energy

Meeting the world's growing energy needs is an enormous challenge. By 2030, as populations and economies grow, global energy demand will reach close to 325 million oil-equivalent barrels a day -- more than 60% higher than in the year 2000.

Increasingly, developing significant new oil, gas and alternative fuel resources requires exploration in more-remote areas and difficult operating environments. The complexity of these environments places greater emphasis on financial strength, technological innovation and execution excellence.

Recent developments include:

• Active production in Baton Rouge area of Louisiana. Net revenue for 2007 is about 2.5 million dollars.

• Expanding our exploration work in Africa, Asia and Latin America

• Eperienmental 2,500 acre, state of the art, biofuel farm in Vietnam, producing over 1.5 million gallon in 2007 for a fleet of government vehicles. While this is only an experiemental project, and due to the high investment cost, it has been a drag on the total earnings of the company, we expect to show a profit in late 2008 when all of our expenses are fully amortized.

• Committed to develop about 10,000 hectares of land in Africa, bringing even more eco-benefit.