Some calculation.
in response to
by
posted on
Mar 20, 2014 05:56PM
Connacher is a growing exploration, development and production company with a focus on producing bitumen and expanding its in-situ oil sands projects located near Fort McMurray, Alberta
Hi Terry
Based on their news we probably can make a small calculation.Their output is about 13700 now that in comparison with 11.900 in 2012 so that's almost 1800bpd .If we assume they could get 45$per/b (which is lower then current but i take a cautious approach )then this would result in 1800*365*45=29.565.000 $or 29.6million$ extra.
So IF oil price can stay around current level and they can pump up some more in next months to come this can result in a much higher surplus then the 29.6 mil.
Question is how much production and what level base wti price they need to come break even.From what I've read this is still not clear from the cc.