RE: RE: RE: NR re Sidewinder Flow TestThey are selling their NG at between 5 to 7$/mcf so if u convert it in a barrel standard it is 30$ to 42$. We can take the average we consider they sell their NG at 36$ a barrel. It cost them around 25$ in direct cost (average what it cost in US for this kind of well) +royalties&taxes(they pay now only the royalty) so around 5$ +administratives costs around 3 to 4$.
So u can see that they dont make that much money on NG. Company like cheasapeake in US says u can make money in NG if it is sold at more than 5$/mcf. Maybe u understand why even after 4 positives wells on sidewinder this stock is not moving from the 6$ area. Just because NG is worthless.
Where they can make money is with oil but NG is worthless, except in EU where it is sold at 11$/mcf now.
But the management understand that they now focus more on cheal property.
All the best
Julien