Cowboyistan and the Red Queen, page-7

Well now you have to support that 5c don't you otherwise its upramping?

That price makes SSN MC of ~$130M and an EV of ~$150M. Reckon you'd need minimum 2,000 boepd (at a multiple of $75/boepd and that would be high these days I think).

The flip side of (3.) might be SSN at 0.5cps if MOB runs the figures using forward strip.

Let's be real clear on the BB - it's effectively a margin account secured by 1P PDP Reserves. Just like if you went to a brokerage and bought $10K of a stock and they gave you $10K margin loan so you could buy $20K. When the stock drops to $8K in value they are going to ask for $2K cash to be deposited. Rough analogy.

These are real risks and ought not to be discounted.