Once they hit 2000 BOEPD (my estimate once the infrastructure fully turns on and 70 wells are producing), I think they can drill 3-4 wells / month on cashflow. To maintain their accelerated pace of 6 (or more) wells per month, they need funding from somewhere once their bank balance thins out.
6 wells/mo should be very achievable in calendar year 2015 with a modest RBL (say $20 million). This level of activity would double their producing wells (and presumably their exit rate). Its a very conservative and achievable ambition IMHO.
AOK Price at posting:
22.5¢ Sentiment: Buy Disclosure: Held
