hdgu1 result...

A bit of a mixed bag really...

http://aspect.comsec.com.au/asxdata/20080826/pdf/00873031.pdf


Hlavinka Gas Unit 1‐1

At the Havlinka Gas Unit 1‐1 well, which was drilled to appraise the Rayburn Field boundaries, wireline logs were successfully run at the total depth of 12,200 feet (3,719 metres).

The logs confirm the presence of gas in multiple sands of interpreted poorer quality than previous wells within the Wilcox Formation at Rayburn. As a consequence, the partners have agreed to defer the decision on which intervals to test until some equivalent intervals in other Rayburn Field wells have been tested.

A retainer plug has been set in the well and the rig is currently being moved to the next location. The retainer will allow the well to be re‐entered later after the results from further testing in other Rayburn Field wells have been analysed. Gas shows were also encountered in the shallower Cook Mountain interval which will also be considered for evaluation.

So the reservoir contains gas, but it's poorer quality than expected, so may not flow as well as others. Guess until its commerciality is determined, one cannot really include this as part of our valuation (to extend the reserve estimates).

D4 is to be drilled next.

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