There are now 2 plugs between stage 1 and stage 2. This is not a great result and one should be cautious. there will be more milling and RM didn't do a great job of it the last time. Keep cool heads, the pressures are not surprising and the fact that nearly 4000psi was pumped down and 5000psi returned is not a huge outcome because the permeability is measured in nano Darcy in Cambay.
there's still a long way to go
It's a bit like drawing teeth, spud in first week of March, now 4 months later, we are still going and the high risk part of the job is still to come.
Remember, if it takes 4 months for every well, there will be a very slow development if 100 wells are needed. I was advised that last year a team was sacked for taking 6 weeks to do the same job in another country. they now do it all in 3 - 4 weeks!!!
Caution is wise, but this is ridiculous. Even with all this slow progress, mistakes have been happening, first the rig, then the tree and now the plugs. We will not see sp grow until the market sees that there is more competence and faster progress. Based on this sort of progress, there will be another 6 months before we know how much gas is really there. SP growth also needs momentum, but I don't see any.
I see better planning at my daughter's school and she is in kinder. God bless the teachers!!
OEX Price at posting:
11.5¢ Sentiment: Hold Disclosure: Held