HI @Aurelius1. Your last post drew a broad stroke that the shale...

HI @Aurelius1. Your last post drew a broad stroke that the shale bust is coming therefore Brookside is a casualty of the coming bust!!? I'm not of the opinion that we will see any bust overall. Some E&P companies that are heavily over extended are likely to feel the heat however that is not Brookside imo.

Typically the low or bottom have never extended more than a couple of weeks before recovery, namely the effect of the lag time between announced production cuts including reductions in US tight oil rig counts and permits to drill.

Imo we have seen the beginning of the correction and now probably presents the most opportune moment to buy particularly Brookside where fundamentals remain strong however both oversold and undervalued.

I do agree that in the constrained market currently that new drilling activity will be reduced and Brookside is not immune to that, however there are options were the conditions to continue to raise funds. Divestment of STACK acreage could possibly fund either completion and start of drilling in SWISH or further funding of full field development of Bullard to increase production and revenue until conditions are more conducive to the business model.

Imo I don't believe we will be forced into either scenario. I have also attached below a recent article summarizing the year past and the year ahead and is well worth the read.

Reported anticipation of waning global growth is just that at this stage however it must be remembered that global investment in oil and gas field discovery was in decline well before this meaning a future supply shortage in the coming years may just play into Brookside hands and producers look to acquire assets.

http://www.arabnews.com/node/1425391

Keep well cheers Paul