"Below is an extract from a recent broker report with O&G peers (note all of these are pre-revenue explorers and most do NOT have offtake agreements in place)"
Are you sure about that? Pretty sure the boys and girls at CTP wouldn't agree with you. Anyway minor point.
Don't cloud the issue. Pathfinder is in Colorado USA. Its MCF and BCF and the discussion is not about Reserves but Contingent Resources ... in a country with over 2,000 TCF of Resource, 30% of which is from shale and mostly in the Marcellus/Utica and the more mature Barnett, Haynesville and Permian.
Right there you $0.20/GJ is torched. Colorado is not East Coast Australia (starved of gas where now the discussion is to import LNG).
I might agree with you that its not about revenue ... but it is all about earnings. And to have earnings you do need revenue which exceeds the all-in cost of discovery/development.
Not in the least disgruntled. 4Mmcfpd ... CHK wells in the Haynesville have IPs around 30Mmcf with an EUR of around 14Bcf and they are right there on the gulf coast export market (no long haul transport fee).
Hope this helps. Probably not useful though right, I mean it does put it in perspective relative to what is really going on. You could be more enlightened and look into the DJ Basin producers but that might help you too much either ... Florence being an "oil" field and all. Sorry ... gas is the game now isn't it.
That gas off-take agreement as you refer to it. You mean selling gas directly into the CIG pipeline. Why don't you wait for FPL to announcement the composition of the gas. There was an issue in the past with this and compatibility with CIG - hence the Gas America processing plant option. What has changed? Need specifics on BTUs etc.
Suggestion is fresh eyes vs old eyes .... naive eyes vs experienced eyes ????
Still I wish you good luck with you "investment" ... we are all entitled to our opinions. The data and the facts are what they are.
FPL Price at posting:
0.9¢ Sentiment: None Disclosure: Not Held
