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Gold/Mining/Energy : Tusk Energy (TKE) -- Ignore unavailable to you. Want to Upgrade?

To: grayhairs who wrote (1164)	10/14/1999 12:59:00 AM
From: Scotchman	Respond to of 1207

Hi grayhairs, <<I can add very little... Apparently the Strachan 3-22 Swan Hills was producing at a rate of ~8 MMCF/d, today!!>> If this is what you call adding a little, I can't wait until you add a lot <ggg> Thanks for the numbers grayhairs and good luck to all of us die-hards on this one. Scotchman

To: grayhairs who wrote (1164)	10/14/1999 11:22:00 PM
From: kingfisher	Read Replies (1) \| Respond to of 1207

Hi Grayhairs, You say gas hit $3.85! Wow! hope they locked in all they could at that price.The Strachan partners are getting almost 50% more for those gas molecules than they would have 10 months ago assuming the well had been tied in as originally scheduled.Not bad at all.Glad I bought more Loon Energy shares a few weeks ago. From your posting you have confirmed that the NEBC AMI has increased to 47 sections.Apparently a typical Jean Marie formation is thin compared to a Leduc but does have the potential to contain hydrocarbons over an extensive area.The first well costs came in above budget at $1,300,000 and they found 3 to 5 bcf.The costs per mmcf will be .37 cents assuming it produces 3.5 bcf.Once the technology is perfected and they can contract a rig over an extensive period of time the costs per mmcf will be significantly below industry averages. What do the partners expect or hope to eventually prove out in total reserves here?Is is reasonable to expect a minimum 25 sections will contain hydrocarbons at an average recoverable volume of 3.5 bcf per section?Or perhaps a cool 100 bcf lies waiting to be drilled and proven. Also if Tusk has a 30% BPO interest at Sahteneh,for accounting purposes if the well produces at 240 boe will Tusk be allowed to say that they have increased their production by 72 boe (30% of 240)until the well is paid out? This could get interesting. SWFSTSOMF ,as they say in the trailer park. Thanks, Richard