Diversified Oil and Gas Holdings (DVFI)

[Imperial Whazoo]

Hey zigbee -
How do we know that the decline rates on well that have NOT been slotted are the same as those that have been slotted?

For a brief technical description of hydroslotting, check this link: http://www.energy.psu.edu/swc/proposals/2005/Hydroslotter.pdf

If the explanation there is true, then the decline curve ought to be less acute.

Also, I print all the articles I can find because they disppear off of Yahoo. One such, http://biz.yahoo.com/bw/050705/55551.html
is not now still available so let me quote from it:
Garry Kelley, former CEO of BIGN said "For example, in another well close to the target well, jet perforating fifty (50) feet of productive formation resulted in 200 MCFD. Hydroslotting only fifteen (15) feet of the same zone in our target well has achieved preliminary results that are four to five times greater".

So, what might happen is that... MAYBE hydroslotted wells that begin to decline can be reworked to a greater depth-of-fracture or something like that. If 50 ft is being done in that field using other technologies, it isn't too far fetched to see that declining wells can be reworked repeatedly up to similar depths (ie, 2 more times if they only do 15 ft the first time.). So, again, due to a lack of knowledge, noone really knows what the life expectance of a hydroslotted well in this field is going to be.

ImperialWhazoo