Ann: Good Oil Conference Presentation 2017, page-59

I expect that SGC will try to get this well into production as soon as possible. The comments from early in the drilling suggested they considered that the gas in the upper levels would be sufficient to pay for the well and they have struck a number of gas bearing layers after that.

Assuming they can produce at the maximum capacity of the adjacent metering for some time they would generate $US30k per day. This would given them cash flow to drill their preferred targets and workover and add to production from their existing portfolio.

The prolonged production test will ultimately determine the value of the field but importantly should prevent the need for more capital raising. If you want to double your money in the next month it will depend on the assessment of the wirelogs and flow tests and how the market interprets them. If you want 10 times on your money in a year it depends on how effectively the next wells come on line and how they can turn production into long term cash flow. That is when institutions will buy in in a big way or better still someone just puts in a takeover offer. Ultimately they must continue to tick the boxes of showing increasing resources and production and that takes time and effort.