Seneca operates more than 3,000 shallow wells and more than 150 deep shale wells in New York state and Pennsylvania. The region is known for its stable, long life natural gas reserves and is the site of the first oil well drilled by Edwin L. Drake in 1859. It is also home to the Marcellus Shale, a geologic formation that stretches from the Southern Tier of New York state, through Pennsylvania and West Virginia. Seneca controls 745,000 net prospective acres in the Marcellus Fairway in Pennsylvania, which are part of its approximately one million acres located throughout the Appalachian Basin in New York and Pennsylvania. Of Seneca's Marcellus holdings, approximately 80 percent is fee acreage, with the mineral rights owned outright by Seneca with no royalty obligation or lease expiration. The remaining Marcellus land rights, approximately 20 percent, are leasehold interests, most of which are held by production. This industry-leading mineral ownership position greatly improves our production economics compared to other companies active in the Marcellus. Seneca (and its predecessor affiliates) has been an exploration and production entity in the region for more than 100 years. The Marcellus is a significant focus for Seneca and represents a substantial opportunity given Seneca's existing extensive acreage position.