AED have a good management team running the show, headed by David Dix. (ex UBS, Head of Resources Asia Pacific).
Puffin has proven reserves of 10.7mmbls of recoverable oil (P90), with up to 17.8mmbls (P10)
Not sure why they are not drilling Puffin 7 first, so they can generate cash flow straight away.
However Puffin 9 has the potential to contain 21.6 mmbls of oil. Gaffney, Kline & Assocs have rated this exploration well a 60% chance of success.
I feel as the market wakes up the the potential of AED, the price will jump substantially. I would not be surprised to see the price jump 50% from these levels (85c) over the next few weeks, leading into the spudding of Puffin 9.
A good strategy would be to buy a parcel of shares at current prices and sell half prior to spudding to reduce your risk exposure.
If Puffin 9 comes in, blue sky for this company.
Good luck to all biddles
AED Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
