WBE - Whitebark Energy

[Shrewd Crude]

hey besbs,
Ive been watching TSV closely...
Today should be the day, as last Thursday was 100m off target zone...

I dont like the idea of raising cash mid drill...
A few years back the same thing happened with MEO when they were also drilling an appraisal well...
This time it looks much better with Alcoa as JV partner, and fracturing taking place right away...

.^sc

 

[BESBS Player]

Today's announcement was nice to see.

WARRO #3 ENCOUNTERS STRONG GAS SHOWS
Transerv confirms that Warro #3 appraisal well entered the main reservoir section at approximately 3740mRT and is currently drilling ahead at 4257mRT in an 8 ½ inch hole. Strong gas shows have been recorded in the sands throughout the section from 3740mRT to the well’s present depth. MWD data suggest the Warro #3 reservoir section is very similar and correlative to the sections encountered in Warro 1 and 2 and a reservoir net to gross ratio of up to 75% is indicated. The Warro 1 and 2 wells intersected gas columns of 300‐400m, with net pay zones of over 200m.
The Warro #3 well is expected to reach its planned total depth by the end of the week at which time electric logs will be recorded. The fracture stimulation of the target gas zones will commence before the end of March and is expected to take 3 weeks to complete. This will be followed by an extended production testing during May and June.
Warro #3 encountered gas shows whilst drilling between 3,035 and 3,134mRT, as previously reported. These shows combined with the results of wireline logging provide a positive correlation to the shows and stratigraphy noted in Warro 1 and 2 wells at similar intervals. These initial gas shows combined with the strong gas shows in the main reservoir section support the geological model and provide a positive indication of the continuity of the structure and stratigraphy that forms the Warro Gas Field.

Got to wait to get some of the Sophisticated Investors out of the system but the outcome of Warro for TSV looking better by the day!


Holding TSV

 

[BESBS Player]

Nice to see TSV rise today. Hoping that the new investors will hold for a while and let the SP continue to move northward. Time will tell but happy at the moment .

 

[BESBS Player]

Interesting to see the large volumes going through today. The SP seems to be hovering, trying to move northward but held back a little by the volumes for sale.

The recent placement will no doubt be adding to the selling side. After all, why would they hold back when they have the oppies?...they'll sell the full-price stock knowing that they have the options up their sleeve.

Once we get through this period (hopefully no more than 2-3 weeks), we will have a company that hopefully will have a successful Warro project (hopefully with great Warro-3 rates) and supplied with funds to move forward.

It was only a month or so back and the SP had dipped toward 1.4c. It is now 2.5c despite the placement. If the flow rates are as good as we hope, and we clear much of the stock from the recent placement in a couple of weeks -then we might see a surge in the TSV SP. Can't see it bolting in the next week or two but with some luck, it just might run after that.


DYOR.
Holding TSV

 

[BESBS Player]

Not much has changed for TSV in the last few days. The SP is holding steady despite the heavy selling volumes. Given the new shares on issue, we still could have another 30m to go if all were sold. Can't see this one going anywhere for a week or so despite the latest positive announcement. Happy to wait until then and see what happens...

Holding TSV

 

[The_Bman]

Given TSV only holds 10% interest in the project, I can't see this taking off like Sunshine Gas did.

 

[BESBS Player]

Hi BMan.

Tend to agree with you. TSV is a different beast and we are in different economic times. I had forgotten about TSV, so I have included a post I made on Sharescene (guess people know who I am now if they care) on March 27 on the TSV thread:


Decided to lighten again - sold some at 2.7c a couple of days ago.
While I think that Warro looks very likely, I'm still happy to lock in 55% profits and leave a free-carried parcel.
It looks like some of the big selling has eased but am aware that no discovery is ever guaranteed until is is proven and what will the big sellers do once a discovery is made? Will management do another placement that will kill a little of the potential SP growth?
Not sure I guess is the answer... so given my risk aversion (although I often operate in the higher-risk end of the market) decided to cover my bases and remain free-carried.

Still holding some TSV

I'm now happy to keep a free-carried parcel and watch how things eventuate. My apologies for not posting this earlier. All the best with your investments.

 

[BESBS Player]

Slowly building again. We are still a little time away from major news but it is nice to see buyers still interested. Maybe TSV will push toward 3c before major news? In this market, 3c could be as good as it gets until we have definitive news...

 

[DAZT49]

This is from Latent website.
http://www.latentpet.com/_content/documents/554.pdf
Crucial Warro test to start next week
Wednesday, 22 April 2009
PARTNERS in the Warro gas project will soon discover if their efforts to coax production
out of the tight gas field have been successful with the completion of the full fracture
stimulation program on the Warro-3 well.
Minority partner Transerv said the frac program had achieved seven fracture stimulation stages over the
potential 280m net pay zone and injected more than 380 tonnes of proppant into the targeted gas sand
zones.
Coiled tubing will now be used to drill out the temporary bridge plugs set between each stage and to
clean out the well bore in preparation for the extended flow testing of the well, to start next week.
The flow test will be carried out for about 60 days with information on reservoir and gas characteristics
gathered for further analysis.
This information will be used to determine the commercial viability of the Warro project.
Alcoa of Australia is funding the evaluation program in return for a 65% interest in the project while
unlisted private company Latent holds a 25% stake. Transerv owns the remaining 10%.

 

[DAZT49]

Its disappointing that TSV management didnt think that item was worth an ann. to the ASX.
We should get some kind of ann this week hopefully, if not just have to keep checking the www.latentpet.com site.

 

[RP_Automotive]

I wonder whats going on at Warro. Fracture program is complete. After that you have maybee few days to move frac equipment....Well testing equipment is another couple of days to get up and running. Then allow half day at most to establish stabilized rates.

I would have thought Latent/TSV/Alcoa would be quick to release some rates. Or maybee they are going to wait a few weeks and release a comprehensive report??

 

[The_Bman]

Looks like mid June:

Here is an extract from 21st (source etrade):

It is currently expected that the extended flow testing program on the Warro #3 well will commence early next week. The flow testing will be carried out for approximately 60 days during which information on reservoir and gas characteristics will be gathered for further analysis. These flow test results will be very important in establishing the commercial viability of the Warro Gas Project.

I agree with the 3c resistance level pre production capacity report, it's been tested a number of times now.

 

[The_Bman]

New ASX release - Halt for 2 days pending initial results from gas flow testing - Wednesday should be interesting.

 

[DAZT49]

They have certailnly played the cards close to there chest.
No real movement of late witht the SP so no "insider"stuff...
I guess we know the gas is there, and lots of it, just a matter of if they can get it out.

 

[BESBS Player]

Wednesday should be interesting, Daz.
Still got a free-carried parcel. At least the trading halt has stopped the leaking of information...

 

[DAZT49]

May get the ann today.
They dont have to wait the full 2 days, that is just ASX guide.
I dont see that the ann will be negative as they wont finish full testing for another 5 weeks.

 

[The_Bman]

TSV have requested another 3 days suspension for continuation of initial flow testing.

Have said:

"At this stage the flow back operation is in line with expectations"

 

[sandybeachs]

TSV have requested another 3 days suspension for continuation of initial flow testing.

Have said:

"At this stage the flow back operation is in line with expectations"

i bought some at 2.1 cents a few weeks back.

just hoping flow rates match or beat expectations.

thus far it's been a perfect well without any hiccups, you can't really ask for much more.

in real terms the company has done the right thing by putting share into suspension. i'd imagine it would be hard keeping a lid on any results.

hence you'd probably see some insiders trading the share price, this way we are on equal level..

 

[sandybeachs]

latest update now out

trading halt now lifted.

not being an expert from what i can tell flow rate in line with expectations.

comments welcomed

WARRO 3 – UPDATE ON FLOW TESTING
Flow testing of the Warro 3 well commenced Saturday, 2 May and has continued for 9 days, with the full flow testing
program expected to take up to 60 days. The well is flowing substantial quantities of both natural gas and frac fluids. As
planned, the Operator has undertaken various activities to assist the cleanup of the well bore, including nitrogen lift and
varying the choke.
A gas flow rate of two million one hundred thousand cubic feet per day (2.1mmcfp/d) at a well head pressure of 325 psi
was achieved when the choke was opened to 58/64ths, without the assistance of nitrogen. The fluid flow rate at this
time was 1,565 barrels per day. Throughout the testing period the gas flow rate and well head pressure have been
steadily increasing, and the ratio of fluids to gas steadily decreasing, indicating that the well is cleaning up.
Commentary
The results to date are encouraging and in line with expectations, albeit recovery of the frac fluids is taking time. It is
important to note that the potential gas flow rate is expected to be significantly higher once the recovery of frac fluids
ceases, as this inhibits gas flow. Further, the well has demonstrated an ability to flow gas to surface without the
assistance of nitrogen lift notwithstanding the presence of the frac fluids.​

The Operator‘s pre

‐well planning allowed for up to 3 to 4 weeks to clean up the well and this now appears a reasonable

estimate. Until the frac fluids stop flowing back and the well cleans up, it is difficult to estimate the likely stabilised initial
gas flow rate of the well.
The Company will provide regular market updates on the ongoing Warro 3 flow test program.
​

​

For and on behalf of the Board​

​

 

[prawn_86]

Not bad flow rates there actually. I guess the question now is, what will the rates level off at, and how long will the feild last for? And how will they tie it in to the grid?