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Longford Energy Inc V.LFD



TSXV:LFD - Post by User

Comment by HHdocon Feb 06, 2011 4:03am
306 Views
Post# 18083106

RE: Keys Facts we know Till Date

RE: Keys Facts we know Till DateLets be realistic, a lot of these statements are just that and we do not know if they are correct or not? Here are my statements.

Great news that Baghdad apparently will recognize the kurd pscs. Booking reserves is another matter. So little hard data exists on the old wells so at present these are prospective resources. No reserves can be booked by SEC rules until proper test and well results confirm what is in ground.

Seismic map is the present best interpretation but only an interpretation. Nice looking map, but it does not indicate reservoir quality or thickness

Oil is good light  gravity. Is gas sweet or sour?

Pressure from well #7 was very high which will likely mean high drilling costs (see WZG wells and their costs)

Well 8 is not outside any channel? See lfd presentation and slide showing structure of wells. This well was too low and apparently wet. This means that oil cannot extend out to this well. Also we don't know how high water goes but it  will extend to between well 7 & well 8. Apparently no info from well 9 other than some deeper gas. Do not know if Jeribe oil zone was present or not? Very confusing that this well was drilled over 10 years? Again, suggests difficult drilling and high drilling costs

Sterling said something to effect that SH wanted to develop field. It may have been deferred due to political problems with kurds or Iranians. Or he might have wanted to develop the area to estabish firmly as Iraqi territory (this was originally part of Iran, or more correctly Persia). If so economics may not have been a major consideration as opposed to having an Iraqi flag atop an oil tank? Who really knows? INOC maybe was thinking Chia Surkh has 150 million in place? again who really knows? If the INOC number is a reserve number, this is similar to lfd's P50 recoverable, which would result in a pretty small middle east field (I know this would be a huge field in Medicine Hat area)

Genel is positive about opportunity, but not sure if they follow SEC reporting requirements which place a lot of restrictions on Canadian companies who therefore have to be more careful with their public disclosures. As to their reported 100% success, they backed into the Heritage block after the first well was drilled. Taq Taq is a huge success, but I think it was mostly Addax who did initial drilling to prove the field.

Lets hope that lfd management know what they are doing? These are also the same group that said the Vast Qara Dagh well would be at total depth last September

Soros provides some credibility to operation. Will he be there at end, or at some point take his profit and leave as maysteeler et al are still pushing a $3 price target? Who will be left behind?

Lfd board has strong connections with krg! Otherwise, no oil experience! Looks like a group who puts their interests and compensation ahead of us small investors. Has anyone noticed the consulting fees and bonuses that they have given themselves?

Do not know at all when drilling will start. Expect that lfd will issue a PR soon regarding the seismic and new reserve data. Drilling involves much pre-planning. Have not seen or heard any rumblings that this is happening. My guess is that we are in delay mode.

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