AKK 0.00% 0.3¢ austin exploration limited

Marco Polo Well drilling, page-20

  1. 35,472 Posts.
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    MJ,
    Even if they flow all 3, they will need to CR. 100% imo

    Consider their own optimistic break even is 250-bbls per day...and AKK have always been overly optimistic...which would be at least 6 wells min over 1 year. then to become truly self sustaining, I would put it at 15-20 wells pa. ie: enough free cash flow to reinvest in the declining first wells.

    AKK need $1.5m just to keep their office lights on (admin).
    Then there is NRI to consider, - taxes, - transport, - rocky discount.

    If oil was $70-80, I'd give them a good chance. not in $40 range. $60 min to survive, again imo
    Last edited by Sector: 27/08/16
 
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