SEA Pricing

Was listening to the 3rd quarter conference again.

https://edge.media-server.com/m6/p/a6txdq6q

Interestingly Eric mentions that SEA receive pricing at an $8-$11 premium to WTI pricing at the wellhead.

WTI is $52 - meaning we receive $60-$63.

Below are the IRRs for various oil prices and capital cost scenarios as issued by SEA.


At Live Oak and at $60 - this is an IRR of 150+% (and 200+% at 90% capital cost). Given production is ahead of expectations, we should be beating this.

Mentions hedges PDP

Also Eric mentions that guidance for 2019 (drilling and cash flow forecasts) would be provided 30-45 days from that conference - putting us in that window now

Makes this next operations update (which I see coming today or early next week) very interesting.

Thoughts @commonaussie / @moremoneyplease