RE: 0.20027 Nov 2024 11:10
Proactive: And of course, this should significantly boost your revenue and cash flow going forward, Paul?
Paul Welch: It will. The first 30 barrels per day are profitable for us. Once we exceed that profitability hurdle, every additional barrel adds about $50 in profit—sometimes more, depending on the field.
In Fouke, for example, it’s closer to $65 per barrel. For Pine Mills, it’s $45 to $50 per barrel.
Once we get all these wells running, we expect to increase our monthly cash flow by nearly fivefold. It’s a significant step change. The work begins in early December and should take six weeks, with benefits visible in the first quarter.
It’s an exciting time for shareholders, and I believe even those joining now will be richly rewarded.