RE:RE:RE:RE:RE:UK Investor show
If they drill the two Coora wells and then shut down again while waiting for Cascadura cash flow to start, then they have not delivered the promise of a continuous (one rig) drilling program that is supposed to start when drilling recommences.
On the other hand if they wait and wait, they are peeing away money paying for totally unproductive 120 days of drilling time that they have comitted to and must pay for.
Likely the banks would lend them money for the two Coora wells and for the Coho-2 well. The banks will not lend them money for day charges for idle rig not drilling anything.
I think they should calculate the start date that they need to fully use the 120 drilling days for 2022 and then just get going ondrilling with the Star Valley rig. Coora, Coora, Coho - anyway they want to do it. We really have nothing new from my wish list from the London Confernce. We are waiting for the same four things. All I got out of the new slide deck is 4-6 weeks for commisioning of the Coho Pipeline.
1. Coho first gas
2. Cascadura development plan accepted
3. Coomencement of the continuous drilling program and annnouncement of drilling sequence.
(4. - may be later) On-shore bid round results.
Someone said that this conference had been scheduled in 2020 but was delayed because of Covid. If it had been held in 2020 they would have talked about first gas at Coho very shortly, cascadura deevlopment plan soon, starting a two rig drilling program. Coming wall of cash. Dividend talk for was in the air as well. They were even talking in 2020 about limiting drilling to a two rig drilling program because that was all they could handle. What has happened since then is Star Valley Rig is on Trinidad but nhardly being used, extension of license on Ortoire block, initial Royston results which in turn upgrades possibilities for Kraken, 3 mildly disappointing legacy drills, flat production, revenues slightly up despite massive oil and gas price increases, a fixed nat gas price at well head negotiated just before that massive re-set in enrgy prices (but still favorable in many ways).