Something that may add to the conversation regarding the MAY Block 9 profit oil deal negotiated by RZ. The 12.5% profit oil may be better than some people thought....
Sherritt who are still drilling next door at Block 10 are now down to 6% profit oil on their other Cuban fields/PSCs. This is according to the latest Sherritt briefing, here's the link, followed by the text
"Oil production on a net working interest basis is forecasted at between 1,800 and 2,100 barrels of oil equivalent per day in 2019. The forecast reflects natural reservoir declines from maturing fields and the reduction of Sherritt’s profit oil percentage to 6% with the renewal of the Puerto Escondido/Yumuri production sharing contract in March 2018. Oil production forecasts for 2019 exclude any anticipated contributions from Block 10 as drilling to reach the target reservoir continues."
Sherritt & MAY could be calculating profit oil completely differently, so pls apply liberal salt.... In any case, keeping an eye on Sherritt may be useful
Last words...Spitfire always good reading, keep doing what you're doing
MAY Price at posting:
1.6¢ Sentiment: Buy Disclosure: Held
(20min delay)
