Uni, agree reserves are important. Personally I like well paybacks more as a quick payback enables self funded development, once wells are generating free cash the money can multiply whereas reserves can change due to the economics, well costs, pricing, decline curve, environmental issues and also company issues.
Jeanerette 4 is a good example. Was spud in March 12, 2014 and has consistently produced gas since June 2014 after drilling to 15,300ft. Well tested at higher rate than current production but even at todays rates should be paid off in a year by my calcs. If a couple more of these occur it could generate some interest. If interested you can track production here.Sonlite: Adeline Sugar #4 (PSA's WI is 12.5% and NRI 9%)
Cheers
PSA Price at posting:
12.0¢ Sentiment: Hold Disclosure: Not Held
