Ann: Operations Update, page-114

The ANN/RNS is not screaming out anything at all to worry about. In fact all is stated as expected.

We have now progressed from C6 on the 18th June to C6+ today.

Pressure support is questionable at this early stage but they are tweaking all they can and patiently observing. Certainly that 9000psi has not dissapeared.

If you look at this ANN/RNS from last year;
http://clients3.weblink.com.au/pdf/88E/01892248.pdf

" At 0550 on the 2nd September (AK time) a small pressure build-up was observed, potentially indicating the first contribution to pressure from the reservoir itself. This is the first time that this has occurred since flow testing was initiated, including the previous testing period prior to shut-in" A new term is used in shale by 88E and that is 'connection' and I can only assume this is what it is, the moment the reservoir fluid moves.

Pressure support is there, it just needs to be manipulated by removing water at changing flow rates. Perhaps a weekend pressure build up would help. IE stop nitrogen and close well. Let reservoir pressure build and open it again.

We have to remember we are not draining a tank or gas bottle, this is a complex reservoir.

It is a known fact in reservoirs that the pressure at the wellbore will not equal the pressure at the boundary or fault. So to create a ripple in this reservoirs 'steady' pressure we need to open/close or flow fast/flow slow, so a pressure build up could allow some charging, then open well and allow a discharge.

While looking over old ANN/RNS you get to the last page that shows the years of experience these guys have and it is re assuring for me to see this.