Noticed you declined to answer how much money your genius made at $80 oil. The AR filed for FY 2014 and FY 2015 and the current HY say for 2014 it was -$3M (with avg oil price realized of ~$93/Bbl), and then for 2015 it was -$36.9M (with avg oil price of ~$57/Bbl) and for the current 6 months it is -$15.95M.
So just shy of losing $56M in the past 2 and 1/2 years and taking shareholder equity down from $55M at enf of FY 2014 to the present of nil.
If the price of oil doubles to $8o in the next 12 months what do you think the shareholder equity in the company will be. Will it be double whatever the amount equity raised (i.e sold to new investors) in the next 12 months?
Land rigs in NA are in extreme over-supply ... will it ever go back to the highs. Older tech rigs will be scrapped (just like in OSD), newer technology rigs are more efficient (less days drilling etc), fracs are better designed (less waste, better targeting of zones). You would hope that D&C costs would not recoup all of the price deflation. There is supply and demand at work there too.
Merry Xmas Buc. This sort of quid quo pro can go on forever.
SSN Price at posting:
0.6¢ Sentiment: None Disclosure: Held
