post link Dub

They sent a second set of fluid and rock samples to Core Labs. Some of the boards are speculating that a second opinion might be required for a transformational deal.

OTOH, I wish the PR was different. Perhaps they're holding onto the news until the SHM....

took that from LRoy post on IV. Dont have link but purportedly from Howard Weil from StreetInsider.com

price is being pushed down at the moment...this week will be interesting

Bust. This company fails. at least ray is a multi millionaire.

IMO I think today's PR release was fine. It's stated cautiously and conservative, which I think is the right approach given the previous issues since drilling.

There is plenty to gain from doing a thorough evaluation of the pay formation (porosity and permeability determination, fluid saturations) and the fluid sampling (PVT analysis) in order to characterize the reservoir and best way to produce the well.

http://investorvillage.com/mbthread.asp?mb=10989&nhValue=64603&nmValue=64643&dValue=1&tid=11448465&showall=1

So analyst coverage is speculating on the PR verbiage.

Soooo much to speculate on at this point.

I also think this is a conservative PR that some are reading into too much. That being said, if Ray doesn't have an announcement of a deal or hints about prelim logging, it is going to be a very intense annual shareholder meeting (ASM)

Jerry! Jerry!

good description on formation/fluid analysis, stolen from IV:

quote:

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The core testing would be done to find the porosity and permeablity of the rock(sandstone) in which the liquids were located. Porosity tells us tell us about the ability of the rock(sandstone) to hold oil in its pore spaces. The permeability tells about the ability of that oil to flow through the rock(sandstone) to the borehole for collection. Both of these would be necessary to determine the commerciality of the well and also to estimate the potential reserves.

The fluid testing is done to determine what type of oil you have. Heavy Oil vs Light Oil - The higher the API gravity, the lighter the crude will be. Light crude generally has an API gravity of 38 degrees or more, and heavy crude an API gravity of 22 degrees or less. Crude with an API gravity between 22 and 38 degrees is generally referred as medium crude.

Sweet crude is commonly defined as oil with a sulfur content of less than 0.5%, while sour crude has a sulfur content of greater than 0.5%.

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EDIT- italics hard on eyes, changed to quote


[This message has been edited by thirdcoast (edited 2/13/2012 1:54p).]

quote:

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Bust. This company fails. at least ray is a multi millionaire.

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Probably the last great buying opportunity this week.

Only a fool would send brine/seawater to be fluid tested.

IMO, this PR today pretty much ruled out total failure or dryhole. Now we wait for the PR with light/heavy, sweet/sour, % porosities, x meters of.....

Or that PR could be spoiled with a JV announcement.

GO HYPER!

Up premarket...

2.35 +0.13 (+5.86%)

I hear there is a meeting friday. I may be there, especially for the question and answer session.

Hope you're right, thirdcoast.

Yeah, so who is going to the shareholder meeting Friday? I'll be there.

Ill be there

Whats going on today?

your mom?

htownfan, i'm sure Ray would really appreciate your insightful questions at the SHM Q&A. I've provided some questions below that I could see you asking:

"Ray, you've really dropped the ball on this one. Why do you suck? And why does HDY suck?"

"I'm all in on this stock at $5/share, with my whole life savings on the line, well minus the minor fortune i obtained by investing in every casino stock on the market in 2007. Which, speaking of, reminds me, this is the absolute worse investment of my life. Oh, sorry moderator, you need a question. Um.... Why is the SP, that's short for stock price, at $2.20?"

"My mom tells me I whine alot, but then i slam my bedroom door in her face. I'm not whining, but Ray, why did I invest in a stock I discovered through a thread on TexAgs?"

And my favorite: "Ray, how do you plan on reimbursing the shareholders for HDY? DO you plan on sharing some of your personal fortune?"

Feel free to elaborate with others

"I'm all in btches!" /1800 shares

I would love for htowns identity to be revealed at the ASM.

Right now I picture her as a red headed 22yr old insurance claims adjuster with an annoying name like Gertie.

I will make it if I can. I am getting in late thurs, so it depends how tired I am.
I think there will be plenty of questions on how ****ty communication has been.... Sunshine pumpers can continue to make excuses, but I don't care for excuses.
Third, I will gladly let you know if I can make it....

Insurance claims adjuster... Haha. That's good.

Another day of shorting begins.

Will it be possible to view or listen to the ASM online?

Yes, and it will be available online for viewing afterwards. Just go to the HDY website.

Been following this thread for awhile mostly to enjoy the drama. Figured what the hell and got in here as the roulette ball is starting to bounce on the numbers and bought some jun $3 calls for .35 this morning. Come on black! Lol.

If I make the the Thursday night cocktail event I may bring a body language expert....no doubt there will be a vibe, Ray & Co aren't slick enough to BS bad news.



[This message has been edited by thirdcoast (edited 2/15/2012 10:21a).]

third/Click/et al, what's your feeling on "news" before/during the ASM? Think we'll get some this week? It felt to me like most recent PR might be as much info as we get for a week or three, but I'm not schooled on the length of time it will take to get SOME kind of result and disseminate.

I have been racking my brain thinking of the possibilities for when the well results will come. I was thinking they would wait until the shareholder meeting but then I was reminded that the President (or Prime Minister?) of Guinea will be the one announcing it first if there is a major discovery. So I'm not sure how that all plays in.

I think we'll know something by the end of the shareholder meeting, though.

quote:

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third/Click/et al, what's your feeling on "news" before/during the ASM?

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I've been posting/inquiring over at IV

http://investorvillage.com/groups.asp?mb=10989&mn=64924&pt=msg&mid=11457271

http://investorvillage.com/groups.asp?mb=10989&mn=64919&pt=msg&mid=11457015

http://investorvillage.com/groups.asp?mb=10989&mn=64889&pt=msg&mid=11455271



[This message has been edited by thirdcoast (edited 2/15/2012 11:36a).]

Haha I was just about to say I noticed a post by "thirdcoaster"

They had to either run production casing or plug Sabu 1 before releasing the drilling rig.

It does not surprise me that a company run by a geologist would take sidewall cores in an exploration well. Geologists love to spend money on logging. An oil company run by a geologist is a wet dream for an open hole log salesman.

The stuff being sent to Core Lab for further evaluation could be to determine reservoir characteristics to figure out how to complete the well, or it could be that there seismic was a bust and they need to know more about the formations to figure out how to tie in their seismic.

All that said, I sold my remaining shares of HDY after the Sabu 1 PR announcement. I did pick up another 50 contracts of June $3 calls today.

I think there's a 66% chance Sabu 1 was a bust because they don't have enough knowledge or well control in the area to appropriately interpret their seismic. In that case, HDY will trade here or lower, but stay afloat on optimism that they figure out their seismic. Their concession is still worth something to the right people as well.

Production casing? It's an exploration well. The objectives are solely logs, cores, and fluid samples no matter how commercial their find is.

You have absolutely no idea what you're talking about.