Ann: Operations Update, page-60

Olderwiser, you say:
In particular the(bolded) copied section below irks, matured yes, wells drilled yes, but all fails so far. It is like selling a dud firecracker, having fizzed the first time, the chance of relighting and getting a good bang are diminished, not enhanced as implied.

I feel that every well drilled contributes to our knowledge underground, the strata, the nature of each oily layer, etc.

This is like a dragnet, no fish to begin with. But as it closes in, improved opportunities at every step.

Lets be blunt. The central North Slopes area 'owned' by 88E/BEX is 550,000 acres. This is vast.
We have made two drills, it is nothing.
Technology and lessons learnt ensured we are gaining maximum knowledge from Charlie-1.
Looking at the maps, there are a lot of oil reserves. Charlie-1 gives us considerable knowledge as to their likely COMMERCIAL value.
To be accurate, 88E has not struck any dry wells. They have struck oil conditions that are not quite suitable for commercial follow-up.

The next well on our area is THE TEST OF 88E AND BEX ABILITY.

Charlie-1 is still an exciting situation. Because like a BIG CLUE is a murder hunt, it can give us ALL THE INFORMATION WE NEED for a strike on the next drill.

If we go out to FO again, this information in Report Form and Data Room will be clear to prospective JV Partners.

It is our own lack of experience that has caused this endless 5/6 year agony.
And, I suspect, DW and rest of 88E with lack of experience too.

The difference with PB is that he was FOCUSED on ONE TARGET - HRZ. Like a good detective, he would have closed in on his target much quicker than we have without him.

Phrontist