The updated RISC report indicates that the net total proved reserves under PRMS standards are now approximately 303.7 billion cubic feet (Bcf), with estimated future net cash flow, on an NPV10 basis, of approximately US$1.1 billion. In addition, the updated RISC report estimates the net total proved and probable reserves under PRMS standards are now approximately 440.8 Bcf, with estimated future net cash flow, on an NPV10 basis, of approximately US$2.0 billion. And the updated RISC report estimates the net total proved, probable and possible reserves to be approximately 552.3 Bcf, with an estimated NPV10 of US$2.8 billion.
CEO Michael R. McElwrath said "Our appraisal well drilling and testing is reflected in the increased 1P, 2P and 3P numbers contained in this updated RISC report on PRMS reserves, compared to the same study at year-end 2011. We are pleased that the report once again underscores the strength of our Shouyang project."
McElwrath added "The updated RISC report supports FEEC's confidence in this project. With funding in place, we are moving ahead with our 2013 drilling program and will provide an update on the status of the drilling program in Thursday's update call."
Reserves mean nothing if you can't economically produce them. The ONLY thing that will push this pig higher is rapidly increased gas volumes. Or a competent operator buys them out which seems unlikely to me. If they were a serious company they should put a simple graph of number of producing wells vs. produced gas volumes front and center on their web page so everyone can see their progress or lack of it.
twice,True story,It isn't that each well site is producing that much by volume independently. Clustered/organized/probable locations still takes reams of money to complete to profitable volumetric numbers.Any flanker/ investigative wells that are probing the producing formation, may not be hooked to the main feeder because of the economics to bring to feeder.system, They will probably figure importantly in the overall picture, [il they are on a par or better then the present wells] and wait for further development to catch up with them. But again, those wells on the flank tell a story for the future of this company/or other. imo. My actuarials do not include that time frame however..lol.....good luck...tro