GREY:BNKPF - Post by User
Post by
auburn2on Oct 17, 2017 6:24pm
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Post# 26823522
see page 15 of presentation
see page 15 of presentationIncreased OK activity is driving up costs, so it would reasonable to assume about $7mm per well. A clue of that With a 44% first year decline rate, the company may want to do a PP at these levels to keep debt levels manageable. 1800 declining 44% brings production down to about 1000, so they're on a treadmill and capital costs are high for a small company.
Assumes flat $3 gas, NGL pricing is 35% of Oil Price, $
5.7 million CAPEX all other
assumptions are from the NSAI reserves estimate. Particular decline curves are from
individual well cases in the respective category located in the future development area