annual report ..comments

Annual Report is out. Simon has given us quite a few new bits of information. After a brief scan here's a few comments:

1) Ching development wells indicate that average oil columns in each of the fault blocks are around 300m. I haven't heard that before! And flow rates are excellent .. we knew that!

2) Tevet is likleyto be tied-in to Chinguetti, but if the Tevet Deep Cretaceous is successful then tevet could be a separate development.

3) HDR favours a "phased" development of Tiof

4) In HDR's WPL JV licence areas they have done 20,000 sq km of 3D seismic. In these areas there are over 40,000 sq km of prospective Miocene sands (lioke those that contain Ching, Tiof, Tevet and Banda)....so thay have looked at only half so far. Underlying these Miocene sands there are 55,000 sq km of prospective Cretaceous sands (such as those that contained the Pelican discovery). No wonder they want to prove up the Cretaceous!

5) The exploration program thru to mid-2006 will include at leats 11 exploration wells of which only 3 have been completed (Espadon, Sotto and tevet Deep) .. so 8 more at least by mid-2006 (on top of Labeidna and Block 1 and 6 wells .. that's another 5 in first half 2006). There are likley to be further appraisal wells on Tevet and Tiof in this period as well.

6) Planning is well advanced for drilling a well in Guyane and they intend to go it alone unless partners can be introduced on acceptable terms (i.e. they are palying hard-ball so as to retain as high a % as possible).

This story has so many more years to go!! Anything else stand out??

Cheers

H