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Ecomike

06/29/11 11:01 PM

#3835 RE: DeeDog #3834

The pipe line tie in will be in 2 stages (per Gerry-IR now Dir). There is an existing pipeline with existing unused capacity they will be tying into right after the well completion (fracking), stage 1. It will generate revenue this year, baring acts of God, war, US Congress, LOL. They already ordered the equipment and pipe for that connection months ago if I understood what Gerry told me correctly at the time. I know he said they ordered all the long lead time stuff back in February/March, like the special pipe.

But the well can produce far more flow than the existing pipeline can handle. So what you read about is stage #2, the need to size the additional pipeline capacity needed and then JV (or whatever) a deal to fund and build the additional pipeline infrastructure needed to handle the peak well capacity.

Stage one is expected to produce revenue of about $250,000.00 / month.