full poe announcement, page-15

Allanh,

I think you need to read the horizontal in the context for this well.

It's on the edge in an area of low permeability in the new shallow pool. 32 bopd just ain't good enough so how can they use the well as more than the exploration purpose (originally of the main pool) ?? Take it horizontal, we"ll get a decent producer for sure, and drain the edge of the pool that we'd never otherwise deliberately drain as well.

Also being hundreds of metres above the main oil pool I'd have thought water was a non issue - unless there is another aquifer between??

All new oil pools are great, even if the first well which wasn't even targetting the pool only comes out with a teaser of a flow - even better that they can still convert the well into an economic producer. Real nice to have oil at such shallow depths.

I think we've had as good a sp rise as we can expect on this news, not enough folks in the CVN market are being forward looking atm imho.

EL