Pantheon Resources - US Gas Play

Just read yesterdays posts and todays posts marked difference in tone... (no gag intended there Tone!)

The post below seems to stand out in reading both days posts for the first time. Seems like some posters had an inkling of the news this morning yesterday but were drowned out by the vociferous and back slapping multitude.

I rather hope to see the big zone do the business, but the post below doesnt make me any more confident to be honest if the shallow zones are typically the producers.

The one thing that does make me more confident though is that they were testing shallow down rather than bottom up.... surely that means they felt it more likely that shallow wasnt going to produce and that the 800ft zone is the main event.

Hope this "anomaly" reference yesterday and the comments today re more logging and coring arent a reference to thoughts that they may have found fizz water though....

good luck chaps. The one thing we do know is that if they get a reasonable success rate over the remaining prospects, yesterdays price should still look like a bargain for long term holders My sympathies though to any maxed out on spreadbets just before Xmas though....

no advice intended,

RoL
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"pwald9 - 20 Dec'06 - 23:13 - 10325 of 10456

Something to bear in mind is that increasing depth doesn't correlate to increased chance of commercial hydrocarbons. GGP had 5 zones with La Playa Deep (spanning 600ft gross) and they tested from bottom up. It was the lower 3 zones that failed to produce. The 4th lowest / 2nd shallowest did produce until they fracced it but then it died on them. It was the shallowest zone that produced for them. Similar pattern for them with other wells on Padre Island (i.e Home Run, which flowed at 2mmcf/day after fraccing from shallower zones after the deeper ones failed). Don't have access to any details on the depths of the zones that failed to or did produce though so I am not drawing or making any conclusions regarding whether or not the deeper zones will be productive, despite how it may sound. Not being negative about this, just stating facts for what they are worth. All they needed was 1 zone to be commercial and flow at 1.1mmcf/day with some oil and condensate. We have nearly double the gross pay in a known productive area. The shallowest 25ft zone is wet and non-productive, "so be it. Onto the next zone m'hearties.....