how much oil in place

How much OIP for the Flax – Juniper fields? Is the big question


From the Independent Consultants Report. 3rd Jan 2006
A.C.N. 089 983 595
Executive Summary
Background
An independent review of the drilling results, production test data and the exploration
potential of PEL 101, PEL 103 and ATP 543P South was conducted in late 2005 by
several specialist consultants on behalf of Innamincka Petroleum Limited (INP). INP
holds varying equities and is the operator for the above three permits. McGee &
Associates Pty Ltd (MGA), Colebrook Petroleum Pty Ltd (CPL) and Irrgang Reservoir
Management Pty Ltd (IRG) were the specialists engaged for the review (the
Consultants).
M C GEE & A S S O C I AT E S P T Y LT D

Juniper Oil Field
The mean oil-in-place resource for the Patchawarra Formation and Tirrawarra
Sandstone in the Juniper Oil Field was estimated to be 66 mmstb.
Should the Flax and Juniper oil fields prove to be contiguous, then the upside oil-inplace
resource for the greater Flax-Juniper complex was estimated at 100 mmstb in
the Tirrawarra Sandstone, with a similar volume reservoired in the Patchawarra
Formation sandstones.

From the 2006 AGM presentation 27th Nov 2006
Following the completion of the Flax production testing in
April 2006, an independent reservoir engineering consultant
reviewed the entire Flax production history and increased the likely field recovery factor to 30%.

My interpretation is
The consultants are saying that should the Flax and Juniper fields be contiguous then INP could have a total of about 200 mmstb of OIP for the combined fields. This estimate was done in late 2005. Since this time we have 2006 production figures from the Flax wells indicating a possible 30% recovery factor from the Tirrawarra Sandstone and recently the Flax East 1 well indicating the contiguity of the Flax and Juniper fields.
I suspect Ross Wecker is being suitably conservative in his 120 mmstb OIP estimation in his recent announcement 1st Oct Outstanding Flax East 1 results.

Cheers wink