Canadian Oil & Gas Companies Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Canadian Oil & Gas Companies

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: keith massey who wrote (6135)	3/5/1999 5:41:00 PM
From: SofaSpud	of 24925

Keith / Omax Pretty tough to get the back of the envelope going on this one. Even if they are sitting on top of a good discovery, how close is the play to infrastructure? Gas is useless unless you can get it to market. Is there a pipeline nearby? It's one thing for a little company in Alberta to hit a well at a few thousand mcf/d if they're 500 yards from a gas plant; quite another if they're 100 miles from the nearest infrastructure. The reservoir has to produce enough to make it worth connecting, which might be an issue where Omax is in Ontario -- I don't know. Then you start worrying about production and decline rates, netbacks, etc. FWIW

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next