5) Do you have any projected point you want to get to before the sale?
DaveW: Really it’s about timing to some extent, but also about activity. For this asset to have the value created in the shortest period of time as possible which we always talk about as “creaming the curve” - you want to get those next few horizontal (wells) in as quickly as possible - and the permits that we have for this well would allow us to do that as long as the well’s successful. And then you’d want to drill a few more wells probably along the road. And then drill some delineation wells out to the East and West - and once you’ve done that, you’ve shown it works all over the acreage, you’re getting these fantastic flow rates hopefully (ideal world scenario) - and that could happen within three years. And at that point in time, someone needs to cut a big cheque to drill a number of wells.
PaulB: Or the price of oil goes up quite a bit - there’d be people willing to take that gamble.
DaveW: That’s right - and hopefully at that time we’d be in a more... (higher POO environment?)
88E Price at posting:
3.9¢ Sentiment: Buy Disclosure: Held
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