Australian (ASX) Stock Market Forum

ICN - Icon Energy

Anyone know what all this means?

I'm still learning this CSM stuff, and have basically jumped on the bandwagon, following the charts.

12th MAY 2009 CORRECTED UPDATE ON DRILLING STATUS LYDIA PILOT LP-2

Lydia Pilot LP2, has reached a depth of 638.15 metres and piping has been set in preparation for the coring of the Walloon Coals. As previously advised, selected portions of the main coal sections will be sent to the testing laboratory in Brisbane to determine the gas content. The coring operation provides useful information on the Methane content of the coal. While we have strong indications of gas saturation from the drill cuttings and gas readings from the drilling process, reserve certifiers normally see standard cores as the most reliable source of gas content estimates. Core analysis also provides useful laboratory results on isotherm testing, proximate analysis and coal thickness. Core analysis results will be received progressively over the next two months with the final report due by the end of July.

Once the coring operations have been completed the hole will be enlarged and under-reamed to 22 inches over the main coal intervals. The production casing will then be installed and the rig released. A workover rig will be mobilized immediately LP-2 is cased and the production tubing and pumps installed for testing. The rig will then move to LP-3.


:confused:

This is what I use Kennas to evaluate, although I note that 10 millidarcies or above is okay. I also note that Arrow had a good drill recently with only 1mD I think, which is very surprising! I wrote this in the csm general thread some time back in the earlier days.....

1. Gas content - need to be 3 cubic metres per tonne or higher (I think QGC range from 3 - 9 on their drilling).

2. Permeability - measured in Millidarcies. Average is 50 (now I didn't read that in his document, I seem to think that was average of commercial wells). Richard mentions 10.

3. Gas Saturation - the higher the better obviously. High 90%'s is good.

4. Coal depths - generally 200m to 800m depth for coal seam gas. Gas can be up to 1000m, but must be highly permeable at these depths. eg ESG are deep, up to 1000m, but are higly permeable, and do have seams shallower on the way down.

5. Coal seam thickness - one would think the thicker the better. QGC and PES are finding good thickness, some 25 - 30 metres of seams. However, if it is thick, but not permeable, one can get more gas out of thinner, but more permeable. (QGC and PES drills are highly permeable so far)

6. Type of coal - eg coking coal is high in gas, however, as it has very low permeability, it cannot be extracted in most cases. Brown coals may be better for coal seam gas as more permeable.

7. Just because a company has gas-in-place, does not mean you can extract it. It can be mind boggling when looking at gas-in-place figures, but of no value if you can't get it up out of the ground.
 
This is what I use Kennas to evaluate, although I note that 10 millidarcies or above is okay. I also note that Arrow had a good drill recently with only 1mD I think, which is very surprising! I wrote this in the csm general thread some time back in the earlier days.....

1. Gas content - need to be 3 cubic metres per tonne or higher (I think QGC range from 3 - 9 on their drilling).

2. Permeability - measured in Millidarcies. Average is 50 (now I didn't read that in his document, I seem to think that was average of commercial wells). Richard mentions 10.

3. Gas Saturation - the higher the better obviously. High 90%'s is good.

4. Coal depths - generally 200m to 800m depth for coal seam gas. Gas can be up to 1000m, but must be highly permeable at these depths. eg ESG are deep, up to 1000m, but are higly permeable, and do have seams shallower on the way down.

5. Coal seam thickness - one would think the thicker the better. QGC and PES are finding good thickness, some 25 - 30 metres of seams. However, if it is thick, but not permeable, one can get more gas out of thinner, but more permeable. (QGC and PES drills are highly permeable so far)

6. Type of coal - eg coking coal is high in gas, however, as it has very low permeability, it cannot be extracted in most cases. Brown coals may be better for coal seam gas as more permeable.

7. Just because a company has gas-in-place, does not mean you can extract it. It can be mind boggling when looking at gas-in-place figures, but of no value if you can't get it up out of the ground.
Awesome, thanks Grace. Much appreciated. ICN is still running, dam it! Funny to be dissapointed when a stock does that, LOL
 
No pause, no resistance, just ran through to almost alltime highs. :eek: So much for S&R, but I'm not too unhappy. :) Bad thing out of this as far as TA goes is that we're leaving support way behind. Need some consolidation, basing, for a floor to push off again. Don't like it when things move too fast.
Well, that's more like it. Obviously ran too hard at that point and needed a decent break. Looks like the 30 support area has held thus far. Still under the radar by the look as I am talking to myself and grace.
 

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well im looking
it seems putting yr water to use is a major issue, if its not already potable.
potentially a real earner or killer of the field, depending on rudd and local politics(bribes seem to work well here), and your luck in the residual water quality in yr coal. i presume all of it is nasty to some degree, like its coal and its a long way down often.
unless u r in the know like locals likely are as well as loads of corporates, to me u could do all the sums, and still luck out.
pipes/delivery and water management, i guess with the latter dealing with wastewater is getting easier all the time, tho just as rules tighten also.
its all very well using it for irrigation, but if too many nasties are not filtered out, you will build these up in yr ground, and potentially pollute yr aquifer.
i'm rambling, but its just another relatively unknown variable.
 
Forming one of those nice triangely things in an uptrend. Volume coming off looks good. Seems to have consolidated OK. I'm just worried about the overall market for these things to keep running.
 

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Well, this will probably take that triangely thing out of the equation. Hope it's at not too great a discount, and the market likes it... :confused:

Has anyone not done a capital raising this year?


REQUEST FOR TRADING HALT IN THE SHARES OF ICON ENERGY LIMITED (ICN)

Icon Energy Limited (ICN) (“Icon”) hereby requests a trading halt be granted by the Australian Securities Exchange in respect of trading Icon’s ordinary shares to come into effect immediately. Icon confirms that the trading halt should remain in place until the opening of trading on Monday, 1 June 2009 or sooner as advised by Icon.

The trading halt is requested in advance of an announcement to be made to the market concerning a proposed capital raising.

Icon is not aware of any reason why this trading halt should not be granted.

Yours faithfully
Ray McNamara
 
Has anyone not done a capital raising this year?

For the CSG sector - Origin and Arrow haven't. They don't need to either as they have plenty of cash.

Still many people buy with their hearts and not their brains and if the sentiment is there ICN sp won't be affected too much in the medium term.
 
Hopefully 30c is a floor for now, pending market gyrations.

$15K available to existing holders. I will probably bite, if the general market stays calm.


SHARE PLACEMENT AND SHARE PURCHASE PLAN

For the purposes of ASX Listing Rule 3.10.3, and further to the request for trading halt made by the Company on 28 May 2009, Icon Energy is pleased to advise that it has obtained commitments for a placement of 45,000,000 to 46,000,000 fully paid ordinary shares at $0.30 per share (“Placement”). The final number of shares to be issued under the Placement will be confirmed once monies are received. Intersuisse Limited is the Manager and lead broker for the Placement. The Company expects to issue the Placement shares on or about 5 June 2009.

In addition to the Placement, the Company is pleased to announce a proposed Share Purchase Plan (“SPP”) where eligible shareholders will be entitled to acquire, up to a maximum of $15,000 worth of fully paid ordinary shares in the Company at $0.30 per share, being the same price as the shares issued under the Placement. The SPP is subject to the receipt of the requisite waivers of Listing Rule 7.1 and 10.11 from the ASX. The record date for determining eligible shareholders will be 5 June 2009 and applications together with subscription monies must be received by 26 June 2009.
 
Anyone with a CSG hat on care to comment?

Grace? LN?

Initial market take likes it...


LYDIA PILOT ACHIEVES GAS FLOW IN ATP 626P

Icon’s Lydia Pilot Program has completed the draw down tests on LP-4 and LP-3 with the test of LP-4 to be completed today. All wells have produced free gas flows to surface with indications that the free gas flow is expected to increase as dewatering progresses.

Managing Director, Mr Ray James, said “the gas/water flows represented a “milestone” achievement and proved a new gas province in ATP 626P, 100 kms south of the existing fields.” He stated that “thus far the performance of the Lydia Pilot has exceeded all our expectations for these early stage tests. It confirms the accuracy and quality of the months of analysis that preceded the commencement of this pilot.”

These drawdown tests require water to be slowly drawn down in one well while testing the effects of the pressure reduction on the other wells. The immediate gas flows are an unexpected and significant finding from these tests. All wells have produced free gas flows to surface, with controlled water flow rates of up to 320 barrels of water per day from Lydia No 3. “Once dewatering commences, there is generally a period of time before gas flow appears,” said Mr James. “We are very encouraged by this immediate gas flow as it is an indication that the Walloon Coal Measures are gas saturated in Lydia Pilot Area,” he said.

Dewatering will continue until commercial gas flow rates are achieved. An extensive development program of up to 20 wells may be undertaken over the next 12 months under Stanwell Corporation Farmin Drilling Program. Seismic data will be obtained as part of this program and is expected to contribute to additional proven gas reserves between the wells in ATP 626P. Stanwell’s farmin agreement is for a total $36 million capital input to fund the drilling program in four graticular blocks which contain the Lydia Pilot Wells. The Lydia Pilot blocks are 300 sq kms of a total of 2,225 sq kms in ATP 626P. By funding this program Stanwell has a right to earn a 50% working interest in the Lydia area which is aimed at proving 340PJ of 2P gas reserves.

Icon has reviewed the recent budget brought down by the Queensland Government on 16th June 2009 and is pleased that Stanwell has not been placed on any asset sale list. The Government has said it supports the liquefied natural gas industry, as this is a direct means of creating jobs in Queensland.
 
Anyone with a CSG hat on care to comment?

Grace? LN?

Initial market take likes it...


LYDIA PILOT ACHIEVES GAS FLOW IN ATP 626P

Icon’s Lydia Pilot Program has completed the draw down tests on LP-4 and LP-3 with the test of LP-4 to be completed today. All wells have produced free gas flows to surface with indications that the free gas flow is expected to increase as dewatering progresses.

Managing Director, Mr Ray James, said “the gas/water flows represented a “milestone” achievement and proved a new gas province in ATP 626P, 100 kms south of the existing fields.” He stated that “thus far the performance of the Lydia Pilot has exceeded all our expectations for these early stage tests. It confirms the accuracy and quality of the months of analysis that preceded the commencement of this pilot.”

These drawdown tests require water to be slowly drawn down in one well while testing the effects of the pressure reduction on the other wells. The immediate gas flows are an unexpected and significant finding from these tests. All wells have produced free gas flows to surface, with controlled water flow rates of up to 320 barrels of water per day from Lydia No 3. “Once dewatering commences, there is generally a period of time before gas flow appears,” said Mr James. “We are very encouraged by this immediate gas flow as it is an indication that the Walloon Coal Measures are gas saturated in Lydia Pilot Area,” he said.

Dewatering will continue until commercial gas flow rates are achieved. An extensive development program of up to 20 wells may be undertaken over the next 12 months under Stanwell Corporation Farmin Drilling Program. Seismic data will be obtained as part of this program and is expected to contribute to additional proven gas reserves between the wells in ATP 626P. Stanwell’s farmin agreement is for a total $36 million capital input to fund the drilling program in four graticular blocks which contain the Lydia Pilot Wells. The Lydia Pilot blocks are 300 sq kms of a total of 2,225 sq kms in ATP 626P. By funding this program Stanwell has a right to earn a 50% working interest in the Lydia area which is aimed at proving 340PJ of 2P gas reserves.

Icon has reviewed the recent budget brought down by the Queensland Government on 16th June 2009 and is pleased that Stanwell has not been placed on any asset sale list. The Government has said it supports the liquefied natural gas industry, as this is a direct means of creating jobs in Queensland.

I'm not wearing a hat, but it is indeed fantastic news! Always good to have free flow to surface. Fantastic!
 
I'm not wearing a hat, but it is indeed fantastic news! Always good to have free flow to surface. Fantastic!

I just thought I would add my disclaimer to this for the punters who might read this thread.........it will be important to watch early flow rates on this drill and examine the results due back from the lab come July on the coal cores. At this stage, saturation looks very good (no testing, just a verbal acknowledgement). Look out for drill stem tests. It is all important. I was somewhat sceptical about this area of the Walloons, but hopefully, they'll prove me wrong. I don't hold yet......
 
Chart update.

The 30c level identified a while ago has held ok and nice break up. That should make that even stronger support if we have a market reversal. Although if people start bailing on mass again, support will mean nada.

Grace, has a summary of all the independant CSG juniors been done. ie, comparing GIP, and the Ps, cash etc?
 

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Chart update.

Grace, has a summary of all the independant CSG juniors been done. ie, comparing GIP, and the Ps, cash etc?

There is a coal seam methane thread, but the comparisons have not been done for a long time - perhaps 2 years. Chops was the first to do such a thing when he briefly mentioned PES on that thread when it hadn't even drilled! It would be good to have this done in your spare time on that thread and I'll be happy to contribute as much as I can....
 
There is a coal seam methane thread, but the comparisons have not been done for a long time - perhaps 2 years. Chops was the first to do such a thing (God bless his soul) when he briefly mentioned PES on that thread when it hadn't even drilled! It would be good to have this done in your spare time on that thread and I'll be happy to contribute as much as I can....
I'll start putting something together in my spare time (read all the time :) ) and we can work on it.
 
Chart update, and that 30c support is looking ordinary and could mean a revert to downtrend, or at least sideways.

Really surprised after the gas flow report and good cap rasing where they raised more than expected.

:confused:

Like all these CSG things could be a bit of good luck to get on the right thing, and lots of time for results...
 

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Any real reason for this going balystic the past couple of days other than a potato in the land of churches and crows?

Unusual, even with the general market strength.

:confused:
 

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Any real reason for this going balystic the past couple of days other than a potato in the land of churches and crows?

Unusual, even with the general market strength.

:confused:

Forgive me if I get this wrong, but I thought maiden resource certification is out some time next week. A bit of buying in beforehand.......I was thinking of that myself actually.....just didn't quite get to it.:D
 
Forgive me if I get this wrong, but I thought maiden resource certification is out some time next week. A bit of buying in beforehand.......I was thinking of that myself actually.....just didn't quite get to it.:D
Market looks to be expecting something good Grace. Hope it's not a buy the rumour.

Breaking through some decent resistance between 35-40c.

Nice couple of weeks. :)
 

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good thread guys... very interested to see where this is headed..............


lots of interest in these
 
Grace, I will leave it to you to discect this for the minute. Getting late here.


MAIDEN CSG RESOURCE CERTIFICATION

OVERVIEW

1. Netherland, Sewell & Associates, Inc. (NSAI) certifies 260 PJ 2C Contingent resource in Lydia
2. All three Lydia pilot wells flowing
3. Seismic Program update
4. Tenders for new October drilling program
 
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