OTCPK:ATGYF - Post by User
Comment by
Bigbadoilon Oct 30, 2007 5:03pm
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Post# 13720229
RE: The spin cycle on royalties...
RE: The spin cycle on royalties...I agree Mr Macrae.
Everybody seems to forget about the "COSTS" involved in the Oil and gas business. Isnt that why companies like AEN and Oilexco are drilling in foreign parts?
In the Nickles DOB today, the Canadian Association of Drilling contractors forecasts only 34% rig utilisation next year.
There is going to be layoffs in Calgary. You have to cater your royalty program to the Geology of the specific basin and it is getting tougher to find stuff. We dont get 10,000 BOPD on tests here!
However it could be a great time for a start-up!!
As I said, the land sale revenue is going to go down.($2.5 billion last year). All this doesnt put any more oil and gs in the ground. Drilling successful wells means more royalities down the road.
Bigbadun'