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  4. Treaty Energy Corporation (TECO) Message Board

only problem I see is if we have a well making 50

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Post# of 39368
Posted On: 06/21/2015 9:49:59 PM
Posted By: arstegall
Re: Vettehemi #33528
only problem I see is if we have a well making 50 bbls per day at $60 a bbl we will never see that million a year. There is lifting costs, down time and unless we own the mineral rights there will be royalties. After all is said and done we could get 50% and would be doing good. So we would only be looking at half a million which is much better than we are doing now. Problem with a well making 50 bbl per day is how long will it last. This depends on the size of the reservoir and what is driving it. Just because a well tests at 50 bopd does not mean it will do this every day for a year. I say buy 10% of a well making 500 to 1000 bopd and let the bigger company produce the well. They are set up for this and will be better at it than TECO. Their lifting costs will be less which will help us. There chemical costs will be less because they buy more. The well will last longer which will help us. Just my opinion


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