SSN 0.00% 1.5¢ samson oil & gas limited

I was thinking along the same lines there Acreage, and also when...

  1. 10,693 Posts.
    lightbulb Created with Sketch. 3482
    I was thinking along the same lines there Acreage, and also when that is paired with the Operational Advisory production in Jan (you really don't want to see the Cash Margin spreadsheet update - not pretty). Also what occurs in Sep & Dec Qtrs that stops the decline (new production from where - is it Rainbow or Bluff or New Play or what?)

    I looked at that graph and saw the Mar Qtr avg at close to 1,350 boepd (maybe I need glasses). OK so Jan produced 17,785 for 574 boepd. Now if you approximately double that for Feb to 35,000 Boe and then double it again to 70,000 Boe for Mar you get a Qtr total of 122,785 and approx 1,350 boepd.

    Call me skeptical (probably the nicest thing I'd be called )

    However were that to happen, and were WTI to avg $50 for Feb and $55 for Mar (the Jan avg was $44.46), then SSN comes out of the Mar Qtr with a Cash Margin Avg of $9/Boe which ought to keep them within the EBITDAX covenant (if the LOE cost estimate is correct).

    The other thing that I could quite figure was slide 6 - noting SSN has 2 projects that work @$50 oil - Bluff and a New Play. Are they communicating that their Bakken shale properties do not offer a ROIC and as such no further capital invested until oil price recovers?
 
watchlist Created with Sketch. Add SSN (ASX) to my watchlist

Currently unlisted public company.

arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.