TSXV:WEE.H - Post by User
Post by
gina_cobbon May 19, 2011 7:55pm
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Post# 18603831
a few numbers
a few numbersFrom WEE website:
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The goal of this Powerwave project was to provide the meansfor broader distribution of the CO2, allowing for more effective oilrecovery with the combined strategy. Production data to January 12,2010 indicates that the production rate has increased by 45.99barrels of oil per day (“bopd”) to 84.13 bopd or 120.6 percent morethan the pre-Powerwave baseline production of 38.14 bopd. Productiondecline rate has also decreased from a pre-Powerwave rate of 6.1percent per month to a rate of 2.0 percent per month with Powerwave.Results are from three production wells surrounding the sole CO2injector.
“As an oil producer Core is continuously lookingto optimize operations, increase production, and maximize recoveryof original oil in place,” said Core Energy President Robert Mannes.“After 16-months of evaluation Core engineers confirm the aboveresults and will be reviewing other assets for further Powerwavedeployment to replicate the production results of the pilotprogram.”
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I am sure you have seen the above.
So
At 6.1 % decline per month the wells will last 16.4 months at an average production of 19.07 boed
At 2.0 % decline per month the wells will last 65.6 months at an average production of 42 boed
Using $70 per bbl yields about $5 m for an investment of $200 k in Powerwave. Hard to argue with that!!
I expect someone will tell me that declines are exponential but I didn't know how to figure that out..
gina IMHO