Ann: Quarterly Cashflow Report, page-74

For those not understanding casing perforation. A tool akin to a perforating gun, ( which is simply a pipe containing "bullets" for lack of better explanation) is positioned at the zone of interest and about 30mm holes are blasted (shot) or burned thru the casing and into the formation. As you can imagine this penetration does not go very far into the formation. In this case this series of small contact holes appear to be allowing enough oil to flow (seep) whatever you wish to call it to obstruct the original use of their drilling (positioning) tool. That to me is highly significant as if a few small holes into the formation are producing enough oil to cause a problem then it's odds on that a few thousand feet of a reasonably large diameter (perhaps around 5") holes will produce quite a tad more. Additionally the deeper formation is significantly more mature than the upper formations and quite probably will have reasonable permeability and porosity. Then there's another formation below that. I will mention here that while the share price is considerably lower than where I came in the prospects are considerably higher. Keep the faith.