Is this the same Samson Oil and Gas that reported 10 days ago? Wow, what a difference. Somebody is feeling a little more chippa this week. This really is a good news announcement. Doesn't quite makeup for the last crappy one but its damned good news nonetheless.
I acknowledge this announcement won't excite everybody and the pain inflicted by the recent SP fall will keep many in a frame of mind that isn't overly receptive to possitive suggestions unless they are wrapped in a wad fiddies. Fair enough but lets explore the good news anyway.
Grettel:- Last announcement it had produced no oil at all. 10 days later its started to produce some oil. So far only 20 BOPD but as the frac fluid us expected to continue being recovered for some time to come its clear that as this occurs the oil cut is increasing. This well could produce substancially higher flow rates as time goes on.
The commentary on Grettel and Abercrombie gives a real good indication as to what has been learned from these wells. The upfront cost of discovering how this geology works may well pay dividends in the next few wells.
SoA:- 61 feet of pay across 3 separate zones. Thats very good news. Got to be fracked to see how well it will flow but there is oil there and probably lots of it. Trick now is to get it out. If the frack job releases the oil in this well there will be a lot of humble pie for all of us. This is far from guaranteed but right now we are on the cusp of finding out what this area truely has to offer us. It hasn't been easy and I have little doubt it will throw us a few more curve balls during the frac but IF it flows, wow.
I'm sure we have all been feeling a little down after the last BS announcement. Looks like management have listened and decided to spread the love and share some of their insights with us. Things aren't nearly as bad as the last annoucnement left us feeling. In fact there are things to be quite excited about. When testing the land we should expect every well to come up trumps. Sure when all 4 looked bad there was no cause the celebrate but as this announcement clearly shows some of the wells are showing signs of promise. I say this not because I'm expecting hundreds of thousands of BOPD from them but because they are appraisal wells and if they prove what they were designed to prove then they will have been well worth it.
SOA is definately the one to watch. The other day somebody said it was a dud. Will have to wait a little while but that could prove to be one of the worst predictions in this companys history. SOA could make this company.
sorry to be so possitive on a Friday. Sorry for the length of the post also for those that hate to read. I am however genuinely excited about what could happen to SSN in coming months.
SSN Price at posting:
5.2¢ Sentiment: Buy Disclosure: Held
