GulfSlope Energy Inc (GSPE)

[Gspex]

BOEM had a Gulf of Mexico lease sale on Wednesday. About 1/3 of the blocks that drew bids were in shallow water. None of the bids was near any of the Gulfslope blocks, but there were bids in the general areas where Gulfslope’s prospects are located. So, still some interest in the shelf, but not a lot. The companies bidding on the shelf blocks were all pretty small. None of the bigger companies showed any shelf interest, which suggests they are still unconvinced that the Gulfslope play concept is valid. Good news and bad news both there. Would be nice from a stock price viewpoint if a Chevron or BP got into the play. But it would mean competition from well-funded companies.

Keep checking the applications to drill wells on the BOEM website, but no Gulfslope activity there. Don’t know what the story is. May be that the partners haven’t agreed on well parameters or objectives or some such. Hope they get it together soon.