Drilling timeOn Dec. 16 they announced that 90% of the drilling was complete. Here we are three weeks later and no news. We can surmise three scenarios. 1. the drilling through to TD was tougher than originally comtemplated, therefore special mud and drill bits were ordered, this takes time. 2. they have hit something much larger than any predrill estimate, pressure is so great that Exxon people were called in to survey and recommend the next step. 3. As they said, costs most likely in the $125mm range, you don't spend that kind of money for a dry hole. 4. they already announced that hydrocasrbons were recorded in Campanian and Upper Santonian. this bodes well for a major discovery.
For FEC value, the market has not accounted for a gusher. FEC alone, without Guyana is worth a billion dollars. Their cash flow will be in the vicinity of $400 to $500mm. Plus add in their other prospect, drill targets in Guyana. Looking forward to an announcement soon and the drilling of the next spud in February. comments welcome.