Lee, thank you for commenting and thank you for THIS piece of news. Shit. The Eagle Ford is in my neighborhood; to date I know of very few re-fracs that have been remotely economical to undertake, somewhat akin to all the dog dookey people hear about IOR via gas re-injection (EOG). It works, sorta, but its not economical. I believe these SEC "proximity" rules have been around for awhile and its always been possible to book some portion of PUD reserves based on the distance to producing wells. It never occurred to me this rule would apply to re-frac'ing. The economics at $100/$6 may have changed on re-frac's, I don't know, so indeed this scheme could be really beneficial to, for instance. small independents that can buy depleted wells from say, EOG for little more than the cost of P&A, then re-frac them for marginal returns, if any, but then be able to book proximity PUDs. I suppose the question becomes, its a good scheme (proposed, by the way, by a HPP service wanting to frac everything that doesn't move) but will lenders lend on it. It proves, by the way, how crafty these tight oil guys are. There is another word for that but I'll leave that alone. Why, by the way, at $100/6, do they even need to borrow or raise money this way? Because they can't exist without outside capital, even in the Permian. It is a bad myth that the tight oil business model can even hold its own, pay dividends and deleverage based on net revenue at higher prices. One more thing, please...well quality has greatly improved in the Eagle Ford play in the past year and one might be inclined to believe some new miracle of technology has occurred and the EF will have a new lease on life. But most of these much better wells are occurring in a very limited core area in, and around, Karnes County where the EF is very thick. These new wells are testing the bottom portion of this very thick, but limited area of EF and indeed, well productivity has improved. Its too early to know if these bigger wells are going to have higher UR's. But its very small and not too much to get excited about, IMO. Thanks again for this, Lee. And for commenting.