US Energy Corp. provided an operational update. Williston Basin, North Dakota - Rough Rider program: the Kalil 25-36 #2H (infill) well was completed with 36 fracture stimulation stages and had an early 24-hour flow back rate of 1,869 BOE/D, which consisted of approximately 1,654 barrels of oil and 1,287 MCF of natural gas. The company has an approximate 27% working interest (WI) and a 21% net revenue interest (NRI) in this well. The Lloyd 34-3 #2H (infill) well has been fracture stimulated with 38 stages and the operator is currently drilling out the plugs, which is the final step in turning the well over to production. Initial flow back rates are expected this week. The Company has an approximate 14% WI and an 11% NRI in this well. The Lloyd 34-3 #1H well had an early 24 hour flow back rate of 4,030 BOE/D. Williston Basin, North Dakota - Yellowstone and SE HR Programs: the Wang 10-3 #1H well has been drilled to a total depth of 20,000 feet. Well completion with 35 fracture stimulation stages is scheduled to commence in early February 2012. The company has an approximate 18% WI and 14% NRI in this well. Four additional wells (1.3 net) have been drilled to depth and are anticipated to be completed between March 2012 and June 2012. Under the Precision Drilling rig program, the company anticipated that Zavanna will drill five additional gross wells (0.3 net) through June 2012. Under the current completions schedule for 2012, Zavanna anticipated fracing these wells prior to September 2012. Eagle Ford Shale, South Texas - Leona River /Booth-Tortuga Programs: the initial well at the Booth Tortuga prospect, the Beeler #1H well, has been completed with 20 fracture stimulation stages and initial well flow back operations have commenced. The operator plans to evaluate initial well results over the course of the coming weeks. The company has an approximate 30% WI and 22.5% NRI in this well. The KM Ranch #2H well has been drilled to depth and it is anticipated that fracing operations will commence in February 2012. The company has an approximate 30% WI and 22.5% NRI in this well. U.S. Gulf Coast (Onshore) - the Bayou Bend well is expected to commence sales in February 2012. The company has an approximate 13.5% WI and a 9.9% NRI in this well. The company recently entered into a participation agreement for the Oakville (oil) Prospect in Live Oak County, Texas. A 7,200 foot Slick Wilcox formation test well is expected to spud in the first quarter of 2012. The company has an approximate 10% WI and 7.5% NRI in this well.