Join today and have your say! It’s FREE!

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Please Try Again
{{ error }}
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

or

Sign In

Please Try Again
{{ error }}
Password Hint : {{passwordHint}}
Forgot Password?

or

Please Try Again {{ error }}

Send my password

SUCCESS
An email was sent with password retrieval instructions. Please go to the link in the email message to retrieve your password.

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.

Reconnaissance Energy (Africa) Ltd V.RECO

Alternate Symbol(s):  RECAF | RCNWF | V.RECO.WT

Reconnaissance Energy Africa Ltd. is a Canada-based oil and gas company. The Company is engaged in the exploration of the Damara Fold Belt and Kavango Rift Basin in the Kalahari Desert of northeastern Namibia and northwestern Botswana. The Company holds interest in a petroleum exploration license no. 0073 (PEL 73) in northeast Namibia and an interest in petroleum exploration rights in northwest Botswana over the Kavango Sedimentary Basin. The Company's exploration license covers an area of approximately 25,341.33 square kilometers (km2) (6.3 million acres) of oil and/or gas exploration properties comprising Blocks 1719, 1720, 1721, 1819, 1820 and 1821 situated in the Kavango Basin of northeast Namibia (the Namibia Licensed Property) and approximately 7,592 km2 (1.88 million acres) in Botswana (the Botswana Licensed Property). The two licenses together comprise over 32,933 km2 (8 million acres).


TSXV:RECO - Post by User

Comment by TurnToTheRighton Dec 18, 2021 10:47am
363 Views
Post# 34243305

RE:New well

RE:New well@Peter99 - I can understand your impatience, but what you're asking RECO to do would be extrememly foolish. This isn't a science experiment it is managing risk. Perhaps an analogy would help clear this up a bit.

Would you buy a stock without doing any due diligence, or reading into the company's business - I would really hope you wouldn't. Now, based on your due diligence, and potentially relying on market experts to help form your opinion, I would hope that you would start to build your position and not bet the farm at one time. As you become more informed about the company, and the company delivers on its business plans (which you follow) you begin to gain greater conviciton in the perfomance of the company and its stock, and you invest more. RECO is doing just that.

They started to de-risk the play, and they are using the infomration they gain to continually inform their decisions. They are using the info from the first 2 wells to pick the best well location with the highest chance of success. A producing well isn't guaranteed, and to drill blindly would be foolish and reckless - not to mention a very expensive gamble. This is going to take time to develop a handful of producing wells, which at this point would be deemed appraisal wells. 

This is going to take time (years) so we need to all either accept this and be patient, or I may suggest that if you are expecting great returns over a short period of time that you move your investment elsewhere (like crypto or a meme stock, those seem to have astronomical risk/return on a whipsaw). Just trying to help those see the big picture of how an oil and gas asset is developed, and to develop realistic expectations of RECO in the short term.
<< Previous
Bullboard Posts
Next >>