VikingI havent looked at OBE viking work in awhile.
Looks really stellar. They developed it so efficiently, just 20 wells on 4 leases. 4 pads.
And the first 12 wells looks steady and really profitable project.
This is my prediction for the profile of those 20 wells combined.
1m barrrels of oil produced in 1.5 years or 100m revenue at (100 cad assumption a barrel average.)
Another 1m produced in next 3.5 years or 100m revenue.
It's even good from a time value of money aspect.
But 20 wells drillef side by side producing a combined 200m revenue in first 5 years of production is really good.
The capital spend here is probably getting better returns than cardium as no rigs moves either...such a short distance.
The next wells that extend from these 20 wells will probably drop abit in strength but even if they dont drill another viking wells its a big sucess.
But even still those 20 wells will add 1 dollar per share in value over time to company easy...well worth the drill program.