flare up , page-17

Hi, i just thought to share my views too,

The directors have confused some investors in the way they have written the reports.

Talking about pinkerton trail akali gulch barker creek and cane creek, when drilling akali gulch was at 12549-12577 feet, this is now referred to as barker creek which from todays announcement is where the flare up came from. So they are testing akali gulch interval by the original drilling reports but from 7th May testing program they called it barker creek.

Pinkerton trail may be depleted where this well is but doesnt mean on the 2nd or 3rd well they wont be able to produce from that zone, they now know there is gas there just where they drilled the first well it had depleted.

Cane Creek if you go back over the drilling reports to 6th of November the 2 intervals they are calling akali gulch was originally called cane creek. Those gas shows are depleted but others have mentioned need other methods to produce gas from cane creek so maybe they will go back to that at a later time when have worked out a better method to produce the gas.

Leadville they know there is gas down there just need to place the next well in a better position to be able to produce from leadville and should be in a better place to reach the 2 further zones below leadville.

From the report on 7th May, they had 7 intervals to test first. If they started at the bottom and working their way up they would have tested pinkerton trail at 15288-15321, akali gulch by the 7th may report which was originally cane creek intervals which were 13097-13106 and 13145-13154, which those 2 zones only had a total 18 feet so not that much of a loss not being able to produce from those 2 smaller intervals but would have helped. The pinkerton trail interval would of been good but might have better luck on the next well.

So they are now testing barker creek at 12558-12580 which originally was akali gulch the first major interval gdn found when drilling. This caused a flare up and already talking about producing from that interval by todays report. There is a difference in the 2 reports on 7th may and todays report originally testing 12588-12580, but todays flare up gas interval is 12561-12599 which is 38 feet now instead of 22 feet.

If they can produce from the 38 foot interval that should alone provide atleast 76bcf of gas if you use 2 bcf per foot but at lisbon they are getting around 4.5 so if look at maximum of maybe 150bcf. Thats only going by if can produce the full 38 feet and going by lisbons 4bcf per foot amount, not saying gdn will get that but atleast 40-50 is likely in my opinion.

They now still have 11015-11031 which is called barker creek too to test. They have akah at 10815-10834, and upper Ismay at 9845-9858. So with those 3 intervals still to be tested 100-200bcf still has a good chance.

If you go over the other gas shows, they still have a lot more to test but they probably just want to get the first well producing as fast as possible.

A report on 24-10-06 mentioned 4 intervals at that time which were likely to be productive. 3 of those 4 zones aernt even being tested in the first 7 intervals they planned to test. By gdn they were likely to produce so im guessing they will plan to test them after they finish these 7 intervals unless they stop testing and just start producing from barker creek.

Those 3 other intervals were 9742-9746, 9930-9960 and 10714-10765 those 3 intervals have a total of 85 feet of possible gas pay.

GDN dont mention anything about those shows recently but they are there and still has a chance for producing from them.

Also have 20 feet of oil too which they aernt going to just leave in the ground if can extract it.

They seem confident with the barker creek interval from todays report since they say they will get a indicative flow rate from it. They then also say they will then decide to either keep testing or proceed to development.

In reports from june 2006 on the website they needed a minimum of 50bcf to make this well commercial, with the statements today of going immediately into development i would assume they got 50bcf of gas or expect to be able to produce atleast that much. Also with gas prices higher then a year ago only need 25-30bcf to get the same value as 50bcf if were producing last year.

This may sound like an upramp, if it does sorry but this is how ive read everything in the reports.

Thanks.