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Reconnaissance Energy (Africa) Ltd V.RECO

Alternate Symbol(s):  RECAF | V.RECO.W.A | RECWF

Reconnaissance Energy Africa Ltd. is a Canada-based oil and gas company. The Company is engaged in the opening of Kavango Sedimentary Basin in the Kalahari Desert of northeastern Namibia and northwestern Botswana. It holds 90% interest in a petroleum exploration license in northeast Namibia and a 100% interest in petroleum exploration rights in northwest Botswana over the entire Kavango Sedimentary Basin. The Company's exploration license covers an area of approximately 25,341.33 square kilometers (6.3 million acres) and 8,990 km2 (2.2 million acres) in Botswana. The two licenses together comprise 34,325 sq km (8.5 million acres). Its conventional drilling program is focused on analyzing the rocks to determine if there is a working petroleum system in the Kavango Basin.


TSXV:RECO - Post by User

Comment by TurnToTheRighton Aug 17, 2021 12:19pm
209 Views
Post# 33717198

RE:RE:RE:RE:Some tech

RE:RE:RE:RE:Some tech

@jimgeorge, I understand that the public are screaming for data and new releases, but what would be the rationale for releasing the wireline logging results from just this one well. Regardless of whether or not the w/l log results are good, the results aren't very indicative of the area without further data from seismic, the VSP, and additional wells (with associated logs and cores) to make an informed inference/estimation.

If you were in RECO's shoes, would you release the log and core results from one well, knowing full well that it is impossible tell anything about the commercial viability of the field, or if the results are indicative of the entire play?

This looks to have run too far too fast, without the material information to substantiate the valuation. There is still the very real possibility that the resources to substantiate a multi-billion dollar market cap exist, but it's gonna take more time to get the data necessary to determine the reserves and commercial viability. I'm still very long Reco, and believe we'll be back to the teens in a little while (but I don't have any idea if that is 2-3 months, a year, 2 years, etc.)

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