w long

Its just a matter of how long price will be depressed for. I do like the idea that they could focus on other wells forst instead of live oak but the gamble of course is price can go down as well as up but from a sale pov obviously you would ask for more if the quality wells are more of the inventory.

I think you will find they hedge of the brent curve which should give a 7$ premium and I would be surprised if we did hit $40 that it would stay there for long.

The real question is what is it going to take to get the market interested in seA (beyong energy coming into favour again). Need some kind of driver to show market there is a reason to invest (not immediately as market all over place) but in MT. Really need China to open up and get private sector pumping along. What will get people more interested is some reality coming from management and meeting targets and keeping mrkt uptodate. They getting better but along way to go.

20c sounds optimistic to me in this environment but things can change - anythng around 1.30 - 1.70 is resonable but still all the cards have to play out in our favour.

w long