My thoughts on Buffalo timing: I agree that Buffalo drilling with CVN at 100% is unlikely before Dorado production..... Only chance for it earlier is if AC can get someone else to pay for it (farm it out) and take the risk on it.
You’d have to agree that the next Buffalo well is not free of risk.. 2 of the 9 original Buffalo wells failed due to being off structure. .. ie a failure rate of ~22%. I am sure the new seismic is a big improvement on the old to be more sure about well locations, but there will still be an element of risk there (Say 10%??). So what would happen if CVN went 100% (and spent $$ that would otherwise help fund Dorado) on Buffalo but had a dry hole? Share price carnage.
Better to defer Buffalo until CVN can bear the dry hole risk.... avoids damaging the share price and exposing the company to predatory takeover at ridiculously low share price before Dorado can be realised... ie. Better to make sure of Dorado first.
My thoughts on Buffalo timing: I agree that Buffalo drilling...
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