flow testing of gas discovered

I have reproduced some of the comments made by Rick de Boer & Richard Sciano in the interview with Proactive Investors on 22 April.

Rick clearly confirms that gas has been found but it needs to be tested and that can be done only when drilling is completed. Read below...........

Proactive Investors: Various questions on gas shows.

Rick de Boer: Results from the Chimney Rock formation are particularly good. Chimney Rock may well contain a new reservoir not found in PB # 1, sealed by shale. Net pay zone thickness will be determined after logging is done. This will occur after drilling has been completed.
At this stage, the upper gas shows have similar C1/C2 ratios, and we may be dealing with a continuous gas column linked to PB#1.

Productivity can only be assessed when testing is complete, however the presence of hydrocarbons can be established from logging. Testing would occur within 60 days after completion of the well.

We anticipate drilling permits for future wells will be obtained within a few months after we apply for them.

Proactive Investors: Based on valuations of one or two companies with oil/gas assets in Utah through acquisition and sale, it is possible to infer a significantly higher value on Golden State Resources based on RPS Energy Group’s independent valuation. Care to comment?

Richard Sciano: Once testing and production is established, the upside will become apparent to the market.