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Gold/Mining/Energy : KOB.TO - East Lost Hills & GSJB joint venture

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To: Rocket Red who wrote (4515)9/8/1999 7:00:00 PM
From: grayhairs  Read Replies (1) of 15703
 
My golf game is anything but ZZZZZZzzzzzzz, Rocket !!! But, thanks for asking. I always find my game quite exciting as I'm always wondering where my golf ball will go. That's why I always raise my head !! Believe me, there's never a dull moment when you're in the golf cart watching me play !!

I do admit that I've taken advantage of the lack of progress at ELH over the last several days to work on my chipping, pitching, sand shots, flop shots and putting. I've been practicing very diligently for 2-4 hours/day for quite a while now because I have a very big tournament which will start for me at about 4:45 a.m. tomorrow !! Now, FORE !!.

Currently, ELH and Cal Canal operations are like watching molasses flow in January in the Yukon. I'll be away until next Monday but it is comforting to know that operationally I won't miss anything of note. Heck, they've been trying to run a liner in ELH #1R now for over a week and they may or may not have it in the hole at TD yet (depending upon who one is to believe) and even if it is landed they still haven't got it cemented and pressure tested. Then they have to complete the well and they can't even start that until Sept 21 and it'll take at least 10 days for the completion before they can start their test, so ZZZZZZzzzzz. And we all remember how you were hyping that there was going to be a test on that well over a month ago !!! You must be pretty tired waiting for the flows by now aren't you ?? Well, not to worry Rocket. We'll have those flow tests in about 3-4 weeks (with a little good luck, of course).

Good thing you still have Cal Canal to hype or you'd for sure be ZZZZZZZZZZZzzzzzzzzzzzz by now. BTW, I really do think that someone should have told your Vancouver source that the gas show observed at Cal Canal had everyone pretty excited until they realized that the operator of the mud logging unit had had beans for supper the night before !!!!! Yes, the mud log has indicated several gas shows, Rocket. Things would sure be looking pretty gloomy at this point if we were sitting at 13,600 +/- and we didn't have gas shows !!! But, I'm sure you know that. And yes, of course those shows give us hope. They confirm that the deep shales have generated oil and gas and that we likely have ample "source rock" deep in this basin. But, most everybody knew that anyways because there's actually been a little bit of oil and gas produced out of the San Joaquin Basin you know. Of course you realize that "uphole shows" do not mean that the Temblor will contain ANY gas or oil. It may, but it may not. It might have at one time, but it could have escaped or been "flushed" by water influx. So, it is still critical that we find a "seal" on the top of the Temblor formation. And, of course, even if the Temblor does contain gas we must be able to extract it at commercial rates. That's why gas shows in uphole shales don't get most oil people very excited, Rocket. There's gas in them but you can't make a buck at producing it because the shales lack permeability. So, the bottom line is that we still have a whole lot to hope and pray for.

As for the VPS results, yes they certainly are encouraging. We'll no doubt see the well cased and cemented as they prepare to penetrate the Temblor. As that's going to take at least 14-21 days my little golf holiday won't cause me to miss any important operational action. Let's all wish them luck. If nothing goes wrong and if there are no further delays (fat chance !!), we'll start to hear some "meaningful" leaks in about 3 weeks. Until then Rocket, all of the rumors you hear are pretty much useless so don't you let those boys from Vancouver pull your pi--er !! You just never know where their hands have been !!

Later,
grayhairs
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