They haven't even started waterflood yet. And wf is really secondary recovery. It's expensive and won't make anyone rich in this type of asset. The bbls/d achieved will never be that great. At best pay the bills, won't be anything left over for shareholders.
I reckon pushing ahead with waterflood is progress. The cost per barrel with waterflood as stated in the Q&A is half that of drilling wells. This means that at current oil prices Range can still produce profitable oil and there are few oil companies in the world can say the same. OK to some extent it is jamorrow but all the ingredients for the jam are in the pot and the heat turned on.
The water flood appears to be an incremental extension of the existing pilot. Between now and first oil, cash will reduce, liabilities increase and existing production may decline. The oil will restore the current position, but adds no increase in shareholder value IMO
Datafeed and UK data supplied by NBTrader and Digital Look.
While London South East do their best to maintain the high quality of the information displayed on this site,
we cannot be held responsible for any loss due to incorrect information found here. All information is provided free of charge, 'as-is', and you use it at your own risk.
The contents of all 'Chat' messages should not be construed as advice and represent the opinions of the authors, not those of London South East Limited, or its affiliates.
London South East does not authorise or approve this content, and reserves the right to remove items at its discretion.