RE: I wouldn't sell at the moment .... When does march start ?28 Feb 2020 12:06
WHIreland Opinion: Solid production from the A5 Well to date is extremely encouraging as is management’s estimate of the well’s potential flow rate. More time will be required to confirm these expectations which if correct would be transformative for the company. The scale of the flow rate is not as important as the establishment of stable commercial production. We believe this to be the case because the drilling costs per barrel are expected to be low. Therefore the number of wells required to extract the oil is not the key issue in our opinion. For perspective, based on our volumetric analysis WHI estimates the Airshagyl field has the potential to produce 302 million barrels of oil, based on a 58km2 area of the field, which would be increased by the success of the forthcoming Deep A9 Well. The additional planned deep well, A9, is quite exciting in the current context of testing the A5 well. Based on the most recent updates provided by the company we cannot rule out the possibility of the company achieving strong growth in both deep and shallow production at the same time.