• The first CN Horizontal well (CNB HZ-1) is currently flowing at a rate of 2.22 mbbl/d (oil) with an IP30 rate of 2.65 mbbl/d (1.32 mbbl/d net). • The well is performing better than expected. We forecast IP90 rate of only 1.5 mbbl/d. The well has paid back in less than a month. The water cut after >1 month is 34%. Assuming the water cut after six months of production doubles to 60-80% would imply ~1.1 mbbl/d of oil production by then (assuming the pump speed is unchanged). Given that the pump ....