Interesting afternoon. As has been said. Not a gasher, but bad...

Interesting afternoon.

As has been said. Not a gasher, but bad either.
With these new shale plays. One wonders if the market has got it's head around it as yet.
After all gas just doesn't just rush to the surface.
So I thought I would have a look back on a shale play that has and is proving a success. NWE

Below is the announcement at TD around about where we are now. As to say, yet to run wire logs etc.

June 17 2011

Norwest Energy NL (ASX: NWE) advises that Arrowsmith-2 exploration well has reached
Total Depth (TD) at 3340 metres.
Both the gas log and logging while drilling (LWD) showed encouraging gas responses in the top
of the High Cliff Sandstone conventional gas objective.
The gas responses below the High Cliff reservoir into the deeper Holmwood member, were less
encouraging suggesting that it was unlikely to encounter commercial hydrocarbons below this
depth, accordingly it was decided to call total depth at 3340 metres.
Arrowsmith-2 has so far successfully achieved its objectives of
? Cutting two cores from the unconventional shale gas sequences, the Carynginia
Formation and the Irwin River Coal Measures, and
? Identifying the potential for conventional gas of the High Cliff Sandstone in the
Arrowsmith -2 immediate area.
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And here is the markets response to it.

(Important to note that Aug the Greens through a spanner in the works. So disregard this section.)

As you can see. Not the best response. Yet NWE have proven 5 zones from 5 from their latest fraccing program.

So again. Does the market just not have their heads around shale yet?