Over-excitement for a develop well or just WTI increase Lets not get too excited
GTE was also up 11.83% on no news
Plus, CNE is drilling a development well and it is going to add no value in terms of 2P reserves....it is also already assumed to be a success (look at the map in their presentation) the well is right in the sweet spot of the structure, if it is not successful, then CNE has some real problems
Likely CNE is going to bundle garbage financial results with the successful development well news just like they did last year when they announced successful drilling results of Tigro light oil discovery with 2014 year end results. The old negative plus a positive is neutral philosophy.
this is buying on rumor and you will see the selling on news, just like when CNE announced the Clarinette discovery....stock ran before the news and then sold off after everyone ran the numbers and realized that it doesn't matter how much gas CNE finds when their ability to monitize it is restriced to pipeline capacity that will be maximized in December 2015 and then possibly deliverability could increase in 2018 if CNE is lucky.