The NPV value of PTAL lies in the free cashflow thatoccurs after the big spend on processing and waterdisposal ends. And now the errosion costs that appeared earlier this year which adds material cap ex for 2024 and 2025. The used to have a long term chart illistrating the capex over the coming years. It showed the capex falling off a cliff at some point once they build out the suffiecient life of field waterdisposal infrustructure. Not sure when this was suppose to take place. 2026? 2027? With the cap ex needed for 3-4 wells a year, at 13-15 each the cashflow is 60 mill or less, leaving plenty of free cashlow for year after year. The question is when do we get there. A 70 brent price is far different than a 80. As I pointed out we have enough cash to pay the 6 cent US dividend in 2025.
Anyone who knows when the cap ex drops dramatically? That is the question.