RE: Winter's Coming !!!24 Nov 2023 15:34
I hope they are prepared Tiburn, just like last year did they see the below coming.
RNS 20th April
Production
The Company's crude oil production averaged 1,200 Bbls/d in Q1 2023 (gross). During the period severe winter storms caused multiple field shut downs due to high snow accumulations and low temperatures. Oil production on April 17th was approximately 1,000 Bbls/d (gross), with 350 Bbl./d (gross) shut in at the BFSU for a flowing to pumping-flowing well conversion and production facility repairs. These works have been completed, with the wells being returned to production in a staged step-up manner. In addition, there is a similar production volume (>300 Bbls/d) restricted due to pressure related facility constraints. These constraints will be alleviated on commissioning of the gas gathering upgrades. Increased production is being observed at certain low productivity wells due to miscible flood response. Production on these wells (pumping) is being optimized to increase daily production rates, with optimization interrupted throughout the winter months due to the multiple severe winter storms.
Can you say that there will be no weather issues at all this winter? I hope not but unless your are the all knowing then the area they are in could create problems. Yes they have done very well to reorganise the cash situation but that has not come for free.
Risk is still high here but also is the reward, but it is not as straightforward maybe as some think.