Replies to This Discussion

Permalink Reply by Joseph-Ohio on February 28, 2013 at 3:35am

Didn't  interpret that you were trying to create a stir or ruckus Michael - we're in tune to any new info.

Likewise we're not trying to create a stir or ruckus.

Keep posting.

Any and all news is welcome.

However, I'll add that until this exhange we've heard nothing of any offers (or of offers being lowered).  More simply said until today we've heard nothing at all.

So hence the questions.

Depolarized Farmer's advice sounds good to us too, and especially so if your ground is in the indicated 'northern sweetspot footprint'.

Thanks for your posts.

If you learn more this is a good place to share it.

J-O

 

Permalink Reply by 0i7okn54zwbdo on February 28, 2013 at 3:54am

"To us they're nothing but lame excuses.

If infrastructure is a problem - provide it and the problem would be solved.

Low geo pressure is not insurmountable (nodding donkeys).

Not enough test bores / wells to reference ?  Well then drill them."

C'mon man, you're smarter than this. 

1.) Infrastructure build out takes years and costs hundreds of millions.  Additionally you need somewhere to actually send all of your gas and liquids once you have pipeline in place.  Why would you start a $500MM program of drilling/pipeline without having a facility up and running or a JV with a midstream company?  Halcon isn't here forever, guys.  They're here to prove up their acreage so they can flip it.  They have very little interest in becoming a midstream operator or getting entangled in a deal that could tie them to Ohio for decades.  That's not their game. 

2.) Pressure issues aren't always solved so easily.  There needs to be more data before we cane know anything definitively.

3.) Test wells are expensive and there's no guarantee that they yield you enough information to move forward.  If you don't believe me ask the guys at Devon about their cores in the western part of the play. 

Ashtabula will be valuable if it's commercially viable.  Right now there's no evidence to suggest any projected value one way or the other.  So you'll all have to wait until there's good data.  I agree (somewhat) with depolarized farmer.  Don't sell yourself short.  However, patience is merely a minor form of despair disguised as a virtue.

Permalink Reply by Joseph-Ohio on February 28, 2013 at 4:12am

To Marcus Grayson,

1) Infrastructure Buildout did not present a problem earlier.  In other words, the leaseholds came 1st then everything else followed.

Perhaps they're all making enough money developing what they've already begun.  That would wash with me as a reasonable excuse but still an excuse.

As a landowner I would rather wait having secured a decent signing bonus than wait without.

2) Pressure problems aren't necessarily a simple thing to solve ?  They've been solving them forever !

3) Test wells are expensive.  Well they still need them so we say 'get with it and pop them into the ground' domestic economic recovery is being jeapordized with each passing hour.

4) No evidence to project value of the resources in Ashtabula County.  Halcon says we have a 'sweet spot'.  How sweet is it ?  Let's find out - let's find out like yesterday !

I may not be the sharpest tool in the shed but I can still find corn kernals in horse pucky.  Wait, did I spell 'horse pucky' right ?  Maybe it's 'horse puckey'.  Maybe should have capitalized for affect - lets go with 'Horse Puckey' - no let's go with 'HORSE PUCKEY' and leave it at that.  

 

Permalink Reply by 0i7okn54zwbdo on February 28, 2013 at 5:21am

I wouldn't have known how to spell the aforementioned horse discharge either.  Don't know that I've ever seen it written now that you mention it.  I digress.

So Halcon says you're in a "northern sweet spot", eh?  Funny how oil companies and landmen are all lying liars who lie all day unless it's good news that they're talking about.  Then their word might as well come from Christ himself.  See why i have an issue with this logic?

Additionally, if I was investing in Ohio 12 months ago I would not have gone north, I would have gone south.  Everyone else seems to have done that and the numbers look promising.  There's no rush to lease up Ashtabula because at this point in time every other major company passed on the area.  Now that may or may not have been a mistake but for now it's hard to say that you have a gold mine when every other county in this play (within the oil/liquids window) has seen more action than you.  Again, I'll wait to see what the results are years down the road.  You say you'd rather wait with a payment in your pocket.  Good, I agree with your conservative approach towards money.  but if that's what you want then you have to take the market price today and not what you think it will be in a year.  That's your sacrifice.

Permalink Reply by Joseph-Ohio on February 28, 2013 at 6:02am

Marcus,

Forever alert to offers.

J-O

P.S.  I was really looking forward to learning the correct spelling.  I like the words.  They seem to be widely applicable.  At least I seem to be running into occasions to use them on an increasingly frequent basis.  Maybe it's just me.

Permalink Reply by Depolarized Farmer on August 5, 2013 at 7:27am

So what do we make of Halcon labeling their position as the "northern sweet spot" six months ago?  Was it science or just luck / bravado?

Permalink Reply by Joseph-Ohio on August 5, 2013 at 1:07pm

Taken at face value (and that's how I take it) our geography is in what Halcon has termed as their 'Northern Sweet Spot'.
How do you take it Depolarized Farmer ?

Permalink Reply by Depolarized Farmer on August 5, 2013 at 2:17pm

I'm thinking the Halcon guys are pretty savvy.

Permalink Reply by 0i7okn54zwbdo on August 6, 2013 at 7:38am

Both luck and bravado, I'd say.  The Kibler well is undeniably great.  Blew my expectations away completely.  Knowing the company as I do I've learned not to trust really anything they say.  But I guess the guys at the top know what they're doing.  If only they could hire a land team that wasn't rude, arrogant and so off-putting.  They might actually have themselves an oil company.  Either way, their gusher is great news and I hope that the numbers look similar as they derisk their acreage.

• ‹ Previous
• 1
• 2
• Next ›
• Page