Collection of Excerpts Concerning Haynesville Shale from O&G Companies Analyst Calls (5/16/10)

Attached for your information are excerpts of discussions about the Haynesville Shale from the operators 1st Qtr 2010 conference calls with the financial analysts.

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Les B, thanks for taking the time to pull this all together.
Thanks, Les. Very interesting. One excerpt that caught my attention was the Petrohawk Q&A that I cut and paste below:

We'll certainly drill a tail into the Haynesville and confirm our bias that the Haynesville
is pinched out that far south. But I think there's a handful of wells that late this year, early next year, we could drill as Bossier stand‐alone wells.”


Have other operators reported that the HS pinches out to the south? And has HK or any other operators given any indications as to where they think the pinch out occurs? From the last HK blob map that I have, it appears that they are projecting a very slight southern and southeastern extension of the Bossier at the point the Haynesville pinches out.
Skip, this was the only pinch out reference I have seen from an operator.
Les, myself also. That's why it caught my attention. Thanks for the clarification, Jay. Do you consider the southern extent of the Haynesville reasonably accurate on HK's blob map as it corresponds to the Sabine Island Uplift?
Jay, I agree with your opinion of the speculative nature of the blob maps. I apologize for not framing my question more clearly. Please allow me to try again. Does the southern extent of the HS depicted on the HK blob map correspond roughly to the location and shape of the Sabine Island Uplift?
Hey Skip so where do you think the Haynesville pinches out in Sabine and San Augustine counties in Texas? I have not seen the blob maps being referenced.
I don't know, JWC. The geologic answer is above my pay grade. I will try to find time to perform some research that is more in my skill set. In the meantime I'd like to see someone capable superimpose the better blob maps over a like scale of the Sabine Island Uplift. Or visa-versa. I think the next question from the members following this thread should be, if the Haynesville pinches out on the uplift, does the Bossier also?
Thanks Les and Skip for the info.
Jay, that seems to be many operators' position also. That the southern and southwestern limits were more an issue of the depth/pressure exceeding today's technology/economic limits. I have felt we just need to see more wells drilled to get a better handle on those limits.
Les/Jay........is it possible that at the increased depth/pressure of the far southern portion of the play, that there is possibly an increase in EUR's to offset the increased cost/difficulty of drilling those wells? I don't worry about technology over the long term....if the gas is there and the price is adequate, I'm confident the technology will develop.
Guys,

So would anyone like to take a guess as to what line of demarcation that operators, such as Petrohawk, consider the Haynesville as not being as sexy as the Bossier? Is it as far north as the DeSoto/Sabine parish lines or slightly south of there? Should we then assume that the recent excitement over northern Sabine Parish is really more of a Bossier play, with the HS being the "bonus" in future years instead of "vice versa"?

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