Pantheon Resources - US Gas Play

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pwald9 - Thu, 21 Dec 06 :

ROL et al. With my post I was trying to be realistic and appreciate the history for GGP on Padre. I posted what I did because someone had posted earlier asking / suggesting that they thought failure in the shallow zone increased the chance of success in the lower zone. As mentioned and as has ROL high-lighted, GGP have previously tested wells on Padre bottom up in a progressive manner such that if a zone is found to be commercial they exhaust that zone before moving on to test the next zone. This is what is happening at Wharton and we know that with Zebu they have started with the secondary objective and have yet to test the primary. So the pattern seem to be to test the zones you suspect to be the least productive 1st and then move on. Might seem a bit odd but I am sure there is a financial or technical reason for this that I admit I don't understand fully. Though it sounds like I am drawing direct comparisons I am not mainly because there is not enough data available to be able to say whether the 3 deeper zones in the La Playa Deep well bear any geological relationship (depth, geology etc) to the 800-1000ft lower zone at Plum Deep. We know Total Depths but because GGP / PANR have always played their cards close to their chest there is no real data on where these zones are. One well's shallow could be another's deep, and besides we are talking individual fault separated prospects here. Frio sands in location could be at a completely different TVD in another location. What I am not saying is that failure in the shallow zone increased the chance of failure in the deeper zone, or visa versa for that matter. And as we all know, it only takes 1 zone to produce to make it commercial. Apologies if people misconstrued what I had to say.. As for the suggestion as to the fact that maybe I had prior knowledge, well I am flattered but absolutely not. I don't post that often, but those that have seen my posts know that I like my TA and that I trade elsewhere, that I like to manage my risk and that I top-slice profit when I think it's the thing to do.


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