pros and cons of jpr

to stir up some lively discussion while we wait for the well to hit zone.

Pros and Cons of J-50 and the North Akkar field extension

Pros
1. Onshore in a flat, unpopulated area.
2. Existing infrastructure and a long culture of oil exploration. Close to sales point.
3. Proven oil area with little gas, closed structures are oil fields.
4. J-50 is an extention of a producing oil field and the extention is mapped using 3D seismic.
5. Target is at a modest depth and normally pressured with no sulpher.
6. Gross pays are thick and reserves are in the 10s mmbbls
7. If successful the well generates immediate step outs with a Jurassic play to the SE
8. Early cashflow will control fund raising needs (debt would likely be the growth option) and help secure more deals of a similar nature.

Neutral (some people would see these are full cons)
1. Soveign risk and fiscal details - nice to see other companies making money but still many unknowns.
2. Moderate flow rate expected of about 500 bopd

Cons
1. An immense amount of the companies value hangs on one well.
2. While forshadowed no new blocks/deals have been announced.
3. Even with success many juniors have growing pains going from explorer to producer. This will even be more challenging in a non English speaking country.