Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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Shalmar: Thanks for clarifying that detail. That would make the Amungee about a 5MMcf well.
WW
Gabor was asked about the size of casing used and he confirmed that full production size casing/tubing is used as standard and this is 5.5 inch tubing. He also stated that this is the same size casing that was used at the Amungee well.
On the flow rates mentioned previously, I understood from the meeting that 5,000 MMcf / day on a 3,000 meter horizontal was the minimum flow rate required to be considered a commercially viable well.
Newtofo/Giovanni: It is also important to remember that production is being restricted due to undersized casing used in test wells for economic reasons. I recall Orson or Nano addressing this. My question is if 5MMcf/day is the target is that with smaller casing or is that an extrapolated figure allowing for full size casing - don't know.
Thanks newtofo for the clairification on flow rates and commerciality.
Geovanni, Just a small clarification -- the Amungee was producing just over one million cu ft per days from that 600 meter long horizontal not 63 MM cu ft per day. Some of these numbers get jumbled up in the translation, but to be clear the Amungee was producing one million cu ft. per day and Gabor's suggestion on a 3000 meter long commercial test horizontal is five times that number over five times a longer lateral.
That's brilliant analysis fellas.
Geovanni, a flow rat of 5000 MMCF/day from a 3000 foot horizontal in the Lower Kyalla would be very comparable to the flow rates from the Amungee H1 well. Even though the Amungee horizontal was drilled out 1000 meters, Origin was only able to get approximately 600 meters to flow due to the geologic fault that intersected part of the mid-Velkerri that eliminated any fracking across almost 1/3 of the entire horizontal length.
The comment by Gabor at the AGM -- that a good commercial rate would be 5000 MMcf/per day from a "3000 foot" horizontal is almost exactly the same as what was achieved at the Amungee well over 600 meters. If you divide a 3000 meter long horizontal by 600 meters --- you get five times the length and five times the Amungee flow rate of 600 meters which would equal 5000 MMcuft/day.
Therefore what Gabor is suggesting is the same level of gas flow as the Amungee and if the liquids come through along with the dry gas -- then that would be a very significant commercial result. Remember that this current Kyalla 117 well may only be 1000 meters -- so the numbers will be considerably less than that what Gabor is suggesting for a possible stage three well test.
The Amungee produced 63mmscf/day. Why do we now need 5,000MMcf/day to achieve commerciality for the Kyalla well ? In this context why was the Amungee considered to be a good result ?
The figure mentioned yesterday by GB was 5,000 MMcf/day for 3,000 M lateral
ITguy_
Dually noted.
Thank you,
Poods
POOQ! I forgot what your observations were! Thank you for reminding us....AGAIN!
Question for the bb. Even if the bod aren't prepared to answer, what flow test result at KLR would be required at a minimum for it to be deemed successful i.e. commercial?
As someone who was at yesterday's agm, I have to say you have given a very detailed summary.
I feel very optimistic having listened to the presentation and responses to the Q&A by POQ and GB
GLA
All-
The chatboard silence this morning is deafening, as we watch FOG dribble down. Despite the dismal share performance, I have continued adding and have purchased 400,000 shares of the additional 500,000 shares I said I would add. Will see what today brings, but possibly will add the last shares today to roundup the position to 2.5 million. Beyond that purchase, I suspect if the shares continue to trade lower, possibly below my 10p target, I may initiate a new buy program. Why? Because despite what most of you know are MY reasons for the dreadful downward price of our shares, the FACT remains FOG looks interesting based on what Origin has provided us.
In summary, the deal POQ struck with Origin, I have to take my hat off to him...well done. Since then there has been little to cheer up about for most of 10 years. With regards to my past suggestions and the "none responses", at this point I can only shake my head, choose to add or sell shares and be sympathetic to my fellow shareholders. The entire board I am guessing believes all they are told by our leader and thus, either we are where we are because the board believe POQ is right or there is something none of us have been told, which may account for them (the board) not putting their personal money into more shares in a sign of confidence each of us makes when we buy more shares. Let me end this with the simple reason I continue to yes, harangue. We shareholder have been too complacent. There were things I believe could have been done based on my 50 years of experience. The board and POQ have apparently never considered that "this guy might be right and we should at least answer TRUTHFULLY his questions and discuss his suggestions". Enough and if you do not like these comments / observations, feel free to tell me and will act accordingly, based on your inputs.
Hi WetWater,
I’m going to address your post of 18:19 GMT tomorrow if that’s okay as it requires a lengthy answer.
Regards,
987etc
987ihg654fed321c - I''m sending a double down on your good report. Excellent indeed!!!
And more thanks great effort
Ditto
I'd like to add my thanks as well. Terrific summary and such a lot to look forward to
Thank you very much for the good report of the AMG !
Sounds positive !
Here Here, very much appreciated for the detailed feedback from today's AGM, great to hear things are sounding very positive.
987ihg654fed321c-
That's superb. Many thanks for going to such lengths. Appreciated
987: Thanks for the very thorough report on the AGM. As IT I was surprised to hear that an immediate move to stage3 might be considered - of course that would be dependent on a gangbuster flow test of the Kyalla to such an extent that it exceeded Origin's/Falcon's expectations of the Amungee dry gas and the potential of the Velkerri wet.
I take it that the potential of additional 'stage4' wells to prove up Amungee dry gas resources prior to sell was not addressed - That may be getting the cart before the horse - better to focus on the Kyalla and see where this exploration/appraisal goes from there.
Thanks again for taking the time to attend the meeting and report back to this board.
987ihg654fed321c-
That is quite a user name!
Thanks for the update, which is pointing in a positive direction. Poods
Thanks, 987jhg654fed321cba
Very detailed...much appreciated!
I liked the could jump right into stage 3 part of the KLR