total**                           | **Total** | **590.30** |   | **12,310.83** |   | **58,589.97** |   | **113,723.82** | **0.00** | **41,978.85** |   | **22,075.00** | **108,259.94** |   | **52,238.11** | **42.11** |
|-------------------------------------------|-----------|------------|--------|---------------|--------|---------------|--------|----------------|----------|---------------|--------|---------------|----------------|--------|---------------|-----------|
|                                      |      |       |   |          |   |          |   |           |     |          |   |          |           |   |          |      |
| **Proved Producing Rsv Class & Category** | **Total** | **590.30** |   | **12,310.83** |   | **58,589.97** |   | **113,723.82** | **0.00** | **41,978.85** |   | **22,075.00** | **108,259.94** |   | **52,238.11** | **42.11** |
| BERRY 2 Offset PUD                        | *P-UP*    | 14.92      |   | 312.72        |   | 1.481.14      |   | 2,883.99       | 0.00     | 1,062.80      |   | 550.00        | 2.752.27       |   | 1,397.92      | 41.13     |
| BOYD 1 Offset PUD                         | *P-UP*    | 14.88      |   | 312.74        |   | 1,476.73      |   | 2,884.28       | 0.00     | 1,061.20      |   | 550.00        | 2,749.81       |   | 1.395.80      | 41.08     |
| BOYD 2 Offset PUD                         | *P-UP*    | 14.88      |   | 312.58        |   | 1.476.74      |   | 2,883.12       | 0.00     | 1,061.20      |   | 550.00        | 2,748.66       |   | 1,390.01      | 41.11     |
| BUSBY 1 Offset PUD                        | *P-UP*    | 9.19       |   | 114.03        |   | 912.08        |   | 1,043.54       | 0.00     | 540.87        |   | 625.00        | 789.74         |   | 465.87        | 23.15     |
| CRAIG MUNCASTER 1 Offset PUD              | *P-UP*    | 15.08      |   | 313.4         |   | 1,496.69      |   | 2,891.10       | 0.00     | 1,068.98      |   | 550,00        | 2,768.82       |   | 1,387.08      | 41.48     |
| CRAIG MUNCASTER 2 Offset PUI              | *P-UP*    | 14.88      |   | 312.75        |   | 1,477.17      |   | 2,885.20       | 0.00     | 1,061.44      |   | 550.00        | 2,750.92       |   | 1,380.56      | 41.17     |
| CRAIG MUNCASTER 3 Offset PUI              | *P-UP*    | 14.88      |   | 312.75        |   | 1,477.18      |   | 2,885.46       | 0.00     | 1,061.47      |   | 550.00        | 2,751.16       |   | 1,376.96      | 41.19     |
| CRAIG MUNCASTER 4 Offset PUI              | *P-UP*    | 15.08      |   | 313.41        |   | 1,496.69      |   | 2,891.90       | 0.00     | 1,069.05      |   | 550.00        | 2,769.55       |   | 1,375.91      | 41.57     |
| CRAIG MUNCASTER 5 Offset PUI              | *P-UP*    | 15.08      |   | 313.41        |   | 1,496.68      |   | 2.892.16       | 0.00     | 1,069.06      |   | 550.00        | 2,769.78       |   | 1,372.34      | 41.60     |
| CRAIG MUNCASTER 6 Offset PUI              | *P-UP*    | 14.88      |   | 312.75        |   | 1,477.17      |   | 2,886.22       | 0.00     | 1.061.48      |   | 550.00        | 2,751.91       |   | 1,365.93      | 41.28     |
| CRAIG MUNCASTER 7 Offset PUI              | *P-UP*    | 14.89      |   | 312.86        |   | 1,477.42      |   | 2.887.45       | 0.00     | 1,061.66      |   | 550.00        | 2,753.21       |   | 1,363.19      | 41.31     |
| CRANDALL 1 Offset PUD                     | *P-UP*    | 14.89      |   | 312.86        |   | 1,477.42      |   | 2,887.71       | 0.00     | 1,061.69      |   | 550.00        | 2,753.44       |   | 1,359.64      | 41.33     |
| CRANDALL 2 Offset PUD                     | *P-UP*    | 14.89      |   | 312.86        |   | 1,477,43      |   | 2,887.98       | 0.00     | 1,061.72      |   | 550,00        | 2,753.69       |   | 1,356.11      | 41.36     |
| CRANDALL 3 Offset PUD                     | *P-UP*    | 14.89      |   | 312.76        |   | 1,477.42      |   | 2,887.40       | 0.00     | 1,061.70      |   | 550.00        | 2,753.11       |   | 1,351.47      | 41.39     |
| FORD 1 Offset PUD                         | *P-UP*    | 14.89      |   | 312.76        |   | 1,477.42      |   | 2,887.66       | 0.00     | 1,061.73      |   | 550.00        | 2,753.35       |   | 1,347.96      | 41.42     |
| FORD Offset PUD                           | *P-UP*    | 14.89      |   | 312.76        |   | 1,477.43      |   | 2,887.93       | 0.00     | 1,061.76      |   | 550.00        | 2,753.59       |   | 1,344.46      | 41.45     |
| HAMILTON Offset PUD                       | *P-UP*    | 14.89      |   | 312.76        |   | 1,477.42      |   | 2,888.23       | 0.00     | 1,061.79      |   | 550.00        | 2,753.86       |   | 1,340.62      | 41.48     |
| INGLISH 10 PUD (named)                    | *P-UP*    | 14.89      |   | 312.76        |   | 1,477.42      |   | 2,888.50       | 0.00     | 1,061.81      |   | 550.00        | 2,754.11       |   | 1,337.16      | 41.51     |
| INGLISH 11 PUD (named)                    | *P-UP*    | 14.89      |   | 312.76        |   | 1,477.44      |   | 2,888.78       | 0.00     | 1,061.82      |   | 550.00        | 2,754,39       |   | 1,333.73      | 41.53     |
| INGLISH 12 PUD (named)                    | *P-UP*    | 14.89      |   | 312.76        |   | 1,477.21      |   | 2,889.05       | 0.00     | 1,061.83      |   | 550.00        | 2,754.42       |   | 1,330.25      | 41.56     |
| INGLISH 14 PUD (named)                    | *P-UP*    | 14.89      |   | 312.76        |   | 1,477.42      |   | 2,889.32       | 0.00     | 1,061.88      |   | 550,00        | 2,754.86       |   | 1,326.82      | 41.59     |
| INGLISH 15 PUD (named)                    | *P-UP*    | 14.89      |   | 312.76        |   | 1,477.43      |   | 2,889.60       | 0.00     | 1,061.91      |   | 550.00        | 2,755.11       |   | 1,323.38      | 41.62     |
| INGLISH 16 PUD (named)                    | *P-UP*    | 14.89      |   | 312.76        |   | 1,477.22      |   | 2,889.90       | 0.00     | 1,062.09      |   | 550.00        | 2,755.03       |   | 1,319.59      | 41.65     |
| INGLISH B 1 PUD                           | *P-UP*    | 14.89      |   | 312.76        |   | 1,477.42      |   | 2,890.18       | 0.00     | 1,062.14      |   | 550.00        | 2,755.46       |   | 1,316.21      | 41.67     |
| INGLISH B 2 PUD                           | *P-UP*    | 14.89      |   | 312.76        |   | 1,477.44      |   | 2,890.47       | 0.00     | 1,062.16      |   | 550.00        | 2,755.75       |   | 1,312.84      | 41.70     |
| INGLISH B 3 PUD                           | *P-UP*    | 14.89      |   | 312.86        |   | 1,477.22      |   | 2,891.62       | 0.00     | 1,062.21      |   | 550.00        | 2,756.63       |   | 1,310.17      | 41.72     |
| INGLISH D 11 PUD (named)                  | *P-UP*    | 14.89      |   | 312.86        |   | 1,477.42      |   | 2,891.91       | 0.00     | 1,062.26      |   | 550.00        | 2,757.07       |   | 1,306.80      | 41.75     |
| INGLISH D 12 PUD (named)                  | *P-UP*    | 14.89      |   | 310.74        |   | 1,477.11      |   | 2,873.04       | 0.00     | 1,061.14      |   | 550.00        | 2,739.01       |   | 1,286.39      | 41.83     |
| INGLISH D 15 PUD (named)                  | *P-UP*    | 14.89      |   | 312.56        |   | 1,477.41      |   | 2,889.86       | 0.00     | 1,062.18      |   | 550.00        | 2,755.08       |   | 1,297.47      | 41.82     |
| INGLISH D 17 Offset PUD                   | *P-UP*    | 14.89      |   | 312.56        |   | 1,477.42      |   | 2,890.15       | 0.00     | 1,062.21      |   | 550.00        | 2,755.35       |   | 1,294.13      | 41.85     |
| INGLISH D 4 Offset PUD                    | *P-UP*    | 14.89      |   | 312.56        |   | 1,477.42      |   | 2,890.44       | 0.00     | 1,062.25      |   | 550.00        | 2,755,61       |   | 1,290.78      | 41.87     |

----

| 5/19/2008                                                                                                                | 8:43:18AM                    |             | **Economic One-Liners****** |        |
|--------------------------------------------------------------------------------------------------------------------------|------------------------------|------------------|-----------------------------|--------|
|                                                                                                                     |                         |             |
| **Project Name:              ReoStar      Energy Corp** | **As of Date: 4/1/2008****** |             |
|                                                                                                                     |                         |             |                        |   |
| **Ownership Group:      All        Cases**                                                      |                         | **BARNETT AREA** |

|                                 |               | **Net Reserves**      |   | **Net Revenue**       | **Expense** |                |   | **Cash Flow**       |                  |
|---------------------------------|--------------------|-----------------------|--------|-----------------------|-------------|---------------------|--------|---------------------|-----------------------|
| **Lease Name*Risked*/UnRisked** | *Reserve Category* | **Oil        (Mbbl)** |   | **Gas        (MMcf)** |        | **Oil        (M$)** |   | **Gas        (M$)** | **Other        (M$)** | **& Tax        (M$)** |   | **Invest.        (M$)** | **Non-Disc.        (M$)** |   | **Disc. 10%        (M$)** | **Life        (years)** |

| INGLISH D 5 Offset PUD       | *P-UP* | 14.88 |   | 312.56 |   | 1,477.41 |   | 2,890.76  | 0.00 | 1,062.25 |   | 550.00 | 2,755.92 |   | 1,287.15 | 41.90 |
|------------------------------|--------|-------|--------|--------|--------|----------|--------|-----------|------|----------|--------|--------|----------|--------|----------|-------|
| INGLISH D 7 Offset PUD       | *P-UP* | 14.88 |   | 312.56 |   | 1,477.41 |   | 2.,891.05 | 0.00 | 1,062.24 |   | 550.00 | 2,756.23 |   | 1,283.88 | 41.91 |
| INGLISH D 9 Offset PUD       | *P-UP* | 14.89 |   | 312.76 |   | 1,477.44 |   | 2.893.07  | 0.00 | 1,062.31 |   | 550,00 | 2,758.19 |   | 1.282.78 | 41.95 |
| INGLISH SISTERS 3 Offset PUD | *P-UP* | 14.89 |   | 312.76 |   | 1,477.42 |   | 2,893.36  | 0.00 | 1,062.34 |   | 550.00 | 2,758.45 |   | 1.279.48 | 41.97 |
| MUNCASTER 1 Offset PUD       | *P-UP* | 14.88 |   | 312.76 |   | 1,477.42 |   | 2.893.66  | 0.00 | 1,062.37 |   | 550.00 | 2,758.71 |   | 1.276.19 | 42.00 |
| MUNCASTER 2 Offset PUD       | *P-UP* | 14.89 |   | 312.76 |   | 1,477.43 |   | 2.893.96  | 0.00 | 1,062.41 |   | 550.00 | 2,758.98 |   | 1.272.90 | 42.03 |
| MUNCASTER 3 Offset PUD       | *P-UP* | 14.89 |   | 312.76 |   | 1,477.42 |   | 2.894.29  | 0.00 | 1,062.43 |   | 550.00 | 2,759.28 |   | 1.269.30 | 42.06 |
| SHERMAN MUNCASTER 1 Offset   | *P-UP* | 14.88 |   | 312.86 |   | 1,477.42 |   | 2,894.60  | 0.00 | 1,062.46 |   | 550.00 | 2,759.55 |   | 1,266.06 | 42.09 |
| SHERMAN MUNCASTER 2 Offset   | *P-UP* | 14.89 |   | 312.86 |   | 1,477.44 |   | 2.894.91  | 0.00 | 1,062,48 |   | 550.00 | 2,759.87 |   | 1.262.84 | 42.11 |

----

| **Date:       Partner:**    | 5/22/2008         All Cases | 3:08:18PM | **ECONOMIC SUMMARY PROJECTION****ReoStar Energy Corp**                                                                                                                                                      | **Proved Producing Rsv Class & Category** |
|-----------------------------|-----------------------------|-----------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------|
|                        |                        |      | **Custom Selection         Discount Rate:** 10.00                           **   As of:** 4/1/2008 | ** **                                |
|                        |                        |      |                                                                                                                                                                                                        |                                      |
|                        |                        |           |                                                                                                                                                                                                        |                                      |
| **Est. Cum Oil (Mbbl) :**   | **0.00**                    |      | **CORSICANA AREA**                                                                                                                                                                                          |
| **Est. Cum Gas (MMcf) :**   | **0.00**                    |      |                                                                                                                                                                                                        |
| **Est. Cum Water (Mbbl) :** | **0.00**                    |      |                                                                                                                                                                                                        |

|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|-----------|----------|-------------------------------------|--------|------------------------------------|--------|----------------------------------|--------|----------------------------------|-------------------------------------|-------------------------------------|--------------------------------------------|--------|---------------------------------------|----------------------------------|--------|----------------------------------|------------------------------------|--------|--------------------------------------------|--------|--------------------------------------|
| **Year**  |     | **Oil         Gross        (Mbbl)** |   | **Gas        Gross        (MMcf)** |   | **Oil        Net        (Mbbl)** |   | **Gas        Net        (MMcf)** | **Oil        Price        ($/bbl)** | **Gas        Price        ($/Mcf)** | **Oil & Gas         Rev. Net        (M$)** |   | **Misc.        Rev. Net        (M$)** | **Costs        Net        (M$)** |   | **Taxes        Net        (M$)** | **Invest.        Net        (M$)** |   | **NonDisc.         CF Annual        (M$)** |   | **Cum         Disc. CF        (M$)** |
| 2008      |     | 1.75                                |   | 0.00                               |   | 0.69                             |   | 0.00                             | 99.33                               | 0.00                                | 64.10                                      |   | 0.00                                  | 3.92                             |   | 4.55                             | 2,.177.00                          |   | -2,221.37                                  |   | -2,120.70                            |
| 2009      |     | 36.98                               |   | 0.00                               |   | 27.01                            |   | 0.00                             | 99.33                               | 0.00                                | 2,520.29                                   |   | 0.00                                  | 1,015.65                         |   | 178.94                           | 10,979.85                          |   | -9,654.15                                  |   | -10,803.95                           |
| 2010      |     | 667.31                              |   | 0.00                               |   | 520.64                           |   | 0.00                             | 99.33                               | 0.00                                | 48,588.55                                  |   | 0.00                                  | 3,608.90                         |   | 3,449.79                         | 14,271.97                          |   | 27.157.89                                  |   | 9,856.16                             |
| 2011      |     | 1,552.81                            |   | 0.00                               |   | 1,194.85                         |   | 0.00                             | 99.33                               | 0.00                                | 111,509.59                                 |   | 0.00                                  | 4,033.71                         |   | 7,917.18                         | 7,331.10                           |   | 92,227.60                                  |   | 76,714.03                            |
| 2012      |     | 1,133.42                            |   | 0.00                               |   | 861.46                           |   | 0.00                             | 99.33                               | 0.00                                | 80,395.99                                  |   | 0.00                                  | 4,652.30                         |   | 5,708.12                         | 2,186.47                           |   | 67,849.11                                  |   | 121,197.02                           |
| 2013      |     | 947.76                              |   | 0.00                               |   | 711.61                           |   | 0.00                             | 99.33                               | 0.00                                | 66,411.19                                  |   | 0.00                                  | 5,390.83                         |   | 4,715.19                         | 16,334.20                          |   | 39,970.97                                  |   | 145,180.46                           |
| 2014      |     | 954.97                              |   | 0.00                               |   | 723.01                           |   | 0.00                             | 99.33                               | 0.00                                | 67,474.80                                  |   | 0.00                                  | 7,028.29                         |   | 4,790.71                         | 0.00                               |   | 55,655.80                                  |   | 175,000.17                           |
| 2015      |     | 1,115.85                            |   | 0.00                               |   | 929.67                           |   | 0.00                             | 99.33                               | 0.00                                | 86,76206                                   |   | 0.00                                  | 6,892.27                         |   | 6,160.11                         | 7,766.63                           |   | 65,943.05                                  |   | 207,149.72                           |
| 2016      |     | 809.97                              |   | 0.00                               |   | 620.92                           |   | 0.00                             | 99.33                               | 0.00                                | 57,948.04                                  |   | 0.00                                  | 4,888.40                         |   | 4,114.31                         | 0.00                               |   | 48,945.34                                  |   | 228,703.25                           |
| 2017      |     | 768.15                              |   | 0.00                               |   | 590.75                           |   | 0.00                             | 99.33                               | 0.00                                | 55,132.38                                  |   | 0.00                                  | 4,597.88                         |   | 3,914.40                         | 8,331.60                           |   | 38.188.51                                  |   | 244,021.46                           |
| 2018      |     | 590.33                              |   | 0.00                               |   | 444.99                           |   | 0.00                             | 99.33                               | 0.00                                | 41,529.28                                  |   | 0.00                                  | 4,255.85                         |   | 2,948.58                         | 0.00                               |   | 34,324.84                                  |   | 256,369.77                           |
| 2019      |     | 577.93                              |   | 0.00                               |   | 436.46                           |   | 0.00                             | 99.33                               | 0.00                                | 40,733.11                                  |   | 0.00                                  | 4,230.37                         |   | 2,892.05                         | 7,459.71                           |   | 26,150.97                                  |   | 264,903.51                           |
| 2020      |     | 581.01                              |   | 0.00                               |   | 450.88                           |   | 0.00                             | 99.33                               | 0.00                                | 42,078.71                                  |   | 0.00                                  | 3,802.06                         |   | 2,987.59                         | 6,945.25                           |   | 28,343.82                                  |   | 273.102.28                           |
| 2021      |     | 808.89                              |   | 0.00                               |   | 628.49                           |   | 0.00                             | 99.33                               | 0.00                                | 58,653.77                                  |   | 0.00                                  | 4,000.61                         |   | 4,164.42                         | 4,501.55                           |   | 45,987.19                                  |   | 285,441.99                           |
| 2022      |     | 798.22                              |   | 0.00                               |   | 613.93                           |   | 0.00                             | 99.33                               | 0.00                                | 57,295.05                                  |   | 0.00                                  | 3,963.67                         |   | 4,067.95                         | 7,716.95                           |   | 41,546.48                                  |   | 295,482.45                           |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
|      |     |                                |   |                               |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |
| **Rem.**  |     | 2,168.59                            |   | 0.00                               |   | 1,638.41                         |   | 0.00                             | 99.33                               | 0.00                                | 152,905.68                                 |   | 0.00                                  | 15,813.28                        |   | 10,856.30                        | 0.00                               |   | 126,236.10                                 |   | 25,227.64                            |
| **Total** | **20.7** | **13,613.93**                       |   | **0.00**                           |   | **10,393.77**                    |   | **0.00**                         | **99.33**                           | **0.00**                            | **970,002.60**                             |   | **0.00**                              | **78,177.99**                    |   | **68,870.18**                    | **96,102.28**                      |   | **726,852.15**                             |   | **320,710.09**                       |
| **Ult.**  |     | **13,613.93**                       |   | ******0.00**                       |   |                             |   |                             |                                |                                |                                       |   |                                  |                             |   |                             |                               |   |                                       |   |                                 |

| **Eco. Indicators**             |   |   |                           |         |   |           |   |   |         |   |           |
|---------------------------------|--------|--------|--------------------------------|--------------|--------|----------------|--------|--------|--------------|--------|----------------|
| Return on Investment (disc) :   | 6.848  |   |                           |         |   |           |   |   |         |   |           |
| Return on Investment (undisc) : | 8.563  |   |                           |         |   |           |   |   |         |   |           |
| Years to Payout :               | 3.25   |   | **Present Worth Profile (M$)** |
| Internal Rate of Return (%) :   | 118.25 |   | **PW**                         | **5.00% :**  |   | **471,243.08** |   | **PW** | **20.00% :** |   | **166,456.66** |
|                            |   |   | **PW**                         | **8.00% :**  |   | **372,089.19** |   | **PW** | **30.00% :** |   | **95,693.20**  |
|                            |   |   | **PW**                         | **10.00% :** |   | **320,710.09** |   | **PW** | **40.00% :** |   | **58,302.35**  |
|                            |   |   | **PW**                         | **12.00% :** |   | **278,229.97** |   | **PW** | **50.00% :** |   | **36,597.01**  |
|                            |   |   | **PW**                         | **15.00% :** |   | **227,319.24** |   | **PW** | **60.00% :** |   | **23,213.96**  |
|                            |   |   |                           |         |   |           |   |   |         |   |           |

----

| 5/22/2008                                                                                                                | 3:16:59PM                    |               | **Economic One-Liners****** |        |
|--------------------------------------------------------------------------------------------------------------------------|------------------------------|--------------------|-----------------------------|--------|
|                                                                                                                     |                         |               |
| **Project Name:              ReoStar      Energy Corp** | **As of Date: 4/1/2008****** |               |
|                                                                                                                     |                         |               |                        |   |
| **Ownership Group:      All        Cases**                                                      |                         | **CORSICANA AREA** |

|                                 |               | **Net Reserves**      |   | **Net Revenue**       | **Expense** |                |   | **Cash Flow**       |                  |
|---------------------------------|--------------------|-----------------------|--------|-----------------------|-------------|---------------------|--------|---------------------|-----------------------|
| **Lease Name*Risked*/UnRisked** | *Reserve Category* | **Oil        (Mbbl)** |   | **Gas        (MMcf)** |        | **Oil        (M$)** |   | **Gas        (M$)** | **Other        (M$)** | **& Tax        (M$)** |   | **Invest.        (M$)** | **Non-Disc.        (M$)** |   | **Disc. 10%        (M$)** | **Life        (years)** |

| **Grand Total**                           | **Total** | **10,393.77** |   | **0.00** |   | **970,002.60** |   | **0.00** | **0.00** | **147,048.17** |   | **96,102.28** | **726,852.15** |   | **320,710.09** | **20.71** |
|-------------------------------------------|-----------|---------------|--------|----------|--------|----------------|--------|----------|----------|----------------|--------|---------------|----------------|--------|----------------|-----------|
|                                      |      |          |   |     |   |           |   |     |     |           |   |          |           |   |           |      |
| **Proved Producing Rsv Class & Category** | **Total** | **10,393.77** |   | **0.00** |   | **970,002.60** |   | **0.00** | **0.00** | **147,048.17** |   | **96,102.28** | **726,852.15** |   | **320,710.09** | **20.71** |
| BARRY (Poly)                              | *P-UD*    | 378.045       |   | 0.00     |   | 35,319.32      |   | 0.00     | 0.00     | 5,30.1l        |   | 3,344.01      | 26,674.20      |   | 18,259.83      | 7.58      |
| BENTON (Poly)                             | *P-UD*    | 203.78        |   | 0.00     |   | 19,018.10      |   | 0.00     | 0.00     | 2,855.48       |   | 1,800.62      | 14,362.00      |   | 9,751.98       | 7.62      |
| BLACKBURN (Poly)                          | *P-UD*    | 413.86        |   | 0.00     |   | 38,623.74      |   | 0.00     | 0.00     | 6,078.76       |   | 3,987.09      | 28,557.88      |   | 18,584.20      | 8.06      |
| BOUNDS REX T (Poly)                       | *P-UD*    | 196.19        |   | 0.00     |   | 18,309.71      |   | 0.00     | 0.00     | 2,696.96       |   | 1,672.01      | 13,940.74      |   | 9,576.78       | 7.56      |
| BREITHAUPT (Poly)                         | *P-UD*    | 489.14        |   | 0.00     |   | 45,649.26      |   | 0.00     | 0.00     | 7,002.16       |   | 4,501.55      | 34,145.55      |   | 7,045.65       | 19.59     |
| CA BRIEFHOUFT (Poly)                      | *P-UD*    | 572.99        |   | 0.00     |   | 53,474.85      |   | 0.00     | 0.00     | 8,208.93       |   | 5,273.25      | 39,992.68      |   | 7,379.59       | 20.71     |
| CAVENDER -B- (Poly)                       | *P-UD*    | 87.34         |   | 0.00     |   | 8,150.61       |   | 0.00     | 0.00     | 1,224.16       |   | 771.69        | 6,154.76       |   | 4,093.47       | 7.82      |
| CENTRAL PETROLEUM CO (Poly                | *P-UD*    | 1,179.03      |   | 0.00     |   | 110,033.27     |   | 0.00     | 0.00     | 16,529.16      |   | 10,417.88     | 83,086.22      |   | 54,429.45      | 8.02      |
| CHAPMAN #1 Pecan Gap                      | *P-UD*    | 2.46          |   | 0.00     |   | 229.82         |   | 0.00     | 0.00     | 82.16          |   | 73.50         | 74.16          |   | 37.01          | 14.42     |
| CHAPMAN #2 Pccan Gap                      | *P-UD*    | 2.46          |   | 0.00     |   | 229.82         |   | 0.00     | 0.00     | 82.15          |   | 73.50         | 74.17          |   | 36.71          | 14.51     |
| CHAPMAN #3 (Glenn Rose)                   | *P-UD*    | 3.55          |   | 0.00     |   | 331.45         |   | 0.00     | 0.00     | 101.98         |   | 147.00        | 82.47          |   | 18.05          | 17.35     |
| CIIAPMAN #4 Pecan Gap                     | *P-UD*    | 2.46          |   | 0.00     |   | 229.82         |   | 0.00     | 0.00     | 82.15          |   | 73.50         | 74,17          |   | 36.40          | 14.59     |
| CHAPMAN -C- (Poly)                        | *P-UD*    | 783.88        |   | 0.00     |   | 73,155.50      |   | 0.00     | 0.00     | 11,327.36      |   | 7,331.10      | 54,497.04      |   | 30,279.74      | 9.64      |
| DREEBEN CEN PET (Poly)                    | *P-UD*    | 237.96        |   | 0.00     |   | 22,207.92      |   | 0.00     | 0.00     | 3,406.19       |   | 2,186.47      | 16,615.26      |   | 8,208.77       | 10.83     |
| FLEMING -A- (Poly)                        | *P-UD*    | 422.12        |   | 0.00     |   | 39,394.63      |   | 0.00     | 0.00     | 5,917.85       |   | 3,729.86      | 29,746.92      |   | 14,203.52      | 1l.18     |
| GARVIN J A (Poly)                         | *P-UD*    | 195.66        |   | 0.00     |   | 18,259.71      |   | 0.00     | 0.00     | 2,803.69       |   | 1,800.62      | 13,655.39      |   | 6,132.21       | 11.79     |
| GIBSON (Poly)                             | *P-UD*    | 1,222.70      |   | 0.00     |   | 114,108.57     |   | 0.00     | 0.00     | 17,146.81      |   | 10,803.72     | 86,158.04      |   | 37,630.44      | 12.08     |
| HILL GILLETTE (Poly)                      | *P-UD*    | 272.6         |   | 0.00     |   | 25,440.80      |   | 0.00     | 0.00     | 3,848.78       |   | 2,443.70      | 19,148.32      |   | 3,678.12       | 20.32     |
| KERR1 & 2 (Poly)                      | *P-UD*    | 771.46        |   | 0.00     |   | 71,997.08      |   | 0.00     | 0.00     | 10,813.50      |   | 7,766.63      | 53,416.95      |   | 19,500.08      | 13.82     |
| KING -B- (Poly)                           | *P-UD*    | 40.7          |   | 0.00     |   | 3,801.85       |   | 0.00     | 0.00     | 589.41         |   | 1,208.04      | 2,004.39       |   | 549.26         | 15.33     |
| MCKINNEY (Poly)                           | *P-UD*    | 330.9         |   | 0.00     |   | 30,887.76      |   | 0.00     | 0.00     | 4,874.36       |   | 4,165.39      | 21,848.01      |   | 6,707.62       | 15.43     |
| MCKINNEY PECAN GAP PUD I                  | *P-UD*    | 4.44          |   | 0.00     |   | 414.42         |   | 0.00     | 0.00     | 152.63         |   | 76.00         | 185.79         |   | 107.97         | 14.93     |
| MCKINNEY PECAN GAP PUD 2                  | *P-UD*    | 4.44          |   | 0.00     |   | 414.42         |   | 0.00     | 0.00     | 152.62         |   | 76.00         | 185.80         |   | 107.56         | 14.97     |
| MUNSEY & MUNSEY (Poly)                    | *P-UD*    | 336.95        |   | 0.00     |   | 31,446.18      |   | 0.00     | 0.00     | 4,707.40       |   | 2,958.16      | 23,780.61      |   | 7,051.79       | 15.97     |
| PIERCE (Poly)                             | *P-UD*    | 588.58        |   | 0.00     |   | 54,929.13      |   | 0.00     | 0.00     | 8,091.92       |   | 5,016.01      | 41,821.19      |   | 28,994.68      | 7.45      |
| PIERCE HELEN H FEE (Poly)                 | *P-UD*    | 543.30        |   | 0.00     |   | 50,703.81      |   | 0.00     | 0.00     | 7,468.33       |   | 4,630.17      | 38,605.32      |   | 10,075.22      | 17.26     |
| STOUT (Poly)                              | *P-UD*    | 320.23        |   | 0.00     |   | 29,885.58      |   | 0.00     | 0.00     | 4,488.34       |   | 2,829.55      | 22,567.69      |   | 5,459.28       | 18.01     |
| WORTHEY J A (Poly)                        | *P-UD*    | 247.45        |   | 0.00     |   | 23,093.40      |   | 0.00     | 0.00     | 3,466.99       |   | 2,186.47      | 17,439.94      |   | 4,030.99       | 18.47     |
| WRIGHT -A- (Poly)                         | *P-UD*    | 145.56        |   | 0.00     |   | 13,584.35      |   | 0.00     | 0.00     | 2,040.43       |   | 1,286.16      | 10,257.72      |   | 2,289.01       | 18.82     |
| WRIGHT J J W & H (Poly)                   | *P-UD*    | 393.01        |   | 0.00     |   | 36,677.76      |   | 0.00     | 0.00     | 5,506.35       |   | 3,472.63      | 17,698.78      |   | 6,45472        | 18.38     |

----

----

|                                                                                                                                           | **Properties Ranked by Discounted Value**                                                                                        |                                                                                                            |
|------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------|
|                                                                                                                                           |                                                                                                                             |                  5/28/2008 |
|                                                                                                                                           |                As        Of Date:   4/1/008 |                 3:26:05PM       |
|                                                                                                                                           | Discount Rate (%):     10.00                                                                                 |                                                                                                            |
|                                                                                                                                           |                                                                                                                             |                                                                                                            |
| **Project Name:         **ReoStar      Energy Corp                                                     |                                                                                                                             |                                                                                                            |
| **Partner:****     **             All      Cases**** |                                                                                                                             |                                                                                                            |

|  |
|--|

----

|                                                                                                                                           | **Properties Ranked by Discounted Value**                                                                                        |                                                                                    |
|------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------|
|                                                                                                                                           |                                                                                                                             |              5/28/2008 |
|                                                                                                                                           |                As        Of Date:   4/1/008 |             3:26:05PM       |
|                                                                                                                                           | Discount Rate (%):     10.00                                                                                 |                                                                                    |
|                                                                                                                                           |                                                                                                                             |                                                                                    |
| **Project Name:         **ReoStar      Energy Corp                                                     |                                                                                                                             |                                                                                    |
| **Partner:****     **             All      Cases**** |                                                                                                                             |                                                                                    |

|  |
|--|

----

|                                                                                                                                           | **Properties Ranked by Discounted Value**                                                                                        |                                                                              |
|------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------|
|                                                                                                                                           |                                                                                                                             |             5/28/2008 |
|                                                                                                                                           |                As        Of Date:   4/1/008 |             3:26:05PM |
|                                                                                                                                           | Discount Rate (%):     10.00                                                                                 |                                                                              |
|                                                                                                                                           |                                                                                                                             |                                                                              |
| **Project Name:         **ReoStar      Energy Corp                                                     |                                                                                                                             |                                                                              |
| **Partner:****     **             All      Cases**** |                                                                                                                             |                                                                              |

|  |
|--|

----

|                                                                                                                                           | **Properties Ranked by Discounted Value**                                                                                        |                                                                              |
|------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------|
|                                                                                                                                           |                                                                                                                             |             5/28/2008 |
|                                                                                                                                           |                As        Of Date:   4/1/008 |             3:26:05PM |
|                                                                                                                                           | Discount Rate (%):     10.00                                                                                 |                                                                              |
|                                                                                                                                           |                                                                                                                             |                                                                              |
| **Project Name:         **ReoStar      Energy Corp                                                     |                                                                                                                             |                                                                              |
| **Partner:****     **             All      Cases**** |                                                                                                                             |                                                                              |

|  |
|--|

----

----

|   | 1.     | Reservoirs are considered proved if economic      producibility is supported by either actual production or conclusive formation      test. The area of a reservoir considered proved includes: (a) that portion      delineated by drilling and defined by gas-oil and/or oil-water contacts,      if any; and (b) the immediately adjoining portions not yet drilled, but      which can be reasonably judged as economically productive on the basis of      available geological and engineering data. In the absence of information      on fluid contacts, the lowest known structural occurrence of hydrocarbons      controls the lower proved limit of the reservoir. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|   | 2.     | Reserves which can be produced economically      through application of improved recovery techniques (such as fluid injection)      arc included in the "proved" classification when successful testing by a      pilot project, or the operation of an installed program in the reservoir,      provides support for the engineering analysis on which the project or program      was based.                                                                                                                                                                                                                                                                                 |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|   | 3.     | Estimates of proved reserves do not include      the following: (a) oil that may become available from known reservoirs but      is classified separately as "indicated additional reserves"; (b) crude oil,      natural gas, and natural gas liquids, the recovery of which is subject to      reasonable doubt because of uncertainty as to geology, reservoir characteristics,      or economic factors; (c) crude oil, natural gas, and natural gas liquids,      that may occur in undrilled prospects; and (d) crude oil, natural gas, and      natural gas liquids, that may be recovered from oil shales, coal, gilsonite,      and other such sources.               |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |

----

----

----

| (1)    | The reserve estimates presented in this report      have been calculated using deterministic procedures. The reserves shown      in this report are those estimated to be recoverable under the guidelines      of the Securities and Exchange Commission (SEC). The definition for proved      oil and gas reserves in accordance with SEC Regulation S-X are set forth      in this report.                                                                                        |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| (2)    | The estimated future net revenue shown in the      cash flow projections is that revenue which should bc realized from the      sale of the estimated net reserves. Surface and well equipment salvage values      have 110t been considered in the revenue projections. Future net revenue      as stated in this report is before the deduction of federal income tax.                                                                                                             |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| (3)    | The discounted future net revenue is not represented      to be the fair market value of these reserves. The estimated reserves included      in the cash flow projections have 110t been adjusted for risk.                                                                                                                                                                                                                                                                         |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| (4)    | The reserves included in this study are estimates      only and should not be construed as exact quantities. Future conditions      may affect recovery of estimated reserves and revenue, and all categories      or reserves may be subject to revision as more performance data become available.                                                                                                                                                                                 |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| (5)    | Extent and character of ownership, oil and      gas prices, production data, direct operating costs, required capital expenditures,      and other data furnished have been accepted as represented. No independent      well tests, property inspections, or audits or operating expenses were conducted      by our staff in conjunction with this study.                                                                                                                          |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| (6)    | If investments or business decisions are to      be made in reliance on these estimates by anyone other than our client,      such a person, with the approval of our client, is invited to visit our      offices at his own expense so that he can evaluate the assumptions made      and the completeness and extent of the data available 011 which our estimates      are based.                                                                                                |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| (7)    | Gas contract differences, including take or      pay claims, are not considered in this report.                                                                                                                                                                                                                                                                                                                                                                                      |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| (8)    | Gas sales imbalances have not been taken into      account in the reserve estimates.                                                                                                                                                                                                                                                                                                                                                                                                 |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| (9)    | Unless otherwise stated in the text, existing      or potential liabilities stemming from environmental conditions caused by      current or past operating practices have not been considered in this report.      No costs are included in the projections of future net revenue or in our      economic analyses to restore, repair, or improve the environmental conditions      of the properties studied to meet existing or future local, state, or federal      regulations. |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| (10)   | Any distribution of this report or any part      thereof must include these general comments and the cover letter in their      entirety.                                                                                                                                                                                                                                                                                                                                            |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| (11)   | This report was prepared under the supervision      of W.D. Harris III, Registered Professional Engineer No. 75222, State of      Texas.                                                                                                                                                                                                                                                                                                                                             |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |

----