GrandpaSimpson imo there is no point having 75% of about 30000 acres if you only get 150 to 200 bpd production. it will take way to long to get well pay back ,but if FD3 can get production of 500+ bpd after 60 days from IP then game on. if it can get close to AUTs morgan well (stabilized IP of 2046 bcpd & 5.16 mmscf/d) then i will buy AZZ myself (i know what it is like to wait for results I've been waiting 4 years to get one like AUTs morgan well).
AUT has more than it can handle with about 20% of 50000 acres post farm out (that is 20% of 650 wells) or net 100% of 130 wells with a NPV of $16m per well based on the first wells which had half the IP of morgan well.
GrandpaSimpson AUT always state post or pre farm out in their announcements
AZZ Price at posting:
68.0¢ Sentiment: None Disclosure: Not Held
