GREY:BNTNF - Post by User
Post by
ajootianon Aug 17, 2005 9:25am
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Post# 9421530
Spudding in 10 Days
Spudding in 10 DaysBONTAN CORPORATION INC. SET TO SPUD ON GAS EXPLORATION PROJECT IN LOUISIANA
TORONTO, ON – August 17, 2005 , Bontan Oil & Gas Corporation, a wholly owned subsidiary of Bontan Corporation Inc. (OTCBB: BNTNF) (“Bontan”), is pleased to announce that a Grey Wolf Inc. drilling rig is now being moved on site and the initial test well Placide Richard No.1 in Calcasieu Parish, Louisiana will be spud within the next 10 days. The initial well should reach the proposed total depth of 15,300’ within 60 days. The zones to be tested by the initial well have possible reserves of up to 50 billion cubic feet equivalent of gas (BCFE).
Brammer Engineering, Inc. of Shreveport, La. is the engineering manager of the gas exploration project in eastern Calcasieu Parish, Louisiana and has signed a turnkey drilling contract with Grey Wolf, Inc (AMEX: GW) of Houston, TX for the initial test well.
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With the natty strip knocking on the door to $10 this could not come at a better time. Folks are putting a value of $3/mcf for gas in the ground these days. If they really find 50 BCF gross (20 BCF net assuming a 20% royalty) then they would discover $4/share worth in reserves, just in this first well. I'm using 15 M shares out since I don't believe all of the warrants will get exercised.
Fasten your seatbelts boys & girls.