RE:Napkin Math on German natural gas on 1 well.Always has been the cash cow. Let's hope they leave some for us this time..
They don't have 100% working interest in all wells in either Germany or Croatia so it's not all of their money and then we'll have to hope that the EU is done windfall taxing VET.
But yeah, it should be a good year.
GLTY and all
galaxyr wrote: Please correct me if I'm wrong.
According to the November presentation.
Successfully completed testing operations on the Osterheide well (100% WI), flow tested at a restricted rate of 17 mmcf/d(1) with a wellhead pressure of 4,625 psi, expect deliverability would have been higher without testing equipment limitations.
one well is testing at a restricted rate of 17 mmcf/d that equates to 4982 megawatt hours per day.
EU natural gas TTF is sold in megawatt hours. TTF is currently 44 Euros per megawatt hour
4982 X 44 Euros = 219,000 Euros a day
219,000 X 365 days = approx 80 Million Euros a year.
80 Million Euros converted to CAD $nbsp; = approx $118 Million Canadian.
that is on just the one well, that has a restricted flow rate at the moment and the expected delivery would have been higher without testing equipement limitations.
Am I missing something.....
Seems to me that when the well is tied in and the others are drilled. FCF from European operations will be the cash cow for Vermilion.
Any comments/ Am I missing something. $118 Million a year of revenue from just one well??????