update out, page-23

"The main target in the 3rd well is Big Hum and it is all gas. If they have only got Big Hum for this drill then it may also be all gas."

Dis, fair assumption however their last announcement states that Bid Hum sands contains both O&G..."Following this exercise testing of the identified 3 sands will commence. Electric Log results of the Dugas & Leblanc #1 indicated over 120ft of net pay (both oil and gas) over three sands.

My interpretation of the announcement is a lot more bullish than a few others have posted here.

Well OK we know there's at least commercial quantaties of gas especially with the following statement:

"The Company has received right of way access for a pipeline and is in the process of completing a gas sales agreement with Gulf South to commercialise this discovery."

As for the oil, well isn't it common for the gas layer to form above the oil? (I'm no expert!) Clearly their mapping has identified a potential oil reserve in the lower Operc sands (an already producing layer?) and IMO they wouldn't waste the extra cash if they didn't think they still had a good chance of success.

It's not uncommon for these drill calcs to be out of wack...and accordingly I'm reading it as a possible upgrade of reserves.

All JMHO and please DYOR.

BTW - Silverwood should be a ripper! Looking forward to those initial gas kicks and necessity to increase mud weights! :)

Cheers,

Arkie

Disc: Holding GGE, AUJ, AUJO