LFO and Salt, good, useful commentary. Ive only just come into this, so I missed some of the background to Alberta. What attracted me here was the 4 mill cash in hand, a thicker oil intersection than neighbouring field, healthy implied flow rates in the new field, easy tie in to existing infrastructure and relatively cheap drill/field costs. I tried doing some analysis to work out what it is worth, but other than owning 30% of 300 bopd per well (2wells this year, six next year and another six the year after) and a cost of production of $30/bbl, i could not get much more out. Im presuming they have existing production, but i can't get a sense of what the revenue/cost parameters are for that, other than generating a loss at anything under 60/bbl WTI. If some one has their head around that, id be grateful. In any case i see this as an undervalued stock, with cash, oil discovery and revenue...but still early on in the piece...heres hoping everything moves quickly so the management burn does not dry them up.
WBE Price at posting:
0.4¢ Sentiment: Hold Disclosure: Held
