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Antero Resources Corp T.AR


Primary Symbol: AR

Antero Resources Corporation is an independent natural gas and natural gas liquids (NGLs) company. The Company is engaged in the acquisition, development and production of unconventional properties located in the Appalachian Basin in West Virginia and Ohio. The Company targets large, repeatable resource plays where horizontal drilling and advanced fracture stimulation technologies provide the means to economically develop and produce natural gas, NGLs and oil from unconventional formations. The Company operates through three segments: the exploration, development, and production of natural gas, NGLs and oil; marketing of excess firm transportation capacity; and midstream services through its equity method investment in Antero Midstream Corporation (Antero Midstream). The Company holds approximately 515,000 net acres of natural gas, NGLs and oil properties located in the Appalachian Basin, primarily in West Virginia and Ohio.


NYSE:AR - Post by User

Comment by geosan0on Dec 15, 2021 2:49pm
301 Views
Post# 34233993

RE:RE:I sure dodged the bullet here

RE:RE:I sure dodged the bullet here
Your table math is off because you are conflating two different concepts: cost recovery and profit.  If they were to mine 1.6 million ounces at a $500 profit per ounce then they would not only recover their initial investment of $800 million but would also have a profit of $800 million.  If you are just looking to recover your capital cost then no profit is necessary, all you have to do is breakeven on the project.

So on a cost recovery basis, I believe the payback based on initial capital projections was less than 3 years.  Based on these revised capital cost increases that should now be closer to 5 yrs which is still respectable based on the fact that Magino is expected to be a long life mine asset.
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