STX 0.00% 21.0¢ strike energy limited

Drillers probably went in too heavy after the scare at WE-3....

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    Drillers probably went in too heavy after the scare at WE-3. Drilling heavily over-balanced will damage the formation for quite some distance from the wellbore. That said, I would still expect higher flow from a 31m perforation - even with skin issues, a reservoir at this pressure and using large perforation guns you would expect it to clean up over a few days. Would be interesting to know what the sidewall cores tell us about permeability.
    My money is on a tight reservoir at this location. The Gas is there so OGIP will stay OK but if the reservoir won't deliver, there is only one option and I wouldn't want to try fracking up here - too many technical and social obstacles to overcome.
 
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