RE:RE:cost
They have a pretty good idea.
NO it's not currently posted on the website, but it was at one point.
Last time I checked there was an actual interview with Cameron Todd where he said the breakeven point is less than $50 per barrel.
I do not know if that interveiw is still on the website. The last time I checked was about 5 or 6 weeks ago.
That being said, in looking at the old production function posted many months ago, I figured the breakeven point was around $55.
but there are a couple things that could bring the cost below $50 as Mr. Todd Said.
1) as the price of oil drops, so does the cost of trucking it to market as the price of Gasoline also goes down.
2) lots of royalty structures run on a sliding scale, so the royalties become smaller as the price of oil drops and become larger as the price of oil rises.
This type of royalty structure is in Alberta. -It is a fair assumption that this is the case here.
There are some other small factors that could bring the price of oil down a couple of dollars.
but based on that interview, I'm making the Assumption that Breakeven is at $50. If it actually turns out to be at $49 I dont think that's gonna spoil my estimates all that badly. I'm assuming a worst case scenario where the Breakeven is at $55 (my original estimate)
I'm also going with the projected average price of $60 per barrel over the course of 2017 with the first Quarter averaging around $50(give or take a couple of dollars)