pure metgasco, page-30

This is Mr Lincoln Augustus, first second cousin of Holymagiman.

My dear dear Mr Seamfiend sir, how delightful to have the chance to have further intercourse with you. Thank you for the pleasure.

The family believe that you were most knowledgeable in the comings and goings on at Pure, and we thank you for mentioning that you think that the Pure wells flowed 3 mmscfd in their verticals.

In other words, you are of the impression that PES coal seam well flowed 3,000,000 cf a day WITHOUT ANY LATERALS.

The family has such short memories of such things that happened in the past, and we have forgotten whether we ever even owned one or two shares in PES, as our minds are mostly spent in enjoying the worldly pleasures of our day to day life now, and, as you well know, there are only 20 and a half hours in a day.

But it is 6.00 pm here in Kingston on a lovely Wednesday evening, and Baboo Runchik the coal man has just stopped by to make his weekly delivery so that we can prepare our dinner.

And him being him, and us being us, we just sat around and had a couple of excellent Jamaica Numba Ones to while away a very pleasant evening.

And the subject of the flows in PES came up and Baboo, who knows coal and gas like the bottom of his hand ventured the information that you may be very mistaken in your figures.

3 million standard cubic feet per day from one well without laterals is massive....very massive.

It was at this point that Holymagiman, who was sitting quietly in a corner dreaming his dreams, got up and told us, in his own convoluted way the following facts which we have simplified and duly posted here.

It seem that PES put out a report on 13 February 2009, in the middle of the takeover battle, which stated the following:

"The Directors of Pure Energy Resources Limited (Pure or the Company; ASX: PES) are pleased to provide the following update on its coal seam gas (CSG) certification campaign in the Cameron Field of its Queensland permit ATP852P.

"Highlights:

" Cameron-28 pilot well completed and tested at rates up to 225 mcf/d in the Juandah Coal Measures

" Cameron-29 pilot well completed and tested at rates up to 425 mcf/d in the Juandah Coal Measures

" Coring of Cameron-9 and Cameron-6 completed, with continued encouraging results"

So Cameron-28 flowed at rates OF UP TO 225,000cf a day, and Cameron-29 flowed at rates of UP TO 425,000cf a day.

And it shows that different wells in the Walloons have different flows, which is what one would expect. But all the flows are pretty respectable, and that is the important thing.

These figures are somewhat of a far cry from the 3 million cf that you have quoted, so we guess there must be some mistakes somewhere.

Compare the PES figures with Corella-11 and Wyan E1

Corella-11 has been flowing for 2 years at an average flow rate of 172,000cf a day.

Wyan E1 is flowing at the rate of 170,000cf a day, WITH NO WATER, and appears to be a Horseshoe Canyon type of play.

We note that in Horseshoe Canyon, they are drilling and COMPLETING 3 wells PER DAY. Wyan E1 took seven days to drill and complete, which, in the scheme of things, was not bad at all.

You appear to be wondering in some of your posts about the coal permeability.

Metgasco has stated on page 10 of the report on 30 March 2010 that the permeability is in the 1 to 10 milledarcy range, which we feel is pretty good.

So the family feels that the Walloons of PES and the Walloons of Metgasco have much in common, and we hope that when you next take a walk down that garden path with us, you will find the most lucious fruit imaginable.

And now we have to leave to prepare ourselves for dinner, and then to prepare the dinner ourselves, for we have yet to reach such social status as to be blessed with domestic help of any sort, apart from Baboo on the odd occasion.

Blessing of the Lord
MLA