RE: RE: RE: RE: RE: Since CEX did not join in on t 1. CEX holds a 37.5% interest before pay-out...how much time before pay-out is complete? 2,500 bpd x $35 netback = $87,000/day. Cost to drill & complete approx $8.8 million...so in about 100 days or just over 3 months Contacts share of the well drops to 633 bpd & Donnycreeks share goes up to 1,250 bpd (assuming zero decline rate).
2. Note in the press release you quote above: "Contact holds a 37.5% interest (25% after payout) in the 13-17 Well, and holds a 25% working interest in a 16 section contiguous land block offsetting the 13-17 Well, with Contact being operator." I think this means CEX has a 25% interest on all future wells (before and after payout)....and Donnycreek has 50%.
Don't get me wrong, CEX is a good opportunity, but I think the best pure junior Montney play right now is Donnycreek.