options, page-38

I think the oppies are a strong chance. Consider this:

SRH1 Spud 07/10/2011 -> Completed 20/10/2011 (14 DAYS)
Total Depth: 9235 ft
Comments: 'Flow Testing' - 'Adjusting Production equipment in a new multi stage fracture stimulated well is a common sequence'

SRH2 Spud 23/10/2011 -> Completed 30/10/2011 (Only 7 DAYS!)
Total Depth: 9500 ft
Comments: 'Brittle Shales - Excellent Frac Candidates'
'10 x Gas readings'

This to me clearly shows progression. 14 days - 7 days for the same if not more depth. Flow testing the first well and adjusting for the right measurements at the right intervals shows diligence and key learnings of the play.
10 x GAS READINGS IS VERY EXCITING!

Next...
SRH3 Spud 10/12/2011 -> Completed 21/12/2011 (12 DAYS)
Total Depth: 9400 ft
Comments: 'Open hole logging not conducted' - 'Weather delay'

In this the third well it is clear there are some procedural elements that are rightfully necessary on a bog standard play but not this the Mighty Permian. They can probably smell and see the results during drilling and from their previous work have the knowledge to successfully fine tune this well. How? Well its in the 'Half Year Accounts' report - Due to their studies and work on the two previous wells they have a new pumping configuration and their Latest frac programs are assisting. So they have developed programs of drilling, testing and learning to sequentially improve the finds on each well.

SRH4 Spud 23/12/2011 -> Completed 01/01/2012 (only 8 DAYS)
Total Depth: 9452 ft
Comments: Gas and Condensate flowed without assistance

The first of the Strawns. Awaiting SRH1 & SRH2 wells to have their pumping units replaced. This shows that their earlier pumping configs were not ideal but they now have the right knowledge and config for all up and coming wells imo.Not a lot of info on the strawn. Could this be the re-rating cherry to come?

SRH5
Comments: First of the 30 stage Horis - bound to increase reserves. New Sleeve-tech being used to speed things up.

Here is the moment that J/V's woke up to this little oiler imo - they're doing what? 30 stage fracs in under a week? Rubbish - no not so they are using innovation to drive their business further. SG understands business bigtime imo.

What does this do for me? It outlines the progressive and intelligent nature of our company GGP and all it has in store for us over the coming months and years. Exciting Times!

Kind of brings a new meaning to 'a well oiled machine'.

The oppies are a big chance imho - if we can spud and drill four wells in 2 months spending all our doe to do so. Imagine a cashed up J/V that has the man-power and the drills all the while getting a WI% in our little oiler. I can forsee 3 to 4 wells being simultaneously fracced to the Strawn and beyond all in under 2-3 weeks. This year? Time will tell....