That rich acreage cost them roughly $4,000 per gross acre...that isn't rich ground...The 50 odd wells are producing around 700 boepd...wanna do the math ? Seriously..instead of trusting an SA author's promise of fast riches..go to Lonestar Resources Website..investor relations and look at analyst coverage and see what the Target Price..issued on May 19 was..it's US $0.32..Aus.0.35...so current $0.40 is already 20% above the target. JMHO GLTY
Check out SSN. Up 13.6% today! Prime real estate in the Bakken. Operational News coming out on Monday night and with ISIS on the doorstep of Baghdad, oil prices are going to surge next week.
Sentiment: Strong Buy
Good luck on that one..but be careful....except for the uptick in volume it had zilch for daily volume before..Those can be roach traps..you check in but you can't check out. If you can trade in fractional pennies which is what the bids and asks are now trading at and if you use a discount broker you may be alright. In high volume it's easy to grab 50K on a whole cent bid..but if volume disappears and you try and have to get out in 1K trades even a discount broker fee hurts on a penny stock..plus the fractional cent guys outrun your price. If your'e experienced..ENJOY..if not walk softly. Been there , done that...JMHO GLTA
The promote probably deems it unprofitable for AXAS--note author did not post the NRI beside the WI for the acreage. We all know WI is the percentage of expenses a participant pays. The real world here is the NRI, the net revenue interest is the percentage of the revenue generated the WI owner collects. The difference equates to initial overhead, it comes right off the top, the cost of doing business even before the WI owner, sees a cent.
The Real World is unpleasantly complicated. Sorry about that.
The NRI and WI is actually provided at LoneStars website...NRI is about 20% lower than WI..it varies a little..but NRI is about 20% lower than WI. Some WI are down around 50% and some are high 90 and 100..doesn't look that great to me..and existing boepd is pretty low on the working wells..50 some odd wells doing less than 700 boepd. Not for my taste.