sp heading soutth again, page-35

Guys I spoke to the MD this arvo, I asked.

How does bad weather effect construction and well production?

Each platform has four wells drilled directionally to a bottleneck point on the surface. If any one of these four wlls is not complete and been worked on the others are also off.

In winter with snow up to 58 inchs (cc is above 10000 feet)
it is not often possible to carry out cinstruction. However after they are complete general maintainance and repairs can be carried out by people with light equipment that can access the wells.

I asked what are the CURRENT flow rates.
Ranging between 3 - 10 mmcf pd but fluctuating and not at steady state yet. Could see 5 mmcf stablised in weeks then increasing steadiliy after that.

Whatis the long term stratagy.
The wells they are drilling now are on the bounaries of their asset. They are essentially defining a boundary then well prodution rate to develope reserves. They will aim to drill four additional new wells this summer season but dont wont to enter winter with incomplete wells.

Is the company still planning to sell the asset, i said could 2 years be uneasonable he said it more likely to be much earlier than that. An exact quote "were entering the final straight" .....

So what does everyone think?