Slippin,
It will take a little longer than that to start with, as they need to build up the flow rates especially of J-52 to the maximum allowed without damaging the formation.
This is really a great result, I was hoping from when they said that they were doing the initial transportation and storage that they might have got the true sales price up to maybe $48-50 a barrel. Which in itself would have been a good result but to be getting $52 is magic and pre-paid too.
That works out at 44% of the price of brent crude, all the research reports I remember reading were talking about domestic sales only yielding about 30-33% of the price of a barrel of brent.
This will make a big difference to cash-flow and easy any immediate cash issues.
Hopefully they will be able to sell the oil from J-53 test production on the same terms. :) :)
Foundations are getting stronger by the day.
LOTM
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