Ann: Thailand Operations Update , page-4

Nice to see 3D producing at rates that fit the profile of its fault-buddy,3C- possibly able to produce at the highest rates demonstrated by 3C i.e. a bit more than 3000 bopd.
As the months have rolled by since August last the throttled-back 3C has continued to perform and not water out- bit of a warning though in the reference to failures in the 2007 to 2009 era of V wells in the first 1 to 3 months.Even after 8 months we are not completely out of the woods with 3C(and never will be,see below),much less so with the just-completed 3D. Its best to be a bit circumspect with all Volcanic wells in our leases and regard all V wells as having a limited life(say 7 years at best versus 20 plus for sandstone wells in our leases and elswhere in central Thailand (the Sirikit field continues to be the benchmark,at least for Sandstone wells where we are.The adjacent 2007 volcanic biggies flowed at 3500 and 5000 bopd and these were simultaneously the best V wells and the "worst" (because they they watered out in the 1 to 3 months window). They were immensely profitable for as long as they produced,covering their drilling cost in no time flat-less than a month,as a generalisation based on data given out by CVN.
If Towngas can get initial flows (pre-choking) of 3000 plus out of a decent number of wells like 3C and 3D and get the wells to last for 1-2 years by choking them we are away on a gig.Every day that 3C (and now 3D) doesn't water out after,say,a year is good news.