|ROSE & MCF speculations IMO For small oil companies these, recent oil finds enhance speculative appeal. Wells are very expensive to drill these days for small companies like these. IMO there are some notable oil companies around their wells and acreage. IMO they would be interested in adding to their positive acreage because of their production cost advantage. I'm willing to hold in these very little market Cap. risky companies. A money loosing bet for me so far, but that's why I'm diversified. I think of the new land based oil drilling that's going on now. Much new drilling will be in the area these companies hold acreage. FWIW-It seems to me they need to partner (Working interests}with others to get their land drilled or sell out to enhance shareholder value near term.|
ROSE.In late July, Rosehill began flowback on its first well targeting the 2nd Bone Spring sand, the Kyle 26 ST-1, with a peak rate of 2,130 BOE per day (84% oil);
Increased proved reserves to 24.8 million barrels of oil equivalent (“MMBOE”) with a PV-10 of $183 million at June 30, 2017 (audited and determined under SEC guidelines), up 88% and 126%, respectively, from December 31, 2016;
The Gunner #2H well (50%WI, 37.5%NRI) was drilled to a TMD of 20,430 feet, including a 10,600 foot lateral into the Lower Wolfcamp A. The well was completed with 50 stages of fracture stimulation in June, with initial flowback commencing in early August. The well reached a gross maximum 3-stream 24-hour IP rate of 1,348 Boed (77% oil), and the last 30 days have averaged 1,152 Boed (76% oil), which represents our best performance to date.
We have now tested multiple landing points within the Wolfcamp A bench and believe we have proven at least two benches for development within the Wolfcamp A across our acreage position. The Rude Ram and Gunner landing points are spaced with approximately 130' of vertical separation from an Upper Wolfcamp A and a lower Wolfcamp A landing, respectively. Each well we have drilled has shown progressively better production performance than the previous due to enhancements to completion and flowback techniques. Our last two wells, the Rude Ram, which has produced 100 Mboe in 4 months and the Gunner, have been our best wells to date. We will continue to evaluate and enhance our leasehold with future drilling into the Bone Springs and the Wolfcamp B zone. We remain very optimistic about these future benches in light of recent activity around our position.