what a crazy time this is for GDN..The announcement today is far...

what a crazy time this is for GDN..

The announcement today is far from negative -some points of interest to note:

1. Many new GDN posters may not remember this but some like Sharemadder, tcf and Jhird may recall that I said many months ago that the company may not even bother drilling down into the leadville if the Upper Ismay demonstrates very strong production potential. (I was abused for even suggesting such a thing at the time)

2. Based on the results from PB # 1 GDN have always preferred to drill a shallower/far cheaper well which targeted the Upper Ismay and move straight into production.

3. This was not possible due to the JV agreement with Eclipse Exploration (the original landholder) as mentioned in 'the story so far.... part 1'

4. However by reaching the depth of 14000ft the company has (over the weekend) fulfilled its obligation to the agreement with Eclipse Exploration (originally I understood the condition to be drilling into leadville formation, but in fact it was simply a depth condition)

5. I believe that GDN are demonstrating astute management, particularly given the cost blowout history of PB#1.. A decision to now start production testing is wise given that millions could be wasted on fishing operations if the drill continues to get stuck in the clays of the lower formations.

6. I believe that many punters jumped on board the GDN train for the leadville ride and as a result are dumping the stock today because they have no understanding of the project and its potential.

7. I am buying in significantly today and will continue to add to position on any weakness. The fact is that a company drills to try and prove up a GAS FIELD and eventually go into PRODUCTION.. This is exactly what GDN are doing now. The pinkerton and leadville will always be there if and when the company decide to test it.

8. Also if GDN go into production prior to October trial date it will apply a lot of pressure to Weatherfords to come up with a favourable settlement..