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+--- Thread: Wahoo - No Gas/Oil Reservoir :( (/showthread.php?tid=8953)
Wahoo - No Gas/Oil Reservoir :( - johnwgrant - 08-12-2015
Sorry guys...
http://www.interoil.com/investor-relations-news-and-press-releases/2015-2/wahoo-sidetrack-operations-complete/
Singapore and Port Moresby — InterOil Corporation (NYSE: IOC) (POMSoX: IOC) advises Wahoo-1 sidetrack operations have not intersected a carbonate reservoir and the company intends to plug and abandon the well.
RE: Wahoo - No Gas/Oil Reservoir :( - freddiekingman - 08-12-2015
Should not affect pps...but probably will...
RE: Wahoo - No Gas/Oil Reservoir :( - Stavros - 08-12-2015
Hession has been predicting a Wahoo duster for a very long time so it shouldn't be a surprise whatsoever.
The gas is definitely there at high pressure but the reservoir rock is tight/solid ... no porosity or permeability to speak of.
Now they can use the information to find good reservoir rock in other locations.
RE: Wahoo - No Gas/Oil Reservoir :( - johnwgrant - 08-12-2015
'Stavros' pid='61586' datel Wrote:Hession has been predicting a Wahoo duster for a very long time so it shouldn't be a surprise whatsoever. The gas is definitely there at high pressure but the reservoir rock is tight/solid ... no porosity or permeability to speak of. Now they can use the information to find good reservoir rock in other locations.
So - does this tell us that there is no reservoir rock in the whole of PPL474? Is Mako to the south less likely to be drilled ?
RE: Wahoo - No Gas/Oil Reservoir :( - jft310 - 08-12-2015
Just looking at the slides of where they were drilling the sidetrack there was no bright colors the blues and reds where they were drilling the sidetrack . What was the target ??? Why drill where their was no seismic reading??? Understand others know way more than I do . Just curious .
RE: Wahoo - No Gas/Oil Reservoir :( - Tusker - 08-12-2015
Well - that Sucks. Absolutely got that one wrong.
RE: Wahoo - No Gas/Oil Reservoir :( - Palm - 08-12-2015
This will hurt especially after all the time they spent planning the sidetrack. Tomorrow's explanation will be interesting to say the least. With US markets in tailspin we will likely bleed on this.
RE: Wahoo - No Gas/Oil Reservoir :( - Stavros - 08-12-2015
I don't think you're necessarily correct Palm.
First, Hession warned repeatedly that Wahoo was a VERY HIGH RISK and was likely to be a dry hole.
Second, they abandoned the well the first time in July 2014 and spent almost no time in the intervening 12 months planning the sidetrack.
Third, Raptor and Bobcat were "Discoveries" that didn't move the PPS up whatsoever.
Investors are pricing IOC stock based on developing 7 tcfe of E/A gas into an LNG plant that starts up in 2023.
If there's more than 7 tcfe in E/A, then the PPS will go up.
If TOTAL indicates the start up happens before 2023, the PPS will go up.
RE: Wahoo - No Gas/Oil Reservoir :( - Palm - 08-12-2015
Maybe, but will be considered bad news, and in this market it's a definite possibility. I understand that Hession several times cautioned too much expectation, but will some doubt the string of pearls theory with this? All depends on what they have to say tomorrow. Will they try Wahoo again later on or do they think it's nota worthwhile risk?
RE: Wahoo - No Gas/Oil Reservoir :( - Stavros - 08-12-2015
What bugs me Palm is that David Holland has been extremely bullish for a long time on the prospects for finding a massive quantity of gas in Wahoo.
IOC found nothing in Elk and a "Schist Load" in Antelope.
Did they miss the good source rock in Wahoo by a hair???