I think horizontal wells in 1b and production wells in Alameda and Marti reservoirs far exceeds any rational interest in that sideshow that turned into the never ending story that crippled all the momentum from Alameda 1. I hope you have to wait a very long time to sate your keenness and may I suggest a little 3D in the soup first. Irrespective of your views or Mx the market see’s it as a dry well. It’s inconclusive. There were other inaccuracies in the report. It sounds like it was edited for propaganda. Notably Al1 was expected to produce ,it was designed that way. There is a great deal of clarification needed before the negative market sentiment succumbs, like logistics, refining, sales and even what wells next and when. AP needs the second appraisal well before anything much can be done for logistics, if it is substantially lighter it needs to go south for refining not north. Re entering Al 1 to chase 1200 bopd when a shallow horizontal well will produce over 3,000 isn’t worth the time IMO. Then of course a field development plan is critical and dependant on 3D. Al3 will take 4 months to complete and we should have McDaniels report by then, maybe. It will take a lot of answers to get to 30c. As I see it the logical option is to get Al3 up and a second rig as soon as the new pads are approved. Get 3D asap. These are easier to wish for than achieve, I don’t know all the variables. I do know I want production. I have no interest in Zapato.
MAY Price at posting:
7.6¢ Sentiment: Buy Disclosure: Held
