GDN - Golden State Resources

Perhaps ... perhaps .... perhaps .... will be fast which ever way it jumps

Dutchy3 said:

Perhaps ... perhaps .... perhaps .... will be fast which ever way it jumps

Click to expand...

Base @ 60c should hold regardless I think as absolute worst case would be production from the existing zones and a second shallower hole again into the secondaries (huge apparent reservoir). Porosities look to be positive and a well placed to maximise exposure to the shallower already logged zones offer the potential for big flows. This cashflow/ability to farm down to 65% or so would underpin whatever they wanted to in the future. Due to the enormous reservoir potential it would take many many years to drain the shallower zones and Leadville could then be approached at their leisure.

This being said I believe the Leadville will be penetrated by the end of April.

Secondly I imagine some substantial data concerning the uranium interests such as historical logs, grab sample results - near term drilling program, farmin by US partner etc would be expected prior to the option expiry/June reporting period.
Most likely around the same time as drilling recommences imo just to thoroughly blow the markey away.
Remember that the majority of these historical veins were only mined to the water table!
I imagine the market would take a shine to a Uranium company, with resources, in a benevolent western market that is also producing umpteen million cf/day of gas .

carpe diem

SP latest GDN $0.685 +$0.015 +2.24% 419,700 share $287,614
20-Mar 11:48:35

ASX ann March 20
20-03-2007 10:13 AM GDN Drilling Status Report
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00704318

34 feet to go

Drilling Status Report – 20 March 2007
• Paradox Basin #1 oil & gas well, Grand County, Utah, is at 15,397 feet
(4,692 m) in the Pennsylvanian Molas Formation, at the top of the well’s primary objective. The rig is recovering a length of lost drill pipe above the casing hanger, prior to drilling into the Leadville Limestone objective

• Lost pipe recovery is nearing conclusion. 34’ (10m) of pipe remains
above the casing hanger - recovery continues

PARADOX BASIN #1 OIL & GAS WELL, UTAH USA
Paradox Basin #1 oil & gas well continues to recover a lost section of drill pipe left in the hole, attached to a casing hanger above 9,148’.

Recovery is proceeding at 9,114’. 34’ (10m) of pipe remains to be recovered above the casing hanger. Pipe milling will be completed at 9,116’, at the top of the final pipe joint attached to the hanger. Washover pipe will be used to recover the remaining 32’ length of pipe.

Upon reaching the casing hanger, the well will be cased at 7” to the surface to circumvent any risk resulting from damage to the 9⅝” casing during the milling and recovery process.

After cementing, running a bond log and conducting a BOP test, the well will drill on at 6⅛” into the major objective Leadville Limestone. Paradox Basin #1 is at 15,397 feet (4,692 m), in the Pennsylvanian Molas Formation, a distinctive terra rossa palaeosol horizon formed on the top of the Leadville Limestone, the primary objective of the well.

The production potential of the above intervals will be determined upon setting production casing and conducting flow tests at the completion of drilling.

GDN SP is looking VG today following update on Tuesday

GDN $0.79 +$0.07 +9.72% 4,889,499 shares $3,803,223
@ 22-Mar 12:59:49

Yes ... nice move and the MD has not swung hugely on the buy side ... chart latter

Gap on the open too ... good as any and better than some ... lets see what it can do now.

Announcement - Today

• Paradox Basin #1 oil & gas well, Grand County, Utah, is at 15,397 feet
(4,692 m) in the Pennsylvanian Molas Formation, at the top of the
well’s primary objective. The rig has been recovering a length of lost
drill pipe above the casing hanger, prior to drilling into the Leadville
Limestone objective.

• The pipe milling and recovery operation has been successfully
concluded. Preparation for casing from the surface is underway.

Close of the week and this has confirmed the move away from 70 - 75.

Todays action very encouraging ... little gap on the open and a hook up into new air. Nice relative increase in volume over the last week or so to.

HOLD

bigdog.....are you still around,I was wondering what you think the sentiment will be after Leadville is reached?Any thoughts?

This excerpt is from http://www.tidewater-oil.com/ (Prospects-Thompsons Deep Gas) that rosesny1 posted from earlier.It even mentions GDN.It appears that GDN are preparing for some serious pressure coming up and note in the story below the p.s.i that had to be "killed" by additional mud weight.I`m getting my hopes up too high again but the chance of major gas showing is there in my opinion.

Good day.


Thompson Canyon Deep Gas Carbonate Prospect,
Grand County, Utah

Seismic amplitude anomalies within the area of bedded Paradox Formation salts suggest the possibility for structurally controlled hydrothermal dolomite reservoirs associated with carbonate beds. The geometries also indicate that some mounding may be present.

The strong vertical component to the seismic anomalies is similar to the seismic signature of other structurally controlled hydrothermal dolomite fields. A recent AAPG bulletin in November, 2006 (v. 90, no. 11) dedicated to hydrothermal dolomite reservoirs offers several analogs with similar seismic characteristics.

Recent work under the supervision of the Utah Geological Survey has documented the presence of hydrothermal alteration in the Leadville Limestone at Lisbon Field. (See the two posters published by Eby, et al, 2004).

The Gulf Canada Seismosaur #1 well took a kick at 15,483’ and flowed 11.4 lb/gal brine water with 5,000 psi flowing tubing pressure. 19.0 to 19.1 lb/gal. mud was required to kill the well. The reservoir pressure was in the 15,300 psi range for a gradient of 0.99 psi/ft. This is extreme pressure, which is not uncommon for hydrothermal reservoirs. The brine water had a unique composition of 37% calcium chloride with very little potassium, magnesium or sodium. Other trace elements such as lithium, however, were present. This water is also consistent with the high calcium chloride brines that are commonly associated with hydrothermal dolomitization and leaching of limestones.

The seismic amplitude anomalies that are believed to be associated with carbonates and over-pressuring offer the potential for very large per-well reserves. An area of approximately 15 square miles has been identified where consistent seismic amplitude anomalies are present. Additional information may be supplied upon request. Seismic and other proprietary data may be reviewed by appointment at Tidewater’s office in Denver.

Golden State Resources nearby drilling at Paradox Basin.

Gaps today and the whole disaster ...

the whole disaster?

Enjoyable milestone for me reached by going through $1 again.:

GDN ASX ann April 5

SP was up 3 cents today which is heading in the right direction.

05-04-2007 12:43 PM GDN Drilling Status Report

Getting close to the top of the well’s primary objective.

Drilling Status Report – 5 April 2007
• Paradox Basin #1 oil & gas well, Grand County, Utah, is at 15,397 feet (4,692 m) in the Pennsylvanian Molas Formation, at the top of the well’s primary objective.

• Running of casing from the surface to the casing hanger at 9185’ has been completed. Following completion of cementing, running bond log and BOP test, the well will drill on into the Leadville Limestone.

PARADOX BASIN #1 OIL & GAS WELL, UTAH USA
Golden State Resources is pleased to announce that running casing at the Paradox Basin #1 oil & gas well has been completed without event.

The well has now been cased at 7” from the surface to the casing hanger at 9,185 feet. The remainder of the well has already been cased at 7” from the casing hanger to bottom at 15,397’.

Following completion of cementing, running a bond log and conducting a BOP test, the well will drill on at 6⅛” into the major objective Leadville Limestone. Paradox Basin #1 is at 15,397 feet (4,692 m), in the Pennsylvanian Molas Formation, a distinctive terra rossa palaeosol horizon formed on the top of the Leadville Limestone, the primary objective of the well.

Many are hoping that the next ASX ann will state that drilling has started again.

During November 2006, drilling stopped at at 15,397 feet (4,692 m) in the Pennsylvanian Molas Formation, at the top of the well’s primary objective.

Last ASX ann April 5 stated:
Following completion of cementing, running a bond log and conducting a BOP test, the well will drill on at 6⅛” into the major objective Leadville Limestone. Paradox Basin #1 is at 15,397 feet (4,692 m), in the Pennsylvanian Molas Formation, a distinctive terra rossa palaeosol horizon formed on the top of the Leadville Limestone, the primary objective of the well.

Just joined this forum thing... been reading GDN's thread and being a GDN holder since last October share the pain and the elation that this ride is producing... i've held on to this stock despite the stuck pipe setbacks because of the potential return on a leadville success - i reckon there's a better than 50% chance of success - and also even if it proves dry then there's already enough decent gas shows encountered to provide a better than 50% chance of being viable in the longer run i.e. worth a couple of bucks... ...Reason i reckon there's a greater than 50% chance in the leadville is that the pinkerton had good shows and lies only a few feet above the leadville - it would have had to be charged by gas migration from source rocks (Alkali Gulch) leaking across the fault which juxtaposes this rock again both the pinkerton and the leadville (assuming GDN's seismic interpretation is good)...it's obvious there's alot of shareholders keeping a close watch on this and waiting to sign the paperwork for the new Cayman.... I just hope the bond log that needs to be run shows there's no need for remedial work before drilling on....

chance fate said:

..it's obvious there's alot of shareholders keeping a close watch on this and waiting to sign the paperwork for the new Cayman...

Click to expand...

Greetings chance....I was wondering what the new cayman is?imp:

Porsche Cayman.... i.e. make a large profit! Regards

chance fate said:

Porsche Cayman.... i.e. make a large profit! Regards

Click to expand...

Might be a porsche for some but I`ll be souping up the dato 120y so I get to work on time.

11-04-2007 11:32 AM GDN Drilling Status Report

SP now up a few cents on ANN and currently GDN $1.11 +$0.03 +2.78 pct

Currently drilling out approx. 150’ of cement fill at the well bottom. On completion of a bond log the well will drill on at 6⅛” into the major objective Leadville Limestone.

http://www.asx.com.au/asxpdf/20070411/pdf/311w6c5l73w57d.pdf

Drilling Status Report – 11 April 2007
• Paradox Basin #1 oil & gas well, Grand County, Utah, is at 15,397 feet
(4,692 m) in the Pennsylvanian Molas Formation, at the top of the
well’s primary objective.
• Cementing of casing from the surface to the casing hanger at 9185’ has
been completed. A BOP test has been completed successfully, and following running of a bond log the well will drill on into the Leadville Limestone.

PARADOX BASIN #1 OIL & GAS WELL, UTAH USA
Golden State Resources is pleased to announce that operations casing at the Paradox Basin #1 oil & gas well are proceeding successfully.

Cementing of the new 7” casing from the surface to the casing hanger at 9,185 feet has been completed successfully. The remainder of the well has already been cased at 7” from the casing hanger to bottom at 15,397’.

The rig has completed drill-out of cement, float collar and shoe at the base of the new casing and is currently drilling out approx. 150’ of cement fill at the well bottom. On completion of a bond log the well will drill on at 6⅛” into the major objective Leadville Limestone.

Paradox Basin #1 is at 15,397 feet (4,692 m), in the Pennsylvanian Molas Formation, a distinctive terra rossa palaeosol horizon formed on the top of the Leadville Limestone, the primary
objective of the well.