Mart Resources Inc MAUXF

RE:Wade called it break even at $45.

[mjh9413]

If you take the whole $28MM last qtr prodn and other costs, including depletion, (it's a table in the MD&A where they don't breakdown costs to boe like other oil companies do) and apply that numberr to MMT's 439,000 qtly share of prodn you get $51/bopd, more or less. Since those total costs also produced 20%+++ lost oil then $45 (even less) seems like breakeven...however, when prodn (if it ever does) ramps up and lost oil is reduced then margin is favorably impacted...again however, considering current average prices are some US$38 less than last qtr's average received, the whole point is fairly moot as that is one heck of an improvement in marginal cost that you need to make up that kind of reduction!!! Probably means cash flow will be somewhere between $15MM and $25MM in future qtrs (but others can do the calculation with or without Umugini flowing oil)