GDN - Golden State Resources

[bigdog]

The Business Spectator reports (via Wotnews Australia Daily News Report)

http://www.businessspectator.com.au...rces-has-595k-loss-Q7G2T?opendocument&src=rss

Golden State Resources has $595k loss

Source: News Bites

Golden State Resources Ltd reduced its loss to $595,000 in the half-year to December 31, 2008 from a previous $734,000 loss, on revenue up 38.8% to $93,000.

There was no dividend.

Cash was down 25.4% to $1.5 million.

The company continues to explore 10,457 hectares (25,937 acres) of state and federal government oil and gas leases at the Golden Eagle Oil & Gas Field in Grand County, Utah, in the USA.

STOCK DASHBOARD: March 16, 2009

Golden State Resources

Closing Price: 7.50c

Price change from previous trading day: 15.4%

Relative Strength (6 months percentile rank): 93.3

Market capitalisation: $23.7 million

Turnover volume: 4,276,706.0

Volume Index (1 is average): 3.3

Turnover value: $309,659.7

Turnover period: 11 months

Value of $1,000 invested 1 year ago: $1,027

 

[bigdog]

ASX ANN today

GDN is on the move at 12 feet per hour with more news at the end of the week!!

Lets hope GDN report this like they did back in 2006!!

18-03-2009 08:41 AM GDN Paradox Basin No 2 Update

DRILLING STATUS REPORT – 18 MARCH 2009

• Paradox Basin #2 Well, Grand County, Utah The Paradox Basin #2 appraisal and development well is currently in the Pennsylvanian Honaker Formation at 8,452 feet (2,571m) and Drilling ahead at 12 feet per hour
  
• Golden State Resources expects to reach the next casing point late this week. After logging and setting the casing the well will test the first objective the Ismay Formation in late March or early April.
  
• The Ismay Formation will be penetrated below the elevation of the previous discovery well to test the lateral and vertical extent of the gas accumulation
  
• Levels of background gas continue to increase with depth.
  
• The purchase of the 9 5/8” casing represents the largest single cost outlay for the well and is a key milestone in both the operations and funding of the well.

 

[BESBS Player]

Its been a good week for GDN. The SP has risen around 1c, volumes are reasonable and news is being reported frequently to the ASX. Happy to hold and watch at this stage.

 

[BESBS Player]

Nice to see GDN crack double figures and reach an intra-day high of 10.5c. Given casing is ahead, wondering if we might see a bit of profit-taking while other punters try and climb aboard ready for when the drill hits the target zones. While I am continuing to hold my free-carried parcel from the P-1 workover, I'm not sure the SP rise can continue without a little dip shortly.

JMHO...

 

[bigdog]

ASX ANN
25-03-2009 09:40 AM GDN Paradox Basin No 2 update
http://www.asx.com.au/asx/statistics/displayAnnouncement.do?display=pdf&idsId=00939199

The reporting season for GDN is underway; lets hope the drill bit does not get jammed!!!

DRILLING STATUS REPORT – 25 MARCH 2009

Paradox Basin #2 Well, Grand County, Utah

• Paradox Basin #2 has reached a depth of 9,710 feet (2,960m) in 39 days
  
• At the intermediate casing depth of 9,800 feet (2,987m), the well will be logged before running the casing. Logging and casing are expected to take approx. 5 days
  
• Drilling should resume early next week. The well is expected to intersect the top of the Paradox Basin sequence at 10,100 feet (3,078m) with the first objective the Ismay Formation at 10,700 feet.
  
• The Paradox Basin sequence contains 8 major objectives in the Pennsylvanian and Mississippian over a 5,000 foot (1,542m) interval
  
• The objectives are the Upper and Lower Ismay, Desert Creek, Akah, Barker Creek, Alkali Gulch, Pinkerton, and Leadville formations
  
• The well is currently ahead of schedule and under budget

 

[bigdog]

ASX announcement today
http://www.asx.com.au/asx/statistics/displayAnnouncement.do?display=pdf&idsId=00939813
27-03-2009 09:42 AM GDN Progress on Weatherford Litigation

Potential money in the bank!!!
Weatherford claimed that it had successfully set the liner hanger and released the running tool prior to cementing operations, but Weatherford now admits that it did not do so. Golden Eagle is seeking a jury award of damages and recovery of its costs against Weatherford in excess of US$6 million.

There has been no movement in todays share price!!!!
GDN 0.089 0.000 0.00% high of 0.091 1,309,374 shares $117,632 @ 27-Mar 10:56:25 AM


ANNOUNCEMENT – Progress on Weatherford Litigation

As disclosed within the 2008 Annual Report, Golden State Resources commenced legal action against Weatherford U.S., L.P. to recover damages caused by Weatherford U.S. L.P.’s failure to properly conduct its liner hanger operations on the Paradox Basin #1 Well. The Company’s US operating subsidiary, Golden Eagle Exploration LLC, maintains in that action that Weatherford failed to set the liner hanger and failed to release the running tool prior to the commencement of cementing operations. While performing the liner hanger operations, Weatherford claimed that it had successfully set the liner hanger and released the running tool prior to cementing operations, but Weatherford now admits that it did not do so. Golden Eagle is seeking a jury award of damages and recovery of its costs against Weatherford in excess of US$6 million.

Subsequent to pre-trial depositions conducted in Utah in February 2009, the Company presented Weatherford with a settlement proposal. The Company wishes to advise that it has received a counter offer from Weatherford that is unacceptable. The Directors have therefore resolved that this matter shall proceed to trial, which is now scheduled for October 2009.

 

[bigdog]

ASX ann today (last update report issued 25-03-2009)
01-04-2009 08:25 AM GDN Paradox Basin No 2 update
http://www.asx.com.au/asx/statistics/displayAnnouncement.do?display=pdf&idsId=00940952

DRILLING STATUS REPORT – 1 APRIL 2009
Paradox Basin #2 Well, Grand County, Utah

• Intermediate casing has been set and cemented at 9 ,800 feet
  
• Wireline logging has confirmed Paradox Basin #2 intersected the top of the Paradox Basin sequence at 9,738 feet (2,968m), 352 feet higher than expected
  
• The look ahead is to drill‐out the casing shoe, then to conduct a formation integrity test before running cement bond logs
  
• Drilling is expected to resume within 24 hours of completion of cased hole logging
  
• The first major objective, the Upper Ismay Formation, should be reached later this week
  
• The Paradox Basin sequence contains 8 major objectives in the Pennsylvanian and Mississippian over a 5,000 foot (1,542m) interval
  
• The well is currently ahead of schedule and under budget

 

[BESBS Player]

[*]The first major objective, the Upper Ismay Formation, should be reached later this week


Happy with progress to date, BD. Should have some announcement by early next week (if not earlier). Although I am already free-carried on this, I'll be watching for the Ismay result. Positive/gas and I'll keep riding, anything disappointing and I'm out of here.

Good luck to all holders.

 

[bigdog]

[*]The first major objective, the Upper Ismay Formation, should be reached later this week

BESBS - yes getting closer
"Currently the well is drilling at approximately 30 feet per hour and is expected to reach the first of eight gas objectives later today or over the weekend, depending on the drilling rate."

ASX ANN today
http://www.asx.com.au/asx/statistics/displayAnnouncement.do?display=pdf&idsId=00941836
Drilling Status Report – 3 April 2009
Paradox Basin No 2 update

After successfully setting the intermediate casing, drilling operations have resumed on the Paradox Basin #2 gas appraisal and development well

Casing and logging operations were completed without incident in approximately eight days as per the schedule

Currently the well is drilling at approximately 30 feet per hour and is expected to reach the first of eight gas objectives later today or over the weekend, depending on the drilling rate.

The Paradox Basin sequence contains 8 major objectives in the Pennsylvanian and Mississippian over a 5,000 foot (1,542m) interval

The well is currently ahead of schedule and under budget

 

[pilots]

I note to day they say if this No 2 is commercial they will bring a test rig in, and test the well, tell me this, why don't they take the test rig on to the first well and get it to flow gas, every one tells me it is commercial, then why ain't we selling it??? If they stated to sell gas you would see the SP go north over night, could it be that the first is NOT commercial??

 

[BESBS Player]

Hi Pilots,

Not sure although I always get the feeling that P-2 is the real hope for GDN.

At one level, for me, your question is irrelevant as I do not plan to be around for re-testing Paradox-1. I already have a free-carried parcel and am watching for the Ismay results. I have not had a great deal of confidence in GDN management and plan to either jump very early this week (if results are negative) or watch for a run and then jump if results are good.

Should be interesting to see how it unfolds...

 

[pilots]

BESBS,, The first well is still a joke to day,(we won't talk about the COST) they bring in a work over for testing, next they say the TBG has a blockage, it could be sand, or when they ran the TBG in the hole was the TGB over torqued, the FIRST thing you do after running TBG is to run a gauge ring to make sure all is API, when I asked if they ran one they did not know, now when they found that the TBG was in trouble WHY did they not pull it out of the hole fix it, and go back to testing.
Until they give us on paper flow rates over a proper test you have NOTHING.
This story on this well is all ways the same we cant test this because this was broken, now we cant test the well because the TBG is half blocked.
What a lot of people are thinking is that as they have not been able to test the well they don't have to tell us it is a duster.
The first well only got to its top price with the help of one very good ramper, had he not been on board for the first well I don't think it would have made 50cents. Watch your stop loss.

 

[bigdog]

ASX ANN today "Gas shows were encountered" so far so good!
06-04-2009 08:31 AM GDN Paradox Basin No 2 update
http://www.asx.com.au/asx/statistics/displayAnnouncement.do?display=pdf&idsId=00942141

PILOTS - can you help with unit findings?

DRILLING STATUS REPORT – 6 APRIL 2009
Paradox Basin #2 Well, Grand County, Utah

Paradox Basin #2 is currently at 10,300 feet (3,139m) in the Upper Pennsylvanian Paradox Formation above the first of eight gas objectives, the Ismay Formation, which is expected at approximately 10,550 to 10,800 feet.

Gas shows were encountered at 10,110‐10,112 feet in the Paradox Formation

Gas levels reached 621 units from a background level of 21 units. The chromatograph recorded high levels of methane at 46,628ppm.

A second show occurred between 10,252 to 10,276 feet with the gas level reaching 85 units from a background of 11 units.

Currently the well is tripping in with a new bit.

The Paradox Basin sequence contains 8 major objectives in the Pennsylvanian and Mississippian over a 5,000 foot (1,542m) interval.

The well is currently ahead of schedule and under budget.

 

[pilots]

Bigdog you get background gas on EVERY well that is drilled any place, as long as the formation has porosity(porous), as well as a cap rock to trap the gas or oil, the readings they have are normal. What we have to see is the flow readings at the end of the well, they can do a DST when they are drilling, this will tell you they have gas/oil, what you need is the final flow readings from the end of the well, the test can run for weeks some time.
This is a wait and watch game, keep your finger on your stop loss.
You all deserve some good luck after the first well, hope you get it.

 

[bigdog]

GDN was very strong on reporting for Paradox Basin #1

PILOTS: Another ASX ANN today!!
SP closed at 0.10 cents yesterday and today Pre-Open Indicative Price: 0.12

07-04-2009 08:40 AM GDN Paradox Basin No2 update
http://www.asx.com.au/asx/statistics/displayAnnouncement.do?display=pdf&idsId=00942556

DRILLING STATUS REPORT – 7 APRIL 2009
Paradox Basin #2 Well, Grand County, Utah

Paradox Basin #2 has penetrated the Upper Ismay Formation at approximately 10,340 feet (3,152m) and encountered significant gas shows of 398 and 787 units in the Upper Pennsylvanian Ismay Formation. The level of gas shows is higher than shows observed in the Ismay Formation production interval in Paradox Basin #1.

The first Upper Ismay Formation gas show displayed a sharp increase from 26 units to a peak of 398 units. The gas is primarily methane (40,177 ppm) with lesser ethane (743 ppm). The show persisted for 32 feet from 10,336 to 10,368 feet. Lithology consisted of sandstones and shales. The sandstone has fair visual porosity.

The highest gas reading of 787 units at 10,387‐10,392 feet (5,079‐5,084ftSS) occurred in coarse grained conglomeratic sandstone with good visual porosity.

The Ismay Formation in Paradox Basin #2 contains a higher percentage of marine sandstones, which are interpreted as near shore bar deposits that are highly prospective as reservoirs.

The Paradox Basin sequence contains 8 major objectives in the Pennsylvanian and Mississippian over a 5,000 foot (1,542m) interval.

The well is currently ahead of schedule and under budget.

 

[bigdog]

GDN SP up 3 cents
GDN 0.13 +0.030 +30.00% high of 0.13; .. 6,629,575 shares $840,337 @ 07-Apr 10:07:55 AM

Todays volume after 5 minutes trading has exceeded the daily volume now for the past 19 trading days below:

Volume is very good on opening
Date Close Volume
06-Apr-09 5.27 1,349,904
03-Apr-09 5 1,007,930
02-Apr-09 4.7 689,870
01-Apr-09 4.6 1,850,073
31-Mar-09 4.52 3,242,940
30-Mar-09 4.27 3,678,803
27-Mar-09 4.45 4,842,076 highest
26-Mar-09 3.93 1,933,731
25-Mar-09 3.6 945,463
24-Mar-09 3.5 769,002
23-Mar-09 3.33 213,912
20-Mar-09 3.17 1,412,368
19-Mar-09 3.05 345,624
18-Mar-09 3.04 704,030
17-Mar-09 3 397,806
16-Mar-09 3 783,953
13-Mar-09 3.05 819,719
12-Mar-09 2.95 835,385
11-Mar-09 2.78 545,196

 

[edogg75]

Great call BigDog.

The key resistance at 11c has been smashed on open.

Clear run to resistance at 16.5c imo.

 

[Agentm]

bigdog,


if a company can put out a release on the asx and compare gas shows between wells without even elaborating on all the factors that could contribute to the change the readings, and without a disclaimer.. then your going to do fine with this share for sure.. i noticed gdn withheld mud weights on both wells so it would be impossible to conclude anything at all from the release today.. other than a gas show was higher in one well compared to the other..


well done to all holders, the share is ripping away on a gas show!!


http://72.14.235.132/search?q=cache...ts&cd=18&hl=en&ct=clnk&gl=au&client=firefox-a

 

[BESBS Player]

So far so good. Loved the announcement today. Positive news yet nothing in it to allow too much critiqueing. Given this, reports of strong gas flows will keep GDN moving northward.

As I quoted earlier,

"I already have a free-carried parcel and am watching for the Ismay results. I have not had a great deal of confidence in GDN management and plan to either jump very early this week (if results are negative) or watch for a run and then jump if results are good. "

Given today's news, I'll be watching but definitely staying in.

Disc: Holding GDN at Ave. 5.8c

 

[Agentm]

besb.


the industry requires under the Listing Rules covered in chapter 5, that a person with 5 years minimum degree in geology, geophysics, petroleum engineer or similar, can sign off the reports. most oil companies use one as a standard on all reports involving any aspect of drilling and exploration

There is a reason for the requirement, it prevents information that can be misconstrued or misinterpreted from going into reports and minimise any possibility of a share rising 50% and trading 35 million shares on a gas show.

its great for the ones selling, but i question if the ones buying are getting a good picture about the gas shows? in the absence of a sign off by a geo i am not certain i can rely on what is being reported in the right context.

great to see the sellers making a killing here.. many got in very low for this journey.. and the daily reports are absolute gold..