^Actually, Sorochynska-1 was just a twin, drilling known reserves. That the porosity and permeability figuires were high shows that there was greater natural fracturing (and probably greater drilling compentency), but it was always going to hit gas.
Chernetska is the wildcat field. There are no classified reserves. If they hit something good with the current drill, that will be invaluable. There is definitley hydrocarbons around, but it's a matter of getting a good size trap with great permeability. They'll be aiming to test B21, 22, 24, and 25 resevoirs while they're down there - they know that there's probably hydrocarbons there, but they'll be checking that the faults were of sufficient amplitude and integrity to form proper seals, as well as looking at how porous the sandstone/limestone is.
They'll just have to try again if it's disappointing, but at this stage in HOG's evolution as a company, another big cashflow source would be very valuable so that they could finance concurrent drills in both licence areas.
This is the stage that I'm dreaming of for this company - multiple rigs, and and ongoing drilling programme. These stocks are subject to yo-yoing a bit before and after drills, but I would expect HOG to shed 10c the day after in the case of a trickle, and gain 20c the week after in the case of a gusher.
HOG Price at posting:
32.5¢ Sentiment: None Disclosure: Held
