FDM are pumping out of two wells at 1000 BOEPD. They estimated...

FDM are pumping out of two wells at 1000 BOEPD. They estimated 800.

The break even based on 800 BOED required $38 price per barrel Per well

FDM are making oil sales NOW.

Excluding the royalty, and the above which was taken from previous I assume the following:

800 x $20 (value above break even) = $16,000 USD per day, per well

$58 x 200 (barrels above what original calculations for break even were based off) = $11,200 USD per day, per well

Circa $26,500 USD per day, per well, above what they were saying was break even estimates I would suggest is pleasing to the company and would allow them to be in a better financial position than expected.

I would assume that there is a level of profit / ROI already built into the break even cost although i may be incorrect.

The above is based on my reading of old info. Though the well production has been confirmed earlier this month at 1000 BOED (per well) the break even, royalty, costs to produce etc still need confirmation. It’s pure conjecture up to the point of confirmation.

Though I for one are happy POO is heading north, and OPEC are looking to extend production cuts. What I do want is the company to announce drilling of the next 3-4 wells and confirmation that we can access the WF loan facility.

GLTA