Empyrean Energy

Web site : http://www.empyreanenergy.com

From the ADI web site, go to projects/sugarloaf
http://www.adelphienergy.com.au
cyril

Nothing new there then cyril

CHECK OUT ENCORE OIL EO. BIG NEWS NEXT WEEK

FPM too?
;-))

maestro should change his handle to "loadsashit" ...... though he may just make a correct call once in a blue moon

Reports coming in that the rig working on Kunde2 has moved,causing a lot of
confusion? Will have to wait and see, with fingers and several other parts crossed(very painful)
cyril

where are the reports coming from?

agent A(SSHOLE}

Good start this week. ;-)

Bad news coming today.

News out from Australian partner - yet another EME disappointment to come out -


24 October 2007
Company Announcements Platform
Australian Stock Exchange Limited
Exchange Centre
20 Bond Street
SYDNEY NSW 2000
Via ASX Online
SUGARLOAF OPERATIONS UPDATE

Sugarloaf-1 Well

Since our last update, the re-frac of the deepest of the three zones of gas shows and log interpreted potential gas pay in the Cretaceous age Austin Chalk Formation was undertaken, with all of the frac proppant injected into the formation as per the program.
Flow back operations have recovered over 70% of the frac fluid with traces of gas and condensate. Flowing tubing pressures have steadily declined.

The lack of significant hydrocarbon recovery and the flow pressures seen to date indicate that this deepest zone of the Austin Chalk is unlikely to be commercially productive at this location.

The forward plan is to continue the flow back to recover additional fluids followed by the acquisition of post frac wire-line logs for a full assessment of this zone.

The forward program and the timing of testing the two other Austin Chalk zones in this well will be determined by the joint venture after the current testing operations are completed and assessed.

Kennedy #1H Well
At 6am Texas time on 23 October the Kennedy-1 exploration well was drilling ahead at a measured depth of 13,481 feet (4,110 metres). The planned measured depth of this well is 17,570 feet.
Since our last report, casing was successfully run and cemented at a depth of 12,719 feet (3,878 metres) followed by the commencement of drilling the horizontal section of the well within the target Austin Chalk upper zone. Background gas levels within this horizontal section drilled to date have continued to be broadly consistent with those reported last week.
Adelphi, through its wholly owned US subsidiary Adelphi Energy Texas, Inc., has a 20% interest in the Sugarloaf Project which includes the Sugarloaf-1 and Kennedy #1H wells.

Yes the news is not good, although the lower of S/L1 was thought to be iffy, not
abandoned so once this level is completed they will test(or even drill horizontal)the
upper levels?
cyril

My, my. There's a surprise. Even after a good frac, it's still too tight.

So the follow-up question is why the delay on the timing of the other zones on Sugarloaf-1? It should surely follow on from the first test, successful or not. Maybe these zones show the same characteristic as the first?

As for Kennedy-1, hre we go with the old "gas levels" thing. They undoubtedly show formations contain gas, but it means nothing when considering whether that gas can flow over time to produce a commercially successful well.

10p anyone?

my post 1135 has proved itself pretty accurate ...... EME couldn't catch a fly if it was made from fly-paper ..... AVOID

Cynic as i answered then EME are only junior partners in this stock, so i feel in this case your being a little harsh. Having gone to the expense of drilling to such depths,is anyone seriously suggesting that they would not test ?
Yes todays news is not good but not unexpected,its the upper layers which gives the most likelyhood of success, particularly the level 1.I feel it will recover once things settle down,to what level i haven't a clue.It is a exployer and with it
are risks,as i stated i did not top or will i increase my holding as it is just that.
cyril

''The lack of significant hydrocarbon recovery and the flow pressures seen to date indicate that this deepest zone of the Austin Chalk is unlikely to be commercially productive at this location.'' This shows that the Sugarloaf region is most likely a dud! SELL!

sorry, but this company has not just developed the bad habit of consistently failing to deliver, it is addicted to doing so ..... i repeat AVOID

there are plenty of other E&P companies that are far more promising, even if many of them will also fail

Perhaps AMER falls into the latter category cynic?

hyleo98, if you take the trouble of checking you will find that level1 is S/Kane which is a proven discovery(a very large one at that),and is the reason for me
(along with Eagle 13/38mmbo proven)sticking with this share.Patience and a lot
of it will imho be rewarded?

cyril

Really Al you are full of negative crap. They didn't just decide to frac for fun, lots of wells in this area have proved successful AFTER fraccing.

They have just spent $1.5 million drilling the hole so they will test all the potentially productive zones. Guess its a sort of risk - reward thing, bit like playing the stockmarket I guess. If the worst zone (of three) that they felt might not flow does not, it really is not that important. Certainly not worth the MM's dropping the share price 10%, but of course they don't know the history.

As to the "gas levels" it certainly does not prove commerciability but it is at least reassuring to know that this great long horizontal hole we are drilling actually contains something potentially saleable rather than copious quantities of H2O!!

neither AMER or GOO have yet failed to deliver ..... from memory neither have done a damn thing yet!