ggp has turned the corner - onwards and upward

** I would say to the few believers we have now turned the corner, the news now starting to flow through is all good!!!

Don't let the doom Sayers tell you different..

Remember these same people will be buyers very soon - if not already.. And the negative posts will start to dry up and several posters will move on to the next company that is going through some pain - all good things come to those who wait....


Sentiment: Strong Buy - more so now!

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Golden Gate Petroleum Limited (“GGP”) (ASX: GGP) is
pleased to provide the market an
update on the Permian Project in Texas, USA.
#6 Well
The #6 well is expected to commence drilling operat
ions over this coming weekend. This
vertical well will be drilled to a depth of 9,300 f
t., penetrating all formations down to the
top of the Strawn interval. The well is expected to
take approximately 10 days to drill and
complete and then fracture stimulation of the Spray
berry/Dean and Wolfcamp intervals will
be considered based on log analysis from the well a
nd production history from GGP’s four
other vertical SRH wells. We will also examine the
potential for horizontal development of
the shallower Clearfork interval.
The #6 well is the sixth well to be drilled by GGP
in the Permian Project and is located on
the same lease as the previous four vertical wells,
where we have all rights to all
formations down to the Strawn interval. This lease
contains 5 million barrels of 1P and 2P
reserves which we have booked from the Sprayberry/D
ean intervals. Currently no reserves
are booked for the Wolfcamp, but with the productio
n history from the vertical wells and
the #6 plus the #5 horizontal well, we hope to be a
ble to re-examine, and upgrade our
reserve position.
#5H Well
The artificial lift system installed in the #5H wel
l is currently being changed. The down
hole electrical submersible pump (ESP) is being rem
oved because the gas to liquids (oil
and frac fluid) ratio in the well exceeds the optim
um recommended for the pump, resulting
in poor pump performance. The pump will be replace
d by gas lift which is expected to
result in larger volumes of oil and frac fluid bein
g produced to surface, thereby cleaning up
the well of frac fluid.
The gas lift system is expected to come into operat
ion early next week. If results from this
system are below expectation, a more complex gas li
ft design may be required. Due to
the volumes of gas that have been produced from the
well to date, it is expected that gas
lift will provide a more effective means of recover
ing the frac fluid from the well and
increasing the oil rate.