Saxon's largest base of operations is now in Kansas, where it operates and holds majority working interests in 30 oil wells on 18 leases in north central Kansas. The Company purchased these leases in August 2007 and since that time has carried out a number of successful workover and maintenance operations. Additional drilling locations exist on leasehold acquired with the acquisition.

In central Kansas, Saxon owns approximately 240 miles of gas gathering systems through its wholly owned subsidiary, Central Kansas Gas Gathering Company LLC. The first gathering system, with associated compression facilities, was acquired in June 2007. Additional gas gathering systems were acquired in June 2008. Saxon's strategy is to combine its upstream exploration & production (E&P) operations with the acquisition and operations of selective gas gathering and processing systems to maximize the profitability in both market segments. The company will receive revenue for its own production, as well as fees from third parties for transporting and processing their gas production.

Saxon contributed the assets of Central Kansas Gas Gathering to a 50/50 joint venture with American Energies of Wichita Kansas in 2008. The new joint venture, Mid-Kansas Gas Gathering (MKGG) now operates over 440 miles of gathering systems and facilities over a 10-county area of central Kansas. The joint venture acquired a gas processing plant planned for installation in 2009 with the capability of processing over ten million cubic feet of natural gas per day with the planned extraction of valuable helium gas and associated natural gas liquids. In addition, MKGG acquired several producing and shut –in oil and gas properties, restored a substantial portion of the Pawnee and Raymond gas systems to production, acquired an inter-connect with a major interstate gas pipeline, and drilled a successful shallow exploration well in 2008. The well, the American Energies Talbot 1-23, tested gas at rates near one million cubic feet per day and at least one development well is anticipated to be drilled in 2009.

Saxon also acquired highly prospective acreage in Stanton County, Kansas within the limits of the Arroyo Field. Arroyo Field produces both gas and oil primarily from multiple Pennsylvanian-age Morrow sandstones near the Kansas-Colorado border in southwest Kansas. Saxon owns a 75 percent working interest in multiple leases totaling 640 acres and will operate with drilling activity planned during the third quarter of 2009.