Strong Buy, page-9

@cmonaussie

So Eric has included the cumulative well production at last.

A few observations:

1. 6 month cumulative production is 10,727 boe on legacy, but 22,059 for acquired acreage - ouperforming EOG who we know have made comments regarding how profitable EFS is.
2. 22,059 per 1,000 on a 5,500 well is 120k boe in 6 months. At $32/boe ~ $4M capital repaid in 6 months time v capital cost of $6-$6.5M. I think that is a great result
3. The second chart shows we on track to deliver 120k bo after 365 days in Live Oak ~ 190k boe assuming 63% oil. X $32 = $6.1M which is our capital cost outlay

I expect a decent re-rate on this information. You can now clearly tie back cssh flow to well performance.

Would like to see is reduce capital cost to $5M per well, but otherwise my production fears are just about gone now.