The advantage in SE Kansas with everything being relatively shallow is just like on the mature oil wells. One well might not be much by itself, but a producer can afford to drill many wells, and can achieve good levels of production by playing the numbers game. Seems to me that having many gas wells spread out over a blanket coal bed formation would essentialy have the same effect as horizontal drilling in that the extraction overall would cover an expanded area. Multiple seperate wells can cover the area in 360 degrees all at the same time.
To get an idea of how much gas can be expected from the various bourbon arch coal bed formations (14 possible, but not all 14 are in Woodson county according to the KGS) the report written by a Mr. Johnson which is available on their site, contains formulas for doing the math. It comes down to the thicker the coal bed, the more CBM will be available.
The report was very exciting </sarcasm> but they lost me on all the chemistry jargon toward the end. Apparently, there IS a limit to how much I'm willing to learn to understand this industry and this stock. It's been several months since I read the report, but being as it involves geology, not much is likely to have changed since it was written.
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