Well for those PSA supporters who have been patiently waiting for news on the next drilling, June quarter cash balance etc the wait is nearly over. PSA's quarterly out next week should reveal that the cash rebuild is continuing and that drilling is about to start at West Cameron. The targets are sands that have been consistent producers on the wider West Cameron leases so you would think they are low risk wells.
Then next up it is a well on the 1988 Forest Oil discovery on PSA's Vermilion leases. Uneconomic at $1.00 an mcf, the Forest discovery (8 bcf) looks pretty good at $4.80. And now PSA will have a chance and the incentive to see what additional reservoirs are on the field. Unrisked potential is cited as 40 bcf.
Then there are 2 firm and 2 contingent wells on Beibu also this half. Got to be an exciting 6 months for PSA and those who follow the stock. Next chapter inthis remarkable recovery story is about to be written.
PSA Price at posting:
0.0¢ Sentiment: None Disclosure: Held
