"It will definitely be cash flow positive by then"
It should be cashflow +ve by now. At least thats what the presentation says. In the past they have said 300BOPD is cash flow +ve. They should be at that figure by now, or at the very least by the end of the year when the last few wells come on line.
"When can we confirm the 1000bopd figure then."
Looking at their work plan (page 30 of presentation), I would assume with current cash they could achieve the following by June 30th - 10 Lancaster wells (say 20 BOPD per well) - 6 work overs in Kay county (say 30 BOPD pwer well) - 1 Kansas well (last 2 have failed so no production assumed)
This should add another 380 BOPD to current production. Lets discount this to 300 BOPD due to delays.
SO my assumption would be at least 600BOPD by end of FY, possibly 1000BOPD if all goes well. AFter that they can use funds from Canada or the increased cash flow for further drilling.
AOK Price at posting:
12.5¢ Sentiment: Buy Disclosure: Held
