RE:RE:Netback (Putamayo vs Llanos)The short answer is yes. Some of the PUT wells being driled by Vetra are 2,000 - 4,000 boepd wells with PTA having a 15% interest. That type of well is likely to remain economic since the amount of oil is very high relative to drilling costs. It's the 200 - 400 boepd wells that might no longer be economic at lower prices.
On the downside the PUT oil is heavier and sells for less than the lighter oil at Las Maracas. On the posiitve side the royalties are reasonable for PUT. On the negative side the transportation costs are high, running as much as $15 / barrel to get the oil to market. The new route that Vetra is doing to ship oil to Ecuador's OCP pipeline could lower those costs as much as $10.
You also have to consider that PTA's costs in Q3 included costs for shut-in wells at PUT that were not producing but still needed to be maintained. Costs are likely to fall for all oil companies - but especially PTA if they can get the shipping costs down. Many of the wells PTA has are very low costs wells where it costs as much to truck the oil to market as actually produce it.