Ann: South Erregulla Update, page-182

Very poor announcement today, lacking much info. After 2nd failure back to back, I'm suspect that Well Completion issues are the cause. << speculative opinion.. If these wells were drilled back to back i think we need to cast an eye on the completion crew?

Wire line logs would certainly have detected the GWC level & if Kingia was water wet the wells would never have proceeded to testing. = would have been plugged.

So from here there would be period to evaluate the issue, form a plan then send in workover rig if there is remediation possible. I doubt it would need to go as far as sidetrack & unlikely they would want to drill over another possible dud. But will STX even last that long as its own entity...

i topped up after the first big drop, my opinion was very unlikely there will be 2 test failures in what has been a very prospective area wells fully logged etc. and based on SE1 results. Well how wrong was I... hard lesson.

Just looking where this settles, I'm making more room in my bags. Surely Gina is watching as well & Beach, and Mitsu and MIN or even Woodside. Fairly sure we will see a bid soon. but not before at least a month or so. the valuations/pitch is usually based on 30day VWAP & accordingly would need to wait for average to reach the lows.