HUGE UPSIDE IN 2021 & BEYOND, page-181

Alvares was drilled by another company many years ago who were looking for oil...nearly 1.5 kms of gas shows during drilling but shut the well in because wasn't oil. XST/SGC just need to reenter the existing well bore and perforate.

Dempsey had massive gas shows during drilling over a long section but couldn't get a decent flow rate in the end. They have refined the depositional model and identified Borba as the optimal place for better reservoirs, better quality sands and better porosity and permability to result in hopefully a better flow rate.

They have identified a channel system in the seismic at Borba which should provide better quality sands and reservoirs. That is why management at XST and SGC are brimming with excitement.