Hi Nightspore,I would also be interested to know what these...

Hi Nightspore,

I would also be interested to know what these people think about the small sedimentary layer covering GRK's Olympic Dam granite body. A unique factor in the high quality of Australia's geothermal resource is the sediment cap that overlies many of the non-outcropping granite bodies. This sediment insulates the heat-producing system, and, combined with Australia's age, has allowed vast heat resources to accumulate.

Hopefully for GRK, the smaller insulating cap will not have a detrimental effect on the heat-retaining capacity of the underlying granites. There is no real field data to go off here, but it is an unknown worth considering when making risk valuations.

I think the scope for profits on GRK really starts around these prices if GDY succeed in the HAB3 operations. The sector is grinding forward, with GDY/O closing in the green yesterday, demonstrating the strength of concept. News of a JV, and of possible rig selection, would set the base for the next run, and could be a real wildcard for the SP.

The real problem right now is an absolute stalemate of results. There is no funding for a rig, and no immediate indicators of project values will be revealed until the wells are drilled. The Blanche1 fraccing is, in my view, a farce, and continues to seem like lack-of-a-better-option time use, though an optimistic sector mentality may reward the results regardless.

Thankfully, they have the funds to continue at this pace for a while longer, and the money shouldn't run dry until we have an indicator of the viability of geothermal, compliments of GDY. If not by ground-based results, then at least by sector bullishness, GRK is positioned to rise over a medium term.

I could not resist a side-bet on this one, but can easily understand your aversion to the risk, Nightspore.

Have a good day