re: market undecided (no it's stupid) gmt, the cost of production has already been factored into my 'rule of thumb' $A10 value per barrel. This is based on oil being around US$25 per barrel. Offshore oil production will be expensive, however, given Tiof's size, it should be economical as a stand alone development, or a tie-in to Chinguetti, which would improve economics for both projects. Banda is also within vicinity and should also help.
Oil now of course is above US$30 per barrel, and if you ascribe to the oil depletion theory (i.e. that the world will encounter production constrainsts going forward), oil at $40 - $60 are forseeable possiblities in the next couple of years. Oil is close to $32 now, if it breaks 32-33 decisively, we will see oil to $40 within this year or early next year.
This is another factor to build in. Oil will permanently cease to be abundant going forward.
- Forums
- ASX - By Stock
- market undecided
HDR
hardman resources limited
re: market undecided (no it's stupid) gmt, the cost of...
-
- 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)