Husky Energy Inc. cumulative redeemable preferred T.HSE.PR.B

RE:East Coast dry wells!

[mrbb]

Scottie99 wrote: Looks like the Fleming Pass play is becoming a money sinker with the dry well report below: 

Norway’s Statoil and Canada’s Husky Energy have hit dry wells in a prospect off Newfoundland for which they had high hopes, Statoil said on Monday.

The companies have drilled two dry wells in the Flemish Pass geological basin, some 500 km (310 miles) east of Canada’s Newfoundland and Labrador province.

“These results are disappointing, as we had hoped to add additional optionality to the near-field area at Bay du Nord,” Trond Jacobsen, Statoil’s head exploration in Canada, said in a statement.

After Statoil struck oil at Bay du Nord in 2013, it became one of its key priorities for further exploration and the firm hoped it could find enough oil and gas to develop it for production.

Bay du Nord is still estimated to hold some 300 million barrels of recoverable oil. A development of that field remains under evaluation, Statoil said.

https://boereport.com/2017/07/10/statoil-drills-dry-wells-off-canadas-newfoundland-2/

As you can tell from liitle scottie99 post, he's a newbie oil investor. Drilling dry holes is part of offshore exploration risk that both statoil and husky fully understood. Offshore exploration risk runs about 10-20% success but discovery can be huge reward.   Statoil and hse drilled 9 eastcoast wells in 2015-2016 (19 months) and yielded 2 discoveries.  Add in 2 more dry holes to 2 out of 11 wells or 18% success so far, still on track of offshore exploration odds.