|29k bopd (17.4k bopd net to PAP) with a $25 /bbl OpEx netback Oyo will generate $155 million in annual cash flow net to PAP. Deep water OpEx and transportation costs will be high. Even with a $20 /bbl OpEx netback thats $125 million in annual cash flow, and should underpin the value of the company depending on the size of the equity financing. OpEx costs Have you seen ENI's reserve numbers for Oyo? I'd guess 50 mmbo in 2P reserves, and 10.4 mmbo in annual production (6.3 mmbo net to PAP). |
I got the feeling in the conference call that the equity financing would include funding for acquisitions and business operations other than the acquisition of Oyo.