A successful WP well technically should not change sentiment,...

A successful WP well technically should not change sentiment, because why would 1 more successful well change the market’s view on the stock when 3 earlier successful wells haven’t.

Unless WP is analogous to the Sundance Kid and flows significantly above the modelled curve in terms of flow and a much longer flush production plateau,it actually shouldn’t have much of an impact on BRK because as a pure development well, it’s value add , while significant, will be much less than the HBP wells.

It is the HBP wells where the value is created and this is the part that the market and the detractors miss. Pretty well everyone focussed on the fact that the wells decline steeply and miss the point that the one initial DSU well proves and then Holds By Production significant PDP and PUD reserves that have a NPV of many, many tens of millions of dollars.

For example, SHE in a presentation put a NPV10 value of a 100% well bore only WI in the Jewell well PDP reserves at US $ 26 million. This well not only proved PDP reserves in the Sycamore formation, but much larger PUD reserves in the Sycamore AND a similar PUD reserve in the Woodford across the whole DSU.

If the market grasped this concept and understood, (before an actual sale of such PUD reserves), that selling the PUDs will bring a very large cash pile,I doubt the share price would be languishing. The market probably doesn’t believe the process works or will occur because it hasn’t seen a deal yet… so when a sale happens it will be slapped across the face with the value proposition and I feel confident we will all be happy with the response.

Time will tell

Cheers

Dan