""Not the optimum is the not so high as expected oil production rate from our texas oil wells. I still do not know: problems with the completion? problems with the hydraulic fracturing recipe?""
IMHO, I base all of the above on the assumption that we haven't got the knowledge and expertise to increase production from the wells that we are drilling. What we have been doing in the past, was to drill and then sell out of our producing tenements regardless of whether they were gas or oil, while the ones that were buying them from us, they have increased production further than when they bought them from us, and making good money from them. We, if we had what it takes, and the knowledge/expertise required for doing it, we could be in the buyers position instead. Value adding they call it!!!
Horses for courses as they say. At the moment, and IMHO, we are not even able to qualify for those types of races.
The last lot of the oil tenements that we have sold, is a case in point where the buyer increased oil and gas production to new levels and making good money on their investments.
As such, it was not that we were good sellers in selling our tenements at a good price, it was because the buyers thought that they were getting an excellent bargain that they ended up signing on the dotted line.
In the meantime we, as shareholders, have ended up having to wear one shoe in one foot, and a thong on the other. And if we don't start rectifying that problem soon, I have no doubt that we will end up with wearing a thong on the other foot as weel, or worse still, barefooted lol. :-) :-)
Good luck mate.
MPO Price at posting:
28.5¢ Sentiment: None Disclosure: Held
