The company has through analysis 143m of oil shows from the well...

The company has through analysis 143m of oil shows from the well logging.

They are testing the three intervals, 59 metres in the upper carbonates, 45 metres in the lower carbonates and 49 metres in the basement.

Local knowledge says that you fracture the basement, acid wash the upper and lower cabonates. The turbidite sands I am not sure of.

So, we have a somewhat undetermined test of the basement that the company says it will retest after testing the other intervals. Now we are testing the lower carbonates, 45 metre section by acid washing a one metre interval. IF you are a petroleum geologist, logging engineer or petroleum geophysicist, please enlighten us as to why they test a one metre section compared to the 45 metres on offer, alternatively ask the company.

I have asked the question of the basement.

The sections we are now testing flow oil in the Angelim field 3kms away, there is a fair probability that we will get an oil flow. Remember that Block 330 is going to flow at 135 barrls per day after stimulation, so for another 25+ cents added valuation it only has to flow at 135 barrels per day.

I am not going to speculate if it is going to flow or not, the company has done it's hoemwork, they know the oil is there, they will get the oil out if it's the last thing they do.

So now, the punters will speculate if 25 cents is a fair bet for the next round of announcements on the flow rate testing. The investors just want some reassurance that the company is going to deliver us an economic oil flow and I bet the company wants the same.

IT's up to you what you do, I guess it depends on where you see this company going. I think from all the reports ( Mercury Report, Broker presentations ) I have a fair indication where the company is headed, just a matter of time. As for valuations, I'll let the brokers do that but I do appreciate the attempts from ERH followers.

Looking forward to the next lot of announcements on the upper and lower carbonates.

Regards

Kojasper