Hi Dale,
I do not think anything to do with gold will effect oil and gas plays, ELH, EHKO or CC except for pumps and dumpers, day traders etc.
I look to see gold hitting 350 in the third quarter and possible of 400 but, so much depends on the supposed empact of Y2K.. The realization of Y2K on thrid world (Asia) where much of the intrinsic wealth is held in precious metals and some stones...
As far as Oil, I do not see the oil or gas price fluctuating much until early next year, I do see the price of oil dropping maybe as much as 20%, the reserves are almost at peak now and the draw down is maybe a million a day, some are suggesting that the reserves are higher than 300 million, line pack may have something to do with that...
CWQ ... They have not signed any contracts yet for drilling or service rig...
They (the JV) is still considering entering one of the exploratory wells, should they consider re working the exploritory well first, the following options need to be considered...
The casing is 20 plus years old, the bottom of the well has collapsed, there WILL be junk in the well.
They could run a liner and cement the liner in place
They could if they ran a new liner run a smaller prouction tubing ie 1 7/8 which could still give them 10, 20 0r 30 million cubic feet of gas depending on liquids, pressures and temperatures.
Other considerations could/would be to put a rig on the well and mill or pull the existing tubing out, cement of the existing bore at TD and whipstock down into the production zone.
I would suggest if they did whipstock it would be around the 10,000 foot level and new drilling to the production zone. The time frame would be equivelant to ELH after they capped the blowout. two months, not including pulling or milling the existing casing.
Should they get lucky and be able to recover the well using a service rig, and Murphy forgot about the, I would guesstimate 2 months the well could be under production.
Thats about all I know...
Taff
PS where do you live??? City? |
