RE: Hmmmm shallow for free..any thoughts??This management team sure knows how to put some sweet deals together. That 5% of HPHT targets goes straight to the bottom line with no risk on loss of capital, not to mention the possibility of finding decent oil targets in the shallow. It is like getting someone to spend money exploring for you and giving you what they find. Stella is going to be a company maker IMO added to the continued amazing production from Jacky which has produced more dry oil than was estimated to hold in reserves. This company is hitting the cover off the ball everytime they step up. Now with strong cash flow :
"Recent rates from Jacky and Beatrice exceed 13,000 bopd gross
(6250 bopd net to Ithaca) as metered at the platform."
Brent Oil prices above $85bbl gives IAE $67 cash flow per bbl at 6250 bopd = $418,750 per day. How many companies out there with a MC just above $400 million could throw off $150 million in cash flow in 12 months, with a big juicy slice of exploration potential, doubling of production next year and no debt. Keep in mind that they have set themselves up to be successful with $48 bbl cash flow and 5100bopd production, so unless oil falls off a cliff they are self-funding, leaving them a lot of power to acquire and they want "mid life producing assets". This stock is taking some of the sting out of 2008 and they are my favorite stock right now. GLTA