RE: RE: Target price upgrade by 33%! - $15.50/bbl?Seems that $15.50/bbl is pretty low, given the easy of drilling and production where they are.
Does anyone know what opex/capex/price assumptions that's based on?
I suspect every area of the world is different. I assume, factored into that seemingly low valuation, is perhaps a higher than normal estimate for non-producible oil and the unique reservoir characteristics hence a lower overall recovery factor. Perhaps, because it's a relatively new area, the reservoir engineers are being conservative.
I dunno. A good question for the company.