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Fresh Tracks Therapeutics Inc V.BBI


Primary Symbol: FRTX

Fresh Tracks Therapeutics, Inc. is not engaged in any business activities. The Company is in the process of dissolution.


GREY:FRTX - Post by User

Comment by Ditto99on Aug 10, 2017 12:55pm
184 Views
Post# 26566662

RE:RE:RE:And now for something a little more interesting

RE:RE:RE:And now for something a little more interestingI dont think any tight oil well should be assigned reserves past 10 years, based on what I see. There is zero chance these wells are producing in 39 years. The Hz wells we drill are typically drained in 8 years. From an NPV standpoint, anything beyond 10 years is meaninless anyways given time value of money. The way I see things is that most Hz multistaged frac'd wells are over booked. Take the recent Birchcliff deal as an example. They had $368 million booked to their Worsley asset that just sold for $140 million. That's a big write down ($228 million!!). It's all relative because everyone does it I guess, but most NAV, P2 numbers are a joke. 

EUR could be raised a bit, not alot. The question is, does the increaed EUR justify the incremental spend on the completions? Time will tell, there's a cross over at some point but that's very tough to predict. A higher intensity completion accelerates production more than increased EUR, which is important from a payback period and recycle ratio standpoint, again, given time value of money. 
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