MAE 0.00% 0.0¢ marion energy limited

We can dwell on the past ambitions not meeting timelines or we...

  1. 7,809 Posts.
    We can dwell on the past ambitions not meeting timelines or we can identify impending scenario change now that the sp is supressed and ridiculously cheap .

    2 to 5 months is what the co claims will bring signficant daily earnings . Reality is however, May is looking like a very significant month ;-) and an axial period for the co .

    Costs can be reduced by multiple drills off one pad .
    The delays in tie ins due to that are outweighed by costs saved, if cost are your concern .

    I spoke recently to the co and they claim that gel issues are being resolved positively at Helper, as they also state in the announcements . The residues are coming out of the drill holes and flow rates are significantly better as a result . The oil and gas game is complex and sometmes there are hicups and the co were not expecting the gel issues, but they declare they are being resolved positively .

    It is also stated in the most recent announcement that only 70 feet of pipe is needing to be laid now connecting 4 Clear Creek wells into existing production infrastructure, and 2 additional wells are in development also .
    Where the issue there ? If Clear Creek was a recent discovery, MAE sp would be over a dollar based on its reserves alone .
    The anomoly is though, if it were a recent wildcat discovery there would be no existing infrastructure, cost would be way higher and production would be years away, not weeks as is the case for MAE strategy now .

    Options exercise is already reaping millions to the co at a cost intensive time and upside is just weeks away .
 
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