You're right although the margin only represents aprox. 6% of my overall wealth so I can cover it quite comfortably if need be. To me the situation is worth the risk, but everybody has different tolerences....I've been around along time and to me life isn't worth much without risk of loss and a little infatuation! Best wishes to all the shareholders!
Contango's Eloise prospect is not near as large as the Dutch/Mary Rose field. Contango is drilling for Lower Cib. Op. sands. The main objectives are two sands deeper than the Dutch sands. I would expect them to make a well but nothing like any of the field wells.
If both sands are productive then Contango would drill another well to the south for the deeper sands. Maximum number of wells for Eloise is one well. Gross reserves for this prospect is about 25-30 BCFE.
Eloise II (second sand to the south) is larger perhaps in the 50-75 BCF range. Two wells max.
They may encounter several feet of pay within the Dutch sand that could extend the field to the west.
My God, what happened here, actual intelligence on the mcf board that doesn't regurgitate Sellers selling cr*p or say what a great guy Ken Peak is. I for one would be thrilled with 25-30 BCFE.
Unfortunately for MCF this drop is commensurate with the drop in NG and other nG stocks. Looks like Ken Peak and Mark Sellers thought they were impervious to commodity prices with their purchases last few weeks, obvisouly not true.
Peak has a nice sense of humour. I liked the way he used the 'disaster' of the Eduardo shut-in (which will disrupt production for only a couple of days)to tell the world the company is earning $1 million/day with longterm debt of only $15 million.