Cmon, on both fields NS/R and FB the wells imo appear to be reliable and because of age should have lower decline rates now so based on that the numbers could be fairly stable for a few quarters (+/- any operational issues or improvements). The NS has a good mix of wells and some of the older ones are still above where the curve says they should be imo. below is my graph on availability for interest.
I agree the gas is less important, one thing though is the OP drop has reduced the gap for boe conversion between Price ratio and energy content which is of interest to me in understanding O&G. Ideally this could help in our valuations and would give more value to to gas?? Interested in your comments on this if you have a chance.
I will have a better read of the finance details for your other post. I don't have enough info to comment and suspect there are more announcements to come. Notwithstanding overall I believe there is a plan to address the challenges and that both the bank and company have agreed on the plan and on completion this will give the best opportunity for the future. Protecting the price through hedging was a good first step and possibly there are some other things coming which will clarify before 30 June. That's my guess and I have no support for that view.
Before I hit the road again for this week another thought from this morning was the challenge between the US sp and AUS sp. I think the 200/1 ratio makes it hard to get any traction here and sub 1c is really not a good place to be when sentiment is against us.
Cheers & GLTA
SSN Price at posting:
0.6¢ Sentiment: Hold Disclosure: Held
