1086319--3/4/2009--GASCO_ENERGY

related topics

{gas, price, oil}

{stock, price, share}

{debt, indebtedness, cash}

{loss, insurance, financial}

{regulation, change, law}

{cost, regulation, environmental}

{cost, contract, operation}

{acquisition, growth, future}

{personnel, key, retain}

{operation, natural, condition}

{interest, director, officer}

{stock, price, operating}

{cost, operation, labor}

{capital, credit, financial}

We may not be able to obtain adequate financing to continue our operations. Lower oil and natural gas prices could negatively impact our ability to borrow. Additionally, availability under our revolving bank credit facility is based on a borrowing base which is subject to redetermination by our lenders. If our borrowing base is reduced, we may be required to repay amounts outstanding under our revolving bank credit facility. Financial difficulties encountered by lenders under our revolving bank credit facility, our partners or third-party operators could adversely affect our financial condition and results of operations. Our revolving bank credit facility imposes restrictions on us that may affect our ability to successfully operate our business. Pipeline constraints may limit our ability to sell production and may negatively affect the price at which we sell our production. Our proved reserves are estimates and depend on many assumptions. Any material inaccuracies in these assumptions could cause the quantity and value of our oil and gas reserves, and our revenue, profitability, and cash flow, to be materially different from our estimates. Lower oil and gas prices and other factors have resulted, and in the future may result, in ceiling test write-downs and other impairments of our asset carrying values. The development of oil and gas properties involves substantial risks that may materially and adversely affect us. Delays in obtaining drilling permits could have a materially adverse effect on our ability to develop our properties in a timely manner. Our drilling operations may be delayed or revised unless we receive approval of our Environmental Impact Statement. We may have difficulty managing any growth in our business Our competitors may have greater resources which could enable them to pay a higher price for properties and to better withstand periods of low market prices for hydrocarbons. We may suffer losses or incur liability for events that we have, or that the operator of a property has, chosen not to insure against. We may incur losses as a result of title deficiencies in the properties in which we invest Our ability to market the oil and gas that we produce is essential to our business. Environmental costs and liabilities and changing environmental regulation could materially affect our cash flow. Our operations may incur substantial liabilities to comply with climate change legislation and regulatory initiatives. We are subject to complex governmental regulations which may adversely affect the cost of our business. Because our reserves and production are concentrated in a small number of properties, production problems or significant changes in reserve estimates related to any property could have a material impact on our business. Our operations may be interrupted by severe weather or drilling restrictions. Shortages of supplies, equipment and personnel may adversely affect our operations. Hedging our production may result in losses. Our success depends on our key management personnel, the loss of any of whom could disrupt our business. Our officers and directors are engaged in other businesses which may result in conflicts of interest. It may be difficult to enforce judgments predicated on the federal securities laws on some of our board members who are not U.S. residents. Risks Related to Our Capital Stock Our common stock has experienced, and may continue to experience, price volatility and a low trading volume. Shares eligible for future sale may cause the market price for our common stock to drop significantly, even if our business is doing well. We have not previously paid dividends on our common stock and we do not anticipate doing so in the foreseeable future.

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1086319--3/4/2009--GASCO_ENERGY_INC