Question-and-Answer Session
[Operator Instructions]. And the first question comes from the line of Carl Kirst from BMO Capital. Please proceed.
Carl Kirst - BMO Capital
Hey, good morning everybody. Matt, just a quick question with respect to the EOG joint venture, the first is in... certainly understanding the first three wells here horizontal are representative. But can you tell us what the costs were on each of those three wells?
Matthew D. Cabell - President, Seneca Resources Corporation
I guess Carl, I'd rather answer that by saying that we expect the average cost of the horizontal is going forward to be in the order of $3.5 million.
Carl Kirst - BMO Capital
Okay. And then... so we are going to spud the fourth well, when now you said September is that's already... whether are you spudded in the... it will IP in September?
Matthew D. Cabell - President, Seneca Resources Corporation
We are actually drilling the horizontal section now. We expect to crack it in September. Complete it in September.
Carl Kirst - BMO Capital
Okay. And then just lastly, my understanding was there is also going to be a fit well, sort of second year with the new rig, regardless of the results of the fourth, is there a sense of timing of when that would happen and where it happen, kind of immediately after the fourth well is completed or is that something where its more I guess the specific surround that fit well will just be evaluated once we know the results of fourth?
Matthew D. Cabell - President, Seneca Resources Corporation
There should be another one pretty much right away, Carl. In fact, I would say three more in the calendar year.
Carl Kirst - BMO Capital
Three more beyond the fourth?
Matthew D. Cabell - President, Seneca Resources Corporation
Yes, in the calendar year.
Carl Kirst - BMO Capital
In the calendar year, okay. Thanks for the clarifications.
Operator
And the next question comes from the line of Shneur Gershuni from UBS. Please proceed.
Unidentified Analyst
Hi guys. It's actually Chris. Just had a couple questions this morning, first could you speak to production guidance in 2009 why your E&P CapEx is up considerably production guidance spot year-over-year. I know you spoke little bit about TOM [ph] and Appalachia, so if could you give a little bit more detail there?
Unidentified Company Representative
Okay, beyond what I said in the comments?
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