permit application l07 1 , page-4

We know the YellowDrum and Nullara at blina flowed oil at around 1,000 BOPD, This was from dolomitized limestones and tight fractured limestones respectivily. There is little porosity here, the reef being totally intact (not eroded away). What ARQ has found at Stokesbay is VAST porosity and permeability (ie cavernous). I note in a recent artilce in the oil and Gas gazette, ARQ may redrill SB next year using a coiled tubing unit and Eric is "extremely confident" SB will contain hydrocarbons ...

So somewhere along the line of that reef, between Blina and SB, it was at sometime exposed to the elements and eroded. WE know there's oil at Blina so hopefully we should also have oil in the SB nullara or in similar reservoir further along the reef.

We know the oils there .. it was trapped tightly at Blina .. so it should be just a matter of finding a valid trap around vugular limestone somewhere long / next door to the reef. Traps can come in many shapes and sizes so the backreef is a valid area to drill (talus slope / sand lens off a oily buried reef).

If Backreef flows oil from a back-reef stratigraphic trap, off the Blina reef trend then surely the fore-reef must also become valid and highly prized acreage. OBL's new permit would then need to be greatly upgraded. I need more details on the permit to verify this though.

Of course that's in the future, all eye's are now on ARQ's hopeful redrill of SB.

Thoughts

- Blina - high flowing, tight, small nullara reservoir oil.
- SB - low flowing, open, large? nullara reservoir oil?

...

- Backreef / forereef - high flowing, tight, small talus slope oil????


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