Well it is good news but it was hardly going to be otherwise - they drilled back into the zone that was proven oil-bearing in the discovery well.
The BIG problem is now we don't have an OWC so we don't know how big the field is. It's obviously smaller than pre-drill estimates given what happened with the original well, but how much smaller?
The MDT data may give an idea from the gas cap gradient but only the company will know that, they won't be telling us mug punters (and even if they did only the experts would know how to interpret it properly).
I would expect positive logging results and a positive flow test of some thousand bbls per day, similar to the discovery wells. But there will be a resource writedown coming and in a worse case scenario it could actually be a big one.
RIA Price at posting:
26.0¢ Sentiment: None Disclosure: Not Held
