1. Regulatory Uncertainty and Production Impacts Duane Zavadil Bill Barrett Corporation

2. Land Ownership

3. Resource Area # Pending APDs Days Pending Buffalo1256293 Farmington 187 321 Pinedale119189 Vernal175189 APDs Waiting

5. “Optimistic” Time Requirements for NEPA Compliance $2-3 K Large Field EIS or RMP 1 year2 years Field Development EIS Small Exploratory Or Development EA Single Well/ROW EA Categorical Exclusion or DNA 2 weeks to 6 months 6 months 1 year 2 years 2 ½ + years

6. Cost of NEPA Compliance $2-3 K $20 K $250 K $1-2 MM $2.5 MM

7. Other “Multiple Use” Resources Archeological Resources Cultural Resources Paleontological Resources Threatened and Endangered Species Species of Special Concern Visual Resources Hunting Recreational Vehicles Raptors Soils Range/Grazing Air Quality Water Quality Flood Plains Riparian Areas Prime and Unique Farmland Wild and Scenic Rivers Wilderness and Wilderness Study Areas Aquatic Species / Fishing Wild Horses Areas of Critical Environmental Concern Photo by: Robert Mueller

8. Typical Seasonal Restrictions Mule Deer Wintering Elk Wintering Mule Deer Fawning Elk Calving Sage Grouse Mating Raptor Nesting Spotted Owl Nesting Burrowing Owl Nesting Big Horn Sheep Lambing Sage Grouse Wintering Mountain Plover Nesting Southwest Flycatcher Nesting Dessert Tortoise Moose Pending No Disturbance JFMAMJJASONDJFMAMJJASOND

9. Anti-Oil and Gas Spending Local Groups: Western Organization of Resource Councils $757,000 Northern Plains Resource Council $ 864,000 Powder River Basin Resource Council $296,000 Greater Yellowstone Coalition$1,815,000 San Juan Citizens Alliance $177,531 Oil and Gas Accountability Project $262,000 Wyoming Outdoor Council $661,000 Southern Utah Wilderness Alliance$1,890,000 Total$7,099,000 (2001 Tax Returns)

10. National Groups: Sierra Club $75,440,000 Earth Justice$17,965,000 Natural Resource Defense Council$55,697,000 Wilderness Society$24,119,000 Total$173,221,000 Anti-Oil and Gas Spending (2001 Tax Returns)

11. Cumulative Impacts Supply Shortages Limited Capital Availability Equity Devaluation Drainage/Inefficient Production Disproportionate State and Fee Production Inadequate Pipeline Capacity/Basis Differential Spikes

12. Active Rig Count

13. Current Federal Energy Production Efforts Rocky Mountain Energy Council White House Task Force on Energy Streamlining Energy-Oriented Political Appointees Natural Gas Supply Hearings Energy Bill Provisions? Oil and Gas Instructional Memoranda(6) Department of Interior’s Implementation Plan for President’s Energy Policy WIA Settlement

14. Needed Actions Affirmative Support of Energy Development Encourage Market Solutions Reverse Engineer Regulatory Capacity Employ Private Sector Models

15. Establish Production Goals and Reverse Engineer Organization Create Group to Understand and Promote Development Reorganize to Separate Regulatory and Development Roles Perform “Spec” NEPA for Exploratory Activities Coordinate/Negotiate with Sister Agencies Allocate a Portion of Royalties to Promotion/Management Production Incentives Improving Federal Lands Access Employ Private Sector Model

16. Improving Federal Lands Access Prompt Decision Making Resource Specialist Prioritization Mineral Staffing State-Wide/Region Wide NEPA Teams NEPA/FONSI Guidance Policy Energy Education Final Resolution of Wilderness Study Areas

17. State Regulatory Reforms Strengthen and Streamline NPDES Program -Resolve Interstate Issues with Montana -Establish “Fixed” Water Quality Targets -Confirm Right of In-Stream Flow -Appropriate Organization, Staffing, and Capabilities -Monitor and Adapt

18. State Regulatory Reforms (continued) Increase “Responsiveness” of Air Quality Program -Increase Flexibility For Movement and Replacement of Compressors and Dehys -Reduce Permit Processing Times -Employ General Permits for Minor Sources -Monitor and Adapt

19. Industry Responsibilities Agency Involvement Political Advocacy Public Acceptance