They are spudding the Cervantes project in March The odds are worse than I thought. They estimate. a 28% chance of finding oil in suitable commercial quantity.
I don't know about anyone else, but I have great faith in the management of VEN. These guys have so far proven. that they really know how to find suitable drilling areas. The Ensign 970 Rig is gigantic. The Ensign 970 is an ADR-1500 model rig with a hook load of 750,000 pounds, which has a proven track record of drilling wells of an equivalent depth to West Erregulla 2 in North America.
The deep Permian layers in the Perth Basin, have been drilled for BPT and BP to a depth of 4,000 metres. The rig has immense horizontal boring capabilities, plus the ability to drill angled wells from the same pad while still operational. I imagine these newer automated rigs don't come cheap.
Here's hoping. This is a pure oil play I think. We will probably know for sure how it goes in April. I am so glad, to see Cervantes underway. With the price of oil trending upwards, we could be sitting pretty.
DYOR of course.
Paws crossed....Marum Katze
VEN Price at posting:
8.7¢ Sentiment: Hold Disclosure: Held
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