watching paint dry

Its hard to believe we have just had a fundamentally important announcement (ex SGY) that has significantly raised the liklihood of commercial production at Paloma.

The unassisted gas and oil flows which were constrained by hole debris are already at economic levels assuming stability can be established. The coiled tubing workover should see these initial rates exceeded.

Going back to the pre drill target we have at stake a 75% share of 33mb recoverable. This is something like 115cps for Neon. Now a little of that will be anticipated in the current low 50's sp so we can see that the stock can easily double from here on the back of further good news from Neon.

The fact that more acreage has been sought and the top Paloma sands were bigger than thought pre drill, suggest the 33mb could well be exceeded and therefore the 115cps figure as well.

I guess I don't mind watching paint dry when the payoff that has already been substantially derisked looks so good.