let the games begin!, page-71

icharus

azz had ample opportunity as operator to put the runs on the board. when they started their 1000+ ip claims and it became obvious there was no such puppy happening, i made it clear on the azz thread the data from the wells did not support the claims made by azz

my impression of their acreages was that they were in a oil zone. and it became pretty obvious the frac issues and drilling/completion issues they had were not becoming public. despite many completions, it was obvious there was little improvement.

it was very entertaining and colourful in the ways they announced their progress, plenty of photos of everything from their own ops as well as photos of rigs run by eog..

ultimately you need production figures to match the announcements, lets say they failed bigtime there.

RRC figures dont lie.. they are really the best way to follow up on the reality of any operators claims. it was not a popular move to post the production figures for AZZ to the shareholders reading the HC threads. but it was necessary despite it being denied repeatedly.

Texon as operator has demonstrated in the olmos sands that they are perfectly capable of drilling, completing and developing the full field olmos sands play. and we see there is no problem in getting pipeline contracts and pipelines built in the heavily competitive mcmullen region.

the decision to drill a few olmos sands wells deeper vertically and test the EFS, then proceed in drilling 2 very difficult and technical horizontal wells was a brilliant move by texon.

there is still significant upside to come when the second efs well is fracced and put on production.

valuations increase progressively as development of wells into the two plays continue.

many olmos vertical wells to come in the near term, and a full efs lateral still to be fracced.

with regards to LOCATION LOCATION LOCATION.. totally agree

texon have a desire to only look at regions with 1000+ bopd ips, and they have clearly demonstrated they have achieved that, and swift have achieved a similar result in mcmullen south and west of the tyler ranch well. it flowed 1,134bopd.

i am again equally curious and very upbeat on the second texon efs well, imho it can perhaps improve on the 1,134 bopd swift achieved on trend there with what i know texon is using. superior frac designs..

best of luck to all holders, texon remains very much under the radar and unnoticed, but imho texon will continue to walk the talk.. they are one very switched on and successful operator that i like adding to.

imho the recent research reports have not been giving outrageous valuations, they are conservative and correct. we see no one opposing directly any of the views expressed in the two research notes. interesting!!!!

texon remains in profit and is self funded atm, and is completing very technical laterals with expertise that many regional efs operators will study comprehensively.