Well you might ask why has Denbury stock price declined to almost new lows?
This with a cost per barrel of oil around $30!
This says that investors are concerned about the future cost of oil as well as concerns
for this method of oil recovery! Also note Denbury has now spent 100 million on unplanned
repairs in Delhi field.
I wouldn't expect a lot of momentum in the price of EPM stock given these and other major
long term concerns!
Well I can tell you one reason the price hasn't increased and that is spending of 98 million
plus on a very small part of DNR's Delhi oil field. This will be in the middle of this whole
revisionary date for now. You are also assuming that oil prices are solid going forward
for many years. US crude oil supplies have been building now for sometime. Take a look
at some of the US oil trusts-prices are declining very significantly-possibly indicating lower
oil prices. I don't see much price change in EPM at this time meanwhile enjoy your 3%