88E Video Transcript, page-5

3) We’ve got seismic from a very small portion of the whole play and we’re going to drill one well - I just need to know how do we extrapolate that so we get an idea of the total reservoir on the whole play and what the volume’s going to be and how much production we can expect - and where to put the other wells?
How do we extrapolate from one well and a little seismic to the whole thing?

DaveW: Paul will expand on my answer I’m sure… but the seismic is really unrelated to the unconventional play. There is some relationship but it’s quite loose.

So all of the years of work that Paul did putting it together - I might try to get just the initial map up which shows the well control - and really it’s based on that and some of the other legacy data - but the seismic that we’re acquiring now… this is for the conventional - so it’s not really related to the unconventional stuff at all.

So that’s why I said that's complimentary - so we know what the resource potential is for the HRZ - we don’t know what the resource potential is for the conventional - the seismic will tell us that.

PaulB: On trend although we have one well and 500 square miles - Alaska’s a big place, the play’s a big play - just like in the Eagleford - big play… the second well we drilled was 55 miles from the Kundi (sp?). We have effectively six wells and a trend.

And there are very good data wells. And we also have the new wells that Great Bear has drilled in the north. So we have done petri-physics using the best guy that I’m aware of - his company’s called Stimulation Petrophysics - so he’s my favourite type of petri-physicist - he’s a completions engineer. So he doesn’t get tied up in all the gobble-de-gook of petro-physics - this guy’s thinking about “How do you make money? How do you complete a well?”. He’s been in the business forever. He used to run Halliburton’s international group - and anyway he’s come in and he’s spent a long, long time looking at all these wells - and effectively we see during the petro-physics of a much bigger area than where we are, that the play’s not only continuous but in some places it even gets better (than / in?) where we are.