pathfinder c-18 ##1 must be close to spud, page-4

Hi Mscara,

This is where indepth basin wide study is really needed.

1. With EFS asset, been (potentially) shown as a sweet spot by HK, with an IRR in mid 40s

2. Niobrara-Wattenberg (CORE AREA!!!) has published IRR of 66% (by Credit Suisse) - which ties EFS Liquids Rich play


Now WITHOUT ANY DOUBT, the AKK Niobrara acreage is NOWHERE NEAR the CORE AREA and there is a reason for that.


So that makes somewhat of a conundrum. Sure the Pierre shale has produced next door with Florence Field and also with Comet (although how profitable was Comet when you add it all up - I believe that took an impairment on the asset - but no sure). AKK was first to tackle Niobrara in Fremont county I believe. And there is also the MuddyJ formation.


It could be the flagship property (certainly by size it would be) but will it be the most profitable? I will stick my neck out now and say doubt it. And of course with all those wells to be drilled RC would have to again find the right partner for this location and that might be challenging in of itself.

Wait and see is right.