Hi Miningnut and pj.
I like your sense of humour mining nut, getting me to give up on reading Tea Leaves , you should have had a nice feed out of the tea leaves from LAF , a long and deep meaningfull profit.
pj , I knew that you were astute,a syou know whom to ask, fancy asking me a tricky question like drilling costs,and expecting me to know .Probably US$110,000 for AMU share one drill hole at present. This last well say US$60 B per day, 36 BPer day to AMU say 13000 pa gives a 12 month payback at an oil price net of $8.5 a barrel.I think that is what you were realy asking, a real good investment return . If it is a multi well field and they keep hitting it then there will be a lot of growth in the company and a lot of free cash flow for something or other .
There is a risk of an equity issue because of the gearing and the Accounts do state that the wells are worth more than their carrying value , and remember Red Creek is basically only coming on now after those accounts.Yes I have changed my mind and I have looked into the company and looked at the tea leaves. I look at most things, as I do not sleep much.
Best wishes
B2
- Forums
- ASX - General
- junior oilers 2 march
Hi Miningnut and pj.I like your sense of humour mining nut,...
-
-
- There are more pages in this discussion • 1 more message in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
LU7
Discover the strong preliminary feasibility of the Bécancour Lithium Refinery, showcasing resilience in a low pricing environment and a strategic plan to capitalize on future price recoveries