There’s a lot of speculation running rife that the 14/10-6 Appraisal Well Spud on the 15 July last month could be a mixed bag of news. Trying to read the runes here is becoming increasingly difficult. Apparently no significant oil shows as yet have been encountered. That’s the official version. Now rather than pour cold water on the drill its to be remembered that this is an appraisal well outside of what the company considers the minimum case area. The drill is thought to be ahead of schedule with no technical glitches. It’s only speculation coming from one of our contacts who has so far called every one of the drills correctly. However his rumour is that the company are confident of progressing the well to its logical conclusion. The oil being targeted is expected to be in a thinner oil reservoir/column, so says the company. It is known by the Blog that Rockhopper are in the last quarter of the drill. So news could come in the next 10 days or so. My gut feeling is to go with the company line as they have basically been a success story. They should hit more oil. I did speak to (via email) several contacts on Monday their feeling is that the data gleaned from this drill could prove to be significantly more valuable in delineating the Sea Lion discovery over the longer term than actual oil in place.
So it’s eyes on here but please remember that the whole Global economy is currently a blood-bath so even if there’s a massive strike which is on the cards, RKH will not spike as it should. Only my opinion of course!