old hc back, page-45

I think the point is Huaneng, that at this stage after fraccing several vertical wells, beach would have a pretty good idea which are the zones that are producing the best flow rates/ and the permeablity of the different zones from the core samples they have taken and how these flow; presumely this is the Muretree shale zone.

And I would also presume that this information would have been shared with Chevron, I would also think at this stage they would have a pretty good idea of what sort of flow rates they would be expecting from the horizontal fracs. Of course saying this there are other factors which can effect the success of the fracs and flow rates they get from these wells.

And yes I agree with you that the decline rates are very important, to the commerciality of these wells. This is an incremental learning process; from the past experiences in the US