That would be a total of 8 wells ...times $0.5M = $4M
Now where do we stand ... what we know for sure is what was reported as at Dec 31, 2018
Obviously there is a 3 months of financial info to add to this.
But on the surface $33.5M - $31.4M ..... leaves $2.1M in Working Capital plus adjustments from Jan 1, 2019 onwards
Last reported oil production was for Dec Qtr of net 63,618 .... now forgetting about declines etc for the moment, 12 Qtrs at that rate is about 763,000 barrels (and the present PDP is 770,000) so I see what they are trying to do ... with declines that's probably takes it to 5 years.
Looking at Cash Operating Costs of just LOE and G&A LOE = $3.3M (which includes $0.8M of workovers ... necessary for older field but surely must be about completed by now) G&A = $0.9M
For simple math Sales revenue = 65,000Bbls x $55.45 = $3.6M Costs = $3.3M - $0.8M + $0.9M + production taxes 5%??? (if so $200K) = $3.6M
Net Cash from Operations = $0
So how do we make quarterly interest payment of ($33.5M x 13%) / 4 = ~$1.1M!
I'm not sure the complete story on financing has yet to be disclosed ... I'm certainly going to need to see the credit facility doc and when I do I'll have a close read.
Can we get the suspension lifted shortly ... for obvious reasons.
