FIR 1 - INSPECTION REPORT

Permit Holder:	Blue Steel Investments, LLC			Well Name/No:	Cross/Kraft, S	Permit:	10874
Lease Name:	Cross/Kraft, S 7	Sec:	34	Twp:	14S	Range	14W
GPS Well Location:		Latitude:	33.4536	Longitude:	-92.52512	Field:	HAMPTON
Lease/Tank Battery:		Latitude:	0	Longitude:	0	County:	CALHOUN
Entrance from nearest 911 address, public street or highway

Status:

Completing New not producing Operating Old not producing Not found

Single well pad Mutiple well pad NA

Well equipment operational:	Equipment plumbed properly:	Excess equipment on lease:
Yes No NA	Yes No NA	Yes No

Signs:

At lease entrance:

Yes No

At tank battery:

Yes No NA

At well:

Yes No NA

Signage compliance:

Yes No

Tank Containment:

Earthen Metal ring Tank in tank No Tanks Other

Dimensions:

Length:

0

Width:

0

Diameter:

0

Height:

0

Capacity (bbls):

0

Capacity compliance:		Breaches/Erosion:		Excessive vegetation present:			Compliance agreement:
Yes No NA		Yes No NA		Yes No NA			Yes No NA

Containment Conditions:

Fluids Present:

Yes No

Produced fluids Storm water Waste oil NA Other

Well Site Compressor:

Yes No

Is it in compliance?

Yes No NA

Trash/Debris:	Yes No	Use as storage area:	Yes No	Unusual equipment:	Yes No	Excessive erosion:	Yes No
If yes to any, explain:

Entry Gate Present:

Yes No

Gate locked on arrival:

Yes No

Gate locked on departure:

Yes No

Is spill or discharge of drilling, completion or produced fluids present:					Yes No
If yes, did spill or discharge of drilling, completion or produced fluids occur or travel off the well pad:								Yes No NA	(If yes, complete FIR 5)
Compliance Summary Remarks:
During my inspection I noted excess vegetation was on site, I also noted that the well head was leaking and oil had ran 15 feet from the well covering an area of 5 feet by 15 feet.

Inspected by:	BILLY HANEY				Date:  8/7/2015 12:00:00 AM
Review for NNC or NOV:	Yes No	If yes, check one	NNC NOV DNI NA	Ref #: 70618	Date: 8/6/2015
ADEQ referral:	Yes No	Date of referral:  __________