GREY:VFGGF - Post by User
Comment by
ofirmeon Jan 08, 2014 7:03am
274 Views
Post# 22068462
RE:RE:RE:60 X the average last 10 days volume
RE:RE:RE:60 X the average last 10 days volume$230M EV, could be $70M cash flow in 2014, over 50% of production coming from waterflooding
by Q3 2014 (now about 30%) which could enable lower capex and still increased production.
$128M by end of Q3, could (in all probabilities) go down in Q4.
waterflooding capex should be lower than $20M in 2014. add 16 wells * $3.7M each will give you
$60M capex as highest number they could choose. in such a case they will be cfc positive and
adding substantial future value. if you even think about 2015 (when most projects will be
approaching peak flow), you could probably find a reason or two for the investment.
Anyway, good luck to you in your investments.