Go to RRC or Drillinginfo.com. I guarantee you will be shocked at the true daily production of Lucas. In April, they produced 3052 bbls of oil from 30 wells. That is an average of 3.3 bbls/day per well. The best well made 556 bbls for the month, or 18.5 bbls day.
rhhaynes,, I`m not to entertain, but what is it about this map that you don`t believe? Bakken has already placed a name behind the sexiest red dot here(freeman and freeman)... http://info.drillinginfo.com/urb/eagleford/files/2010/06/Lucas-Wells3.png
No kidding? that was in April ... what is the production since then? Anyone that has been in LEI for any amount of time already knows that the true value of Lucas is not based on what they produced in April.
Do you know what has happened since then? Do you know what their stock price was then? Can you explain why it has increased over 300% and is now holding firm over $2? I can guarantee it's not because of April's production.
If you don't the answer to those things, maybe you should continue doing research before you take a position in this thing, long or short.
Lucas's value lies with its net acreage possition in the eagle ford which has not been drilled yet. Everyone is tight lipped about their possition because they all are still trying to accumulate more acres in the play. Why would you say how valuable the acreage possition is when you are trying lease more land. Do you tell the land owner that the true value of his/her acreage possition is $10,000 per acre and then offer only $1000/acre to lease it. I don't think so. Right now they are all trying to take the possition that this is a speculative play and therefore shouldn't have to pay top dollar for leases. If they tell the landowner that they are right dab in the middle of the oil window that landowner is going to demand a much higher lease bonus etc. We are in the accumulation stage of this play right now when less news is better.
Its not about where they have been, its about where they are going Gomer.
They have a plan to produce significant oil and are executing the plan. But then again you already knew that.
Keep workin it. You guys really arent very good at this anymore.