TSXV:CEN.H - Post by User
Comment by
CalifDreamingon Mar 04, 2009 6:11pm
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Post# 15821163
RE: RE: Excellent Daily Production
RE: RE: Excellent Daily ProductionI've heard break even is around $20 bbl. I am assuming $25 until I see hard numbers. They are priced off of Brent rather than WTI. I think they told me about a $3-5 discount from Brent, so roughly $40 bbl sales prices.
With 11,000 bpd (not counting the 1800 boed nat gas from their onshore property), assuming $40 bbl sales prices and $25 all in costs, that's $15 bbl x 11,000 bpd, that's about US$5MM (C$6.5MM) a month/US$60MM(C$80MM) a year in cash flow. If costs are lower at $20 bbl, then add another US$20MM (C$25MM) a year in cash flow. Plus whatever cash flow they'll get when A-07 comes online.