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From the most recent interview, they have re-submitted the draft license with no ammendment. The EA just have to sign with two signatories and send back as completed. I can't see how that could take a month.

Early next week? Potential deal on black mass sales to follow? Think we should punch up through 3p on next news.

The directors now have more skin in the game.

Momentum should take us toward 3p tomorrow!

A few posters are on the wrong side of a trade!

Auctus note, TP note and direct communication from CH all suggest things should be back underway in the next few weeks. I expect the production test will start early May.

Scratch that, is that the bank that was part of our funding now clear?

Institutional investor by the look of it!

Praty, we know we have hit a massive natural fracture in the Cane Creek reservoir. Read back rns's on well 36-2. It's likely a gas and high API condensate well, API condensate commands a premium over WTI.

This is only the draft, more news to come. Final license to be issued imminently then production can start. Recyclus on its own valued at 4.32p when not producing, will be much more when producing. Still massively undervalued here. 6p + in the coming weeks.

Excellent news. It would seem I have timed my entry very well!

Thanks for sharing Oakey, sort of confirms my earlier post. Onwards and upwards.

Whilst yesterday's news was far from good it could have been aorse. What we experienced was a major leak, not a blow out as some have called it. A blow out would have been game over and absolutely catastrophic. From what we have been told so far, and what I have seen and read from news sources in the US, everything has been contained. And the cleanup is rapidly progressing.

It also sounds like the local authority are happy, so perhaps no fines and no investigation required before we can continue with the production test. If no blame is being laid at Zephyrs feet then we can assume this was just a mechanical failure outside of Zephyrs control.

What we do know is, the well is an absolute monster. So when we do get production test figures I imagine they will be very impressive indeed.

I've taken a position here after watching for some time. The Sunday roast interview swayed me among other things. It will be interesting to see how this develops when the EA licenses land which could be any day.

Just goes to show the pressure and how much hydrocarbon is down there. Weird situation to be in, bad news, but weirdly happy about it as nobody was hurt and its under control. Flow rates should be substantial when we get to testing.

If the test started on the 20th March it could complete week commencing 17th April as that would be 4 weeks. But they did say 4-6 weeks possible. Possibly a first hydrocarbons rns early this week. If not then it would appear they are keeping a lid on it until they can provide the market with a full picture.

October was the date stated for 16-2 and 36-2 to be tied into infrastructure prior to 36-2 being drilled.

Timeline:
1.slawson wells 1750boepd
2.Kirkwood July 3300 boepd
3.16-2 and 36-2 Oct 5000 boepd

36-2 being a natural fracture has the potential to change that. Could be higher production figures, and if the gas is reinjectable potential to produce sooner.

There is no direct comparison to 28-11, it is just used in reference when talking about further delineating the Cane Creek reservoir, as 28-11 was a producing well and is indeed nearby. I do conceed that in the latest rns both gas and condensate are mentioned but, not oil. But as oil worker mentions below, that could be the gas cap.

My favourite excerpt from reading back is as follows and gives me confidence regardless of the hydrocarbon mix:
"While we've long planned to artificially stimulate the reservoir in order to achieve hydrocarbon production from the well, we've always known that encountering a natural fracture network was both a drilling risk and a feature that could significantly enhance the overall potential productivity of the well. As such, all necessary procedures and precautions were in place in the event the well encountered an over-pressured natural fracture network.

"Whilst we're in an early phase of assessment, previous wells in the Paradox Basin which successfully targeted natural fractures have historically been prolific production wells."

Fair point, but again those references where made prior to us hitting a natural fracture. And there are plenty of other wells in the Cane Creek that are not predominantly gas wells. I'll have a read back regardless though, thanks.

Ren, I disagree with what you are saying about other wells in the area, what is your source? From what I've read the wells have produced oil, production rates have been between 500-1500 bopd. Federal 12-1 to my knowledge is an Oil well. Happy to be corrected with evidence.

I entirely take your point re the gas gathering line. There are certainly some mixed signals in the available information. Without a doubt. The drilling permit for 36-2 states they are drilling for oil. And little to no gas is expected.

Yet, we have purchased a gas plant, gathering lines etc....weird I agree.

But things have changed, we where expecting the drilling model to follow 16-2 with a completion crew and a lateral. That has not been needed as we interested a natural fracture.

So far no visible flare, but equipment clearly moving on the ground. One would think they have started production testing. Potentially the flare is negligible so not visible via satellite. That would indicate very little gas and potential to just reinject.

Lots of variables. Lots of unanswered questions.

Perhaps the thing to focus on with our acquisitions is not all about the Infrastructure, the prospective acreage potentially has far greater value. Its a complete land package, that can deal with gas if encountered. But that doesn't mean every well drilled is going to be a gas well, or vice versa.

I have to say Nelson I will be annoyed If they don't rns anything until the test has completed. They regularly updated the market with 16-2 so I am expecting the same here. We should get a first hydrocarbons rns.