Now to get on with some serious work.
I was in the office Friday and I will most likely return there next week before I leave to visit W. Texas.
I am aware of projections to profitability range 80BPD upwards. I remain focused on the 200bpd. The reason is for that is, that's the number I see critical mass. That number is where I feel comfortable with profitability and sustainability. This is a number where the share count doesn't go up. And, over 200BPD, the share count could possibly go down. We all know what that means. I won't even use the word, it's not time.
Now comes in the big factor, CapX or Capital Expenditures, This will be determined by BPD and what we can safely afford. It's called growing the company at a sustainable rate.
Now I've said we need to hit this number within a certain time frame. The reason for this is cost. Fixed costs along with associated drilling cost can overrun/overwhelm a small company. We should work realizing that time is money. I want to emphasize that should those time frames not be met that cost will run down to us. I've watched TECO unfold over the last 2 years and I quite happy and pleased with how Andrew has handled it. I am fully aware of what has happened, and how it happened and so forth. Being somewhat in the catbird seat, I happy to say that I've made a projection to 120 days to 200PBD. Now I still need to see it within 150 days. This projection is from me and from me only. It comes from my DD. It's simply a projection with best information I have.
It's wholly possible it could come in much sooner and blow right by that 200BPD. I'm just not ready to make that leap yet. I'm making a call that I feel comfortable with.
200BPD 120 days.
