Ann: Trading Halt-STX.AX, page-35

there's a good chance the CR will be done through the Euroz guys in WA me thinks.  Not that I care where STX get the money from but Euroz (with it's existing WA connections to STX) would be a well supported, quick & easy CR!  Even in this tough market the fundamentals of this project are still very compelling for any Broker and their private clients.....

At the end of the day I just want STX to get the cash asap (from whoever) and use it on those bigger 7" diameter ESP (ie Generation 5) wells that should prove flows well beyond commercial thresholds!  All of the testing work is done, they know what is needed - more muscle at the bottom of the well - the last announcement clearly articulates this!

From everything I have been told the jet pumps were used only because STX thought they had months of water pumping before any sign of gas, ESP's were to follow later.  Now, because of experience and saturation they know that bigger wells with bigger fracs and ESP's are best from the get go!  Provided we see the same fundamentals across the entire project as Klebb & Le Chiffre I doubt we will see any further jet pump configurations, but that's a big "provided".

Study the 2 diagrams below and think it through for yourself, as this is all anyone needs to comprehend in order to fully understand what STX has ahead of them to reach commercial success in the Cooper!....almost there!!!



Above, even a slight increase in actual water production (squiggly blue line) above the "threshold water rate" (dotted blue line) results in a massive increase in "gas production" (red squiggly line)!  New pump configurations will vastly increase water production - see below table and compare 5th generation well to current Klebb 3 generation wells - no brainer - yet still we have doubters amongst us!



I can't help to explain the story in any simplier terms!

Well done STX, this project is going to be the company maker!

HC