AKK 0.00% 0.3¢ austin exploration limited

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  1. 2,647 Posts.
    Plough the payback for birch wells are under a yr, and like you say, these wells will be producing for many years, ultimate recovery will be close to 500,000 barrels in the sweet spot areas +, or Colorado, the closest comparison I could find is 4.5m wells that flow 500 bod pay themselves off after 1.5 years in Wittenberg, up the road from pathfinder, but there its more the valuable oil than gas. Pathfinder is minimum 6m for the drill, production rate of only 200 bod, and gas shared with our partner. So lets guess its 50/50. So production of 300 bod for a 6m well, that would take yrs to payback. Economics of pathfinder just don't add up for me. Birch is the better project by miles. Colorado is just bigger acreage
 
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