Claren Energy Corp T.CEN

RE: News:First Platform Production at Songkhla Fie

[CalifDreaming]

This is outstanding news.  11,000 bpd (12,800 boed total) from just two wells. Previous upwardly revised guidance was 9,000 bpd from all three wells.  They still have A-07 to bring online from that new discovery, so 11,000 bpd is going up pretty soon...

Remember, pre-drill guidance was 4-5,000 bpd from a 5 well development at Songkhla Main.  Sure helps their cash flow with low oil prices if you can drill half the wells and yet deliver more than double the production...

CEN is cheap considering their production volumes.  They are already exceeding original predrill guidance for mid '09 (which was 10,000 boed including the ~2000 boed onshore gas) when they had expected to drill ~20 wells.

I can't wait for them to drill up Bua Ban and drill a few exploration wells later in the year.