dspp wrote:dspp wrote:RNS https://ir.q4europe.com/Solutions/Hurri ... d=14375793
RNS Number : 2150F Hurricane Energy PLC 11 July 2019 Operational Update: Capital Markets Day
The Company and its contractors have been evaluating the drill stem test data, well pressures and fluid samples which indicate that Warwick Deep has penetrated a light oil column. Further analysis is required to be able to understand the background to this result and its implications.
"We are encouraged by the Warwick Deep well, despite the penetrated fracture system not supporting a commercial oil flow rate. Hurricane's assessment of data acquired during drilling and testing indicates that the well encountered a significant oil column on the Warwick structure. Our initial analysis indicates an OWC consistent with pre-drill predictions. Confirmation of our provisional analysis will require data from the remaining 2019 drilling campaign, as well as fluid sample analysis from Warwick Deep. Importantly, we have evidence that suggests to Hurricane that the result at Warwick Deep does not have negative read-across to Lancaster or Lincoln.."
If this is to be taken at face value, then the WD conclusions are:
1. Previously they have described Lancaster oil as being (my notes) "Lancaster: Light oil with fairly low GOR approx. 405 scf/bbl. 38 API no H2S or CO2 Little biodegradation" which we now know (per EPS) is 360 scf/bbl. My guess is they trying to indicate that they still think this is pretty much the same oil, but they are waiting on a full analysis;
2. The OWC remains believed to be at the deeper level;
3. The patch of rock they drilled into just had insufficient fracture connectivity;
I must admit I am somewhat sceptical on items 2 & 3 and would like to see a tad more evidence.
On item 1 I can easily understand and believe it is the same or similar oil across the Rona Ridge, if it came from the same source roack and was subject to the same geological processes ridgewide.
I have no clue on Item 2.
On Item 3, given how very localized the geology is in FB It is quite possible they got unlucky with where the drillbit actually ended up. Like those guys who trip and impale themselves on a javelin at school sportsday, but somehow miss everything vital and survive.
The nice thing is, with two more 2019 drills planned, we get two more bites at the cherry, two more chances for data (albeit rather shallower).