Quattro Exploration and Production Ltd QEXXF

RE:April production numbers

[elgaveeno]

Replace Oak with Milo, Milo production peaked in March. I'm sure most readers know what I was referring to.

On the press release:One of the big problems here with reserves, is that you can't just "add" PDNP reserves to a pre-exisiting set of wells. They didin't drill anything new. They didn't add a new reservior. They just turned on the same wells that others had walked away from because of high op costs. So the only thing they can claim is to increase the recovery factor. That will come with higher water cuts, greater op costs, and lower field profits.

The next thing to be wary of is the SW Sask claim

"Quattro plans are a re-activation and re-entry program in Southwest Saskatchewan to be completed in the 3rd Quarter of 2015, on these assets in combination with additional shut-in production Quattro has in the region. The collective potential for Quattro in Saskatchewan is anticipated to initially add 500 boe/d (80% oil) to the Company's total production, "
 
First and foremost, that entire area has never produced that much. Ever. And they are stating that they will add to what they already have by re-working existing wells. So let's look at the Cote pool. 20 wells (5 are injectors). Last public data May 2012.Water Cut 99.56% Oil Production 38.31 BBL/D. So where is the other 460 or so going to come from? 

I congratulate the investor that liquidiated at $0.24. Well done.