Tom was delighted, yet realistic to talk about seismic and how it works well with the PIP & EDEX. Tom related the following and more.
1. Seismic works off a 90 degree grid pattern. If they hit the right spot, then it will indicate something under the ground. The problem is that the grid is so wide it misses most of the potential.
2. PIP works off an entirely different process, uncovering the evidence of oil/gas under the surface in specific locations/spots.
3. When you take a PIP hot spot, and run a seismic in that specific spot (even though the are may have has seismic run in the past and it gave no indication of the presence of oil/gas - see #1 above) on a 3D, 3 plane pattern, you get the real indication. In the seismic results from the test at the Palo, this is exactly what happened. Seismic had been run in the past with no results. PIP found oil and called seismic for a 3 plane seismic on that specific spot. Guess what they found? Yup, Oil, a reef top in the specific spot.
4. Here is the practicality. Tom indicated that when they do this well with VTYE, and if they find these reef tops of oil there, then they will do 3 more with seismic. After that, they will know the PIP works in the area/field and will then forgo the $60K cost of the seismic per location and just use the PIP.
All of the opinions expressed here, inclusive of all my past, present or future post, are mine, and mine alone. The opinions expressed are not a buy or a sell recommendation. Do your own Due Diligence.
