GGP 0.00% 0.6¢ golden gate petroleum ltd

Even if we entertain the idea of a go slow to the end of march...

  1. 276 Posts.
    Even if we entertain the idea of a go slow to the end of march beacause of legal implecations, cant say l am completely convinced of this,however if we do and previous discussions are on the mark in regards to profitability of the PB project ( l have recollections of morebull saying something along those lines correct me if lm wrong.) Then any oil and gas that they recover is going to fall well short of expenses incurred so far.

    Very rough figures so far would have GGP forking out somewhere between $6-$8 million(very very rough guess)for 4 vertical wells, and even 1000boed over 30 days only comes in at say $2.4 dollars of income.

    Even if you were to say that on average each well flowed at 250boed you are looking at a 3-4 month time frame before the well starts to make a clear profit.

    IMO this company will be pumping more money into exploration than you can poke a stick at so profitabilty is last thing on their mind in the near future, all the delays are part and parcel of the O & G industry, buy you can be sure lessons are being learnt as we go.

    Give me some healthy flow rates, my calculator is ready.
 
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