Ann: Austin strikes Oil in Colorado-AKK.AX, page-265

Bevter
The language in your post says it all. Total subjectivity . People selling got " sucked " into it. The language implies a mistake . How about those that bought at .9 and 1 and 1.1 and 1.2. Didn't they get sucked into buying

Folks - the facts have been laid on the table
The three things that make it very hard to AKK to be self sustaining from these discoveries is
The get 40 dollars for the oil vs WTI at 49
They have to transport which adds to opex making margins even lower
The size of the fields is very small and even the biggest field in the area in this oil price environment will simply not be enough to stop the continual CRs


Further to above the vertical drill means flow rates will be relatively poor and the company does not have enough money to fund operation and even one more well over the next quarter. The costs of the well , production testing have to amortised over the production life of the well and along with opex needs to be low enough to generate let's say 2-3 million net cash flow . It's simply can't happen based on current numbers.

For the record I expect next CR to come with a consolidation and they will Aim to raise about 1.5m , enough for another well and six months of operation

It's important to note that to stay alive they have sold of a lot of their acreage so there isn't much left supporting the company. Not a downramp - simply the facts