WGO warrego energy limited

Ann: Completion of El Romeral Acquisition, page-7

  1. 649 Posts.
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    It's a lack of gas.
    And 4.2 million is what they aspire to, revenue is only about 800k (no details on actual profits - if any).

    Details from Prospex:
    https://www.voxmarkets.co.uk/xsrns/25f79107-a80b-4ba4-b652-ea095863452f
    https://prospexoilandgas.com/cms/wp-content/uploads/2019/12/El-romeral-estimates-2019.pdf

    About a year ago, the 2P was 0.3BCF, and the gas plant consumes about 0.14BCF a year (by my reckoning).

    So they need to drill to keep the plant running. The prospects are low risk, so almost certainly they'll find gas. But whether the amount of gas is worth more than the cost of drilling, compression and tie-in is yet to be seen.
 
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