sleeping giant., page-29

I've followed RFE for a while now as its nice to see what my neighbours are doing (being an AOK holder).

Mississippi Lime seems to have lots of potential and I was glad when AOK made a move into the play. Its small compared to the RFE announcement. RFE seems to have plenty of potential but how high and what probability remains to be seen. Alot more details need to be known and havn't been impressed with RFE's management to the point I will just trust in them.

All the research by various posters has been appreciated. Forgive me if I sound critical but as I said, I don't have much trust / faith in RFE management.

1. I beleive the leasing is in Pawnee. The announcement states that the Ripley 1-31H well is 12km away. This is the well.
http://hzmud.com/Default.aspx?&gv562__gvac=0&gv562__gvff5=Ripley&gv562__gvfl5=7&gv562__gvsb=3&gv562__gvso=ASC&tabid=103

2. The Mississippi Lime (ML) extends over much of northern Oaklahoma / Southern Kansas. Announcement says 14 counties. It is variable in porosity and thickness. The Eagle energy site must have changed because I can't seem to find it but it gave the impression that thickness less than 10ft or porosity less than 5% is not worth targeting

3. Eagle's land for sale, despite being at the heart of the play, is still mostly classified as exploratory. Exploratory wells usually have a 30-50% success rate.

4. I would have to assume that RFE's leasing is mostly exploratory. The proven oil production from vertical wells confirms the formation in at lease some of their leases but whether it makes for worthwhile horizontals is another matter. AOK drilled a vertical into the ML 2 years ago at Pawnee and it produced 20BOPD. Okay, but not company making stuff. They haven't said anything serious about a horizontal ML play on/ near that lease.

5. The Ripley well is quoted as producing 50k BO over 9 months. That is 185BOPD on average. So big numbers of 500+ BOPD need to be taken with caution.

6. The potential PV of $800M+ is assuming they lease 35000 acres and drill at 320acre spacings across the entire lease and have 100% success rates. I'm sure there will be some dead zones in the lease and some failures.