Overall I am pleased with the quarter. All of our core businesses performed well, our key development projects are on track and our marketing group enjoyed another great quarter.

This project is part of a series of projects we laid out in 1999. The timing isn't anything more than the natural evolution of the growth in the community.

For a city our size, we probably do more capital improvement projects than any other city in California. If you look at all the designs and construction, it's a tremendous amount of work.

In the last six months, there has been a lot of negative press about the road projects in that area.

We are encouraged with the results of the wells drilled to date, which has confirmed Knotty Head to be a potential world-class discovery. We will continue to accelerate the appraisal of the field in order to determine ultimate reserves and formulate an optimal development plan.

This is a solid project that adds certainty to our production profile beyond 2007. The North Sea is important to our overall growth strategy, and Ettrick is a stepping stone to growing a sustainable business in this area.