I lean more to your figures MrMgee. However the next drill is the important one in my book. The horizontal drill will give the best chance for flow if it is ever going to do so.
One cannot argue that the first round of drilling was expensive (for land drills). However given the nature of where it is, one must expect a larger expense. Having said that I hope with the lessons learn't from last winter and the majority of equipment near location we may see a lesser costing for this next drill. I do expect it to be lengthy and with possible stimulation testing (which adds to cost).
Fingers crossed, but if this next drill proves positive then we can expect even further drilling, whether this winter and/or next.
Considering our balance sheet, some may say this was/is not the time for such exploration expenses and there is sense to both arguments. IMO to stop now though without the horizontal drilling would be even more wasteful of the money already spent.
Hindsight will eventually show whether PB was wise or not in investing there. Or in retail investor terms - framing his picture on the wall or putting it on the dartboard ;)
Meh, in the mean time Umiat and Cook Inlet are on my radar backburners. I think we have more interesting things to focus on at the moment. Texas, Arckaringa JV, and UCG Commercialization Contract Anywhere.
LNC Price at posting:
$1.80 Sentiment: LT Buy Disclosure: Held
