Thanks tt2000 ... learn something new every day. Can't say I've seen that before in an Asset Value calculation as if the asset is sold hedges don't go along with it. Doesn't really make sense to me but hey its there in black and white. I do note though that it is at the Administrative Agent's reasonable discretion.
SEC Standardized Measure is definitely 5 years for PUD inclusion ... put there specifically to stop the aggressive counting of 1P PUD reserves by shalers where 1P PDP ended up as 20% of Reserves and PUDs as 80%. I see in SNDE agreement that PDP has to be at least 60% of 1P (how are they doing in the that regard??).
Not sure I'm following you on the PV-9 4 years. SEC is saying you can include 1P PUD in the reserves calculation ONLY if you have a funded development plan to drill that acreage. I'm not reading the SNDE agreement as reducing that development plan to include only acreage that has a 4 year development plan. Are we talking about the same thing?
SEA Price at posting:
16.5¢ Sentiment: None Disclosure: Held
