re: Ann: Po Valley to Complete and Test Vital... So the fact...

re: Ann: Po Valley to Complete and Test Vital... So the fact that they have only hit one gas target before reaching the water level seems to indicate that they have missed what they were aiming for (from the diagram there should be 2 gas rich levels?). Not any reason to panic yet but the intercept length of 4.2m to me seems quite small. Even if the San A1 gas is recoverable from a future deviated pipe it seems that the reserves will have to be downgraded again as the gas pocket doesnt extend as far as they had hoped.

I think the market reaction will be negative regardless of what this announcement actually signifies as the company's history is not stellar and any indication of a problem will be viewed as the beginning of another failure. Im going to continue holding as I think this price level is quite low for this company even if this well is a failure and the upside is still very exciting assuming they are able to get even 50% of the possible reserves from the Castello field.