30 percent loss minimum, page-14

Hi odge,

you said in a message in leadville there was no major pay zones?

I think gdn would be a lot higher if they worded their announcements a bit better for most investors to understand after reading once the significance of any gas shows instead of reading 3-4 times or more.

If you go back to september reports you will notice they had a minor show of 4 feet this they then stated is a likely productive zone. They used the words of a minor show when mentioned it in the report even though they also said it was at 3000 units which had increased to 3250 units or abouts. Now its one of many intervals they will test and hopefully produce from even though they said its just a minor show.

Then in the pinkerton trail which was a 30 foot major gas interval which they made very clear to investors it had 800 units of gas thats approximately 4 times less then the minor show further up the well but they called that gas show a major interval.

Not sure how they come up with a minor show major show and major interval but it doesnt look like its set amounts of gas units which decide it otherwise the 4 foot interval would of been mentioned as a major show i would of thought.

When they released the report for the gas found in leadville, they used the words minor show but it was a show that covered 61 feet which is over twice the size of the previous biggest major interval of 30 feet in pinkerton trail. The words obviously have more effect instead of the amount of feet of gas they recorded in the show. To me being twice the size of pinkerton and likely to be productive i would think its a large gas find in leadville they have and not many people have realised this or noticed it. I guess if they instead used words a major gas interval instead of minor gas show the share price would be atleast double if not more the current price.

The lisbon field which they have referred to in reports as being similar to gdns well have roughly the same amount of area to the 2000 ha area the well will be producing from, and they have only 225 feet of net gas pay. Im not sure if 1 tcf of gas is the most they will get in lisbon i just find sites that say how much they have produced so far would be good if someone knew how much they expect to produce from lisbon.

But if we go on 1tcf of gas at lisbon from 225 net gas pay to gdn needing 440 bcf of gas to be worth 10 dollars you would need around 100-110 feet of net pay?

If thats all gdn needs to be worth 10 dollars, and if you go over all the notes including finding the shows they have mentioned they plan to produce from even though they dont mention it as gas shows they would have over 400 feet including leadvilles 61 feet of gas. If only akali gulch, pinkerton trail and leadville gas shows were productive thats still more gas then they needed to produce 440 bcf of gas and thats without any other gas shows they expect to produce from and the oil column i guess many aernt noticing.

Ive also read on other reports from different companies they can be productive from 1 foot of oil on their wells and we have 21 feet and its not even the main target gdn were looking for.

About the dst tests they are running on leadville, this is just a guess but could the reason they feel like running this test which would normally wait till td was reached is they know how significant the gas find in leadville was, they failed to report it in a way for the market to realise how positive the find was which sent the share price down, stating the zone being potentially productive still didnt get peoples attentions, so they are putting in the effort and the money to do this test to get really acurate figures of pressure to release to the market which hopefully will get the market to realise the significance of the leadville gas show to help with the price?

Thats just a possible reason why they are doing it since normally they dont do a dst till reach the bottom and they have said they plan to keep drilling.

They also have an extra 8000 ha aswell once they repay eclipse back sunk costs and have them recieving 16.87%. So they will have a lot more drilling to do on other areas besides producing from this well and other wells to keep increasing production rates. This wouldnt happen for a while though since got to test this well and drill a second one.

I dont mean to make it sound like an upramp but thats how ive read the reports and some ideas of why they are running a dst. I could be wrong with everything ive said but its how ive looked at what they have found and thought to share it.