IMHO, pertinent to any successful exp/prod oil & gas co., & i...

IMHO, pertinent to any successful exp/prod oil & gas co., & i would expect the same with CSG, is a busy exploration schedule.

Nope, I don't think so in this case. This area has been drilled since the 90s, has been in production for almost 15 years now and the exploration is done.

There's nothing they need to explore. They know what they have - a hell of a lot of gas that's very difficult to get out of the ground. What they need to do is appraisal and above all, technology trials to improve their recovery.

They already have 2P reserves of 680PJ at Meridian of which WCL have 51%. That's 50 years supply at 40 TJ/d. They need to figure out how to make that work, not spend precious funds on finding more gas they can't get out of the ground.

2. financially, i only bothered looking back to 2011 but yoy of growing losses. 2013 loss was $21.9M!!

Yeah, because they are still only getting $3.80/GJ and operating on a very low capacity. Low volume and low price. A GSA at $8 would change the situation completely, as would some sort of investment deal to get the volume up to 40TJ/day.

I don't really like WCL's ground, I think it's too tight and the well performance is too inconsistent for my liking, and WCL haven't conclusively shown to my satisfaction that they've cracked the secret to getting the gas out at good rates. However I don't think they are a 'couch potato has been' - I think they stand a good chance of being in the right place at the right time in a perfect storm for gas sales.

And their well technology will only improve. If not for this coming gas market I think WCL would go under (or more likely get bought out in a fire sale) because they don't have the time or money to solve the technology issue by themselves, and I don't think WCL could ever really be economic at sub-$4.

But at $8 it's a different story, and if they can get an investor to fund them for an upgrade of their facilities and some technology trials, I think they have a good chance.