Wbe had a 15% interest in the drilling of Xanadu 1 that found oil in October, 2017.
The companies (WBE —15%, TEG —30%, NWE. —25% and a private company—30%) decided to shoot a 3D seismic to determine how much oil was there, and the best location to drill a production well.
Then the dramas started, permission to shoot seismic became mired in bureaucratic nonsense such that instead of the seismic being completed in June, 2018, it was only completed in July this year.
In that time WBE became more focused in Alberta and sold their share of Xanadu to TEG for $1.5M (I may be a little wrong, long time ago), 11 million TEG shares and some sort of bonus if Xanadu finds a lot of oil.
At the time I was totally annoyed. But the oil discovery at Wizard Lake is so good I think think WBE is way in front now.
Results from the Xanadu seismic is eagerly await by NWE and TEG shareholders and if they are good a Xanadu 2 is expected mid next year, probably a production well.
Meanwhile WBE could be planning Rex 5 or Rex 6 by then and producing 2,000 bopd.
TEG now has 45% of Xanadu.
Looking forward to the next news coming from Wizard Lake.
The .9/1 cent dances continues, and the buy side outnumbers the sell side 3 to 1.
Cheers
Saltbus
WBE Price at posting:
0.9¢ Sentiment: Buy Disclosure: Held
