Yangarra Resources Ltd T.YGR

What Should be Obvious

[Helloworld]

The latest 5 well pad in Cheddar on a whole is not good. 

Cheddar in that area had a lot of good wells drilled a number of years ago. 

Going back to the same general area and getting poor results tells me a lot of the oil has already been removed from nearby wells that have run for years. 

This should tell them the current well spacing is too tight and a giant waste of capital (the fact other producers like cnq and wcp in the area have at least double the spacing should have told them that a long time ago)

There is also some booming wells by wcp just east of their land (200 bpd oil average over a year).

They should drill properly spaced wells on their east cheddar land..They have enough land to do 50 x 2 mile wells with 4 wells per section instead of 8 (2 years of drilling inventory).

If they did that and averaged 100 bpd oil per well for a year they have transformed the company.

What am I missing?

[kavern23]

One problem to what you are suggesting is the capita required to build all those ng pipeline to all those lease sites. Also would tax the crew in building that many lease sites. Whitecap is using an existing lease site with a pipeline already there, fairly sure I seen this on a map. yeah hard to say yet what is happening with those 5 cheddarville wells. who knows? maybe the 2 mile well needs

[kavern23]

The counter to that though would be Inplay drills as tight as 6 wells per section and Yangarra has done 8 sucessfully in Ferrier before...ie in getting  more reserves economically drained and recovery rate higher. But I do agree something is seems wierd in cheddarville. like this last 2 miler was well spaced in cheddar.   hard to say why.  what confuses is if they were