I put this up on the WHN thread Palta Muse. Thought that I would post it here as well.
Yes I agree the Independent Geo Report doesn't make convincing reading. Talking about the Reservoir being the Chinty Formation in the Permian. Downward and cross fault migration? All sounds a stretch, fanciful even. Have to qualify this by saying, what I know about O & G geology on the NWS you could put on the back of a postage stamp and you wouldn't need a very big one.
I have thought about it quite a bit and conclude that Shell more than likely have a different interpretation and as dude says, this will be based on their 3D. More than likely a play in the Mungaroo would be the obvious. Somebody also suggested oil. I and others thought that unlikely at that depth which is correct.
The Geo Report states the, Upper Jurassic Dingo Claystone, (being the principle oil source rock in the area), is "likely to be thin or absent in the area...". That is their conclusion, not Shells. It quite possible that the Dingo Claystone is well formed and that Shell have found oil. Not suggesting it, just a possibility.
The timing of all this has made me wonder. Steve Norske, Back on the 20th said,
“From fairly good sources, we understand the well will be drilling into the middle of July now and we expect the well to be around target depth around mid-July,” he said.
Leroy made his encouraging post back on the 23rd, he said,
"Word on the street looking like a huge discovery, all going well. ".
The two don't tie up obviously, back then and now, how deep is the Palta well? Who knows, but then, SN on the Wed 26th, on BRR makes the comments;
"shareholders should be able to draw their own conclusions" based on 100m USD plus and still drilling Palta:"
however he does go on then to say that, "the well is still drilling" and "Shell want get to TD and find out what's down there". My take is that SN is being pretty loose, and his "draw their own conclusions" was a poor choice of words. The best take is probably that "everyone is hopeful, it's costing sh@tloads, but we haven't got there yet.
Similarly I suspect that Leroy could have chosen his words more carefully.
The title of this tread is Palta News, this is a muse nothing more.
OXX Price at posting:
19.5¢ Sentiment: None Disclosure: Held
