Where do people keep getting this cost of $40 per BOE from? There's no way in the world it costs the company $40 per barrel to extract, the original Jewell modelling was based on selling at an oil price of $40 per barrel!
I remember reading somewhere the cost was around $8 per barrel, or just under $10 including royalties and taxes etc. If you look back at The Professional's model it has break even of $9.87USD/BOE.
Banter and General Comments .. BRK, page-2118
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