train leaving the station, page-53

not sure on adi website status, but company is aware of it.

re oil flowing, kennedy is producing right now, and kowalik will be by monday..


this from adi's annual report

Overall, the Sugarloaf plus greater Sugarkane area is
thought to occupy at least 200,000 acres with a resource
potential of 500 million barrels of condensate plus 3
TCF of gas. Sugarloaf area mean potential reserves are
estimated to be 50 mmbbls of condensate plus 300 BCF
of gas – of which Adelphi’s share is 10 mmbbls and 60
BCF.

ultra conservative, based on single lateral completions on 230 acre spacing imho,, and way off the reality of what the region will have. my understandings would be about 120 acre spacings dual lateral..

EKA annual report is more upbeat..

The Sugarloaf Area of Mutual Interest (AMI)
The Sugarloaf AMI is situated within the Sugarkane Gas
and Condensate Field. At the time of writing the Sugarloaf
AMI comprises leases covering approximately 23,161
acres (2,895 acres net to Eureka). This lease position
represents the work largely undertaken by TCEI over the
last two years to secure mineral right leases from the
many land owners within the AMI. Importantly, the AMI
acreage is largely contiguous allowing for efficient field
development. Efforts to acquire the remaining leasehold
gaps within the Sugarloaf AMI continue.
Sugarkane Field Overview
The Sugarkane Field is a new discovery of substantial
size covering an area believed to be in excess of 200,000
acres which is proving to have high potential for gas and
condensate production. Publicly available information on
the discovery well on the adjacent land over a period of
nearly 2 years, demonstrates an impressive production
profile for a vertical Austin Chalk well with relatively high
production rates and recoverable volumes. The well is
also producing a high condensate yield, enhancing the
field’s production value.
Published production rates from the two horizontal wells
on the adjacent acreage are also very encouraging with
high initial production rates and a similar condensate to
gas ratio. Although the AMI participants believe that the
chalk reservoir is a single continuous formation there
are subtle variations evident that allow us to differentiate
at least three horizons. The production from the adjacent
acreage within the Sugarkane field has all been from the
upper horizon within the Austin Chalk reservoir. Potential
gross resources for the upper chalk horizon across the
entire Sugarkane Field have been estimated up to 7.2
tcfe of gas in the reservoir zone tested to date.


this is a good read from UK on eme... partner in the sugarloaf AMI

http://proactiveinvestors.co.uk/companies/news/3304/empyrean-energy-two-key-results-awaited-3304.html


all these estimates are for the upper chalks zone, when they start on the lower zones (kennedy properly fracced and marlene olsen in live oak- conocophillips well) then you could potentially have double the resrves there alone to what they believe is in the upper zone in the eagleford and shale/chalks between!!!

conocophillips are calling their 250,000+ acres cote d'or and proclaim its one of their biggest 2008 exploration projects, next year, from jan 2009, a major exploration program is scheduled for their acreages.. they have a separate department from their lower 48 department set in place for this operation to be a success..