ROH Looks UneconomicThey provide scant details and do not provide upfront disclosure:
1) Notice in the press release they say "pay" and not "net pay". Most hydrocarbon zones will have only a certain amount that is "real" or net pay within a gross section. 5.5 m is already thin enough, but most likely that is gross. Who knows what the net is.
2) They they highlight high porosity numbers in the "net pay". Why does the company not use apples-to-apples. Either gives us gross pay thickness and average porosity or net pay thickness and average porosity. For all I know net pay is 1 meter of good porosity. Yuck!
3) These guys seem to have no money to do much else and may be desperate to get money in.
ROH looks suspicious. I would avoid it.
As well, EOIM is not only a fool and nuisance and rants misinformation, but now using the goodness of this board to spam. Wouldn't be surprised with ROH is a "boiler room" stock. Be forwarned.
Rochester Energy Completes Oil Sands Exploration Core Hole Drilling Program at its Christina Project
Calgary, Alberta CANADA, March 10, 2008 /FSC/ - Rochester Energy Corp. (TSX - VX: ROH), is pleased to announce the successful completion of our 2007 - 2008 oil sands exploration core hole drilling program at our Christina project. Rochester previously stated the commencement of its core hole drilling program on February 7, 2008.
Rochester is also pleased to report that the core hole drilling program resulted in the discovery of bitumen resource on our Christina project lands. Of the 9 oil sands exploration wells drilled, 7 wells have encountered high quality, bitumen bearing reservoir sands in the McMurray formation. Well logs show the prospective McMurray sands have net bitumen pay thickness ranging from 7.5 m to 23 m with continuous bitumen pay thickness ranging from 5.5 m to 15.5 m. The bitumen net pay porosity ranges from 33% to 36%.