1.1 Overview of Progress
1.2 Project Deliverables
1.3 Issues and Resolutions

1. QUARTERLY PROGRESS OVERVIEW

1.1 Overview of Progress

This quarterly progress report describes activities during the period March 1, 1998 to May 30, 1998. Work was carried out on 5 tasks. The major activities during the quarter were modeling in support of "Thermally Assisted Gravity Segregation" (TAGS) reservoir simulations, and preparation for the planned technology transfer workshop. Major efforts were also made for technology transfer, including conference presentations and updates to the project WWW.

1.2 Project Deliverables

The following project deliverables were scheduled or submitted during this quarter.

Milestone or Deliverable	Scheduled Date	Delivery Date
Research Report, Fracture Data Analysis Technology	97.03.15	98.03.309
Annual Progress Report	98.03.15	98.03.20
Research Report, Hierarchical Fracture Model	98.03.15	98.07.15^*
Research Report, Linkage of DFN and Stratigraphic Models	98.03.15	98.07.15^*

* projected

1.3 Issues and Resolutions

No significant programmatic issues arose during the quarter.