Big Ga$$$$$$$, page-325

You make a very interesting point LR when you say the following;

"The 190 feet interval of gas is already huge, but it seems to me we could have in excess of 1,000 feet of high pressure gas-rich strata below that level."

GJ has mentioned the comparison with Perth Basin Explorers STX and WGO who have mkt caps of $550m and $217m respectively, so i wanted to find more on their West Erregulla operations in the Perth Basin. I found the following in relation to the drilling of West Erregulla - 2 on the WGO website.

Look at the bits i have highlighted, it seems there is a total net pay of 78m and compare this with the fact that SGC has already found a 190m interval in the first target zone. Yes SGC still need to test to confirm net pay, pressure, reservoir quality etc and West Erregulla has confirmed high pressure and good reservoir quality but it is also significantly deeper than Borba.

The significance of the 190m interval and the fact there are 13 target zones of potentially larger size higher pressure still to come has been completely missed by the market imo, especially in the context of West Erregulla. Once the newsflow keeps coming, and assuming it continues to be decent and looking at STX mkt cap of $550m its not hard to see where SGC shareprice is headed.

DYOR


"Warrego’s maiden West Erregulla-2 exploration well was spudded in June 2019. This well discovered material gas accumulations in three formations: the basal Wagina Sandstone, the Kingia Sandstone and the High Cliff Sandstone. After successful flow testing and volumetric calculations, West Erregulla is recognised as one of the most attractive onshore Australian appraisal/development projects.

From shallow-to-deep, the following three gas accumulations were drilled, logged and evaluated:

• Secondary Target: the basal Wagina Sandstone. A significant conventional gas discovery was made which may be analogous to the nearby Beharra Springs field. Wagina Sandstone - Strong gas shows.
• The Wagina was intersected at 4,106m MDRT (Measured Depth referenced to Rotary Table). Net pay of 10m in a gross Wagina gas column of 79m was logged.
• Primary Target 1: the Kingia Sandstone. A major conventional gas discovery was made with equal or better porosity and permeability compared to the Kingia sequence encountered at Waitsia.
• The Kingia was intersected at 4,753m MDRT and was substantially thicker than anticipated. 58m of net pay in a gross Kingia gas column of 97m was logged. Reservoir quality is good with porosities up to 19% (average 14%), permeability of 102mD and reservoir pressure in excess of 6800psia.
• Primary Target 2: the High Cliff Sandstone. Again, a major conventional gas discovery was made which is comparable with the High Cliff sequence encountered at Waitsia.
• The High Cliff was intersected at 4,918m MDRT. Net pay of 10m in a gross gas column of at least 22m was logged. Excellent conventional reservoir quality with high gas saturation and porosities up to 16% were recorded."