How are we? It seems a bit spooked today after the ann on the well progress which in my opinion was a total over reaction.
I find it necessary to summarize the reasons why you should still hold this stock as many people are jumping off the cliff one sheep after another.
Firstly SUR got into this well FREE CARRIED which means it has cost them nothing at all to drill, even if it is a complete duster (which remains to be seen until they have completed and wire logged the well).
Secondly this well has not yet been finished and whilst they did say they didn't hit the reservoir they expected to hit at 800m into the well I recommend all those thinking of selling to read this extract from the ann:-
'Reservoir quality fluvial deltaic sands, as interpreted from nearby well analogues, are still anticipated to be intersected deeper in the section.'
All is not lost for this well and the logging will show us what we really have down there.
Thirdly SUR has ONE MORE certain well to drill into the prospect and drilling will start there as soon as the rig has finished with Tapao Kaew #1 so there is still one additional well to look forward to. This well is located in a different area to the first one, so even if the first well is a duster that does not automatically make the 2nd well a duster too.
I hope some sense and confidence returns to this stock now that the nervous speculators have departed.
Good luck to those brave enough to hold steady in the face of adversity!
Adios amigos
SUR Price at posting:
6.7¢ Sentiment: Buy Disclosure: Held
