This comes via HC. A shareholder had a meeting with TB at Macquarie Equites. The poster has been a long term SSN contributor on HC but please do your own research.
I'm back from the meeting with Terry and his exploration guru, David Ninke. Remember this meeting was a roadshow for Macquarie equities to gain exposure to the SSN story, and not about me, so there are only so many questions I could ask, and with 10 people sitting around the table, I wasn't going to embarrass Terry with any questions. He ran through the last Enercom preso, and i asked some questions along the way and gleamed the following:
- SOA #2 spuds 1st April. David is extremely excited about this because of the 3D image .... in fact Terry swung over to him and asked if he didn't mind repeating what David had said to Terry about this location and the SOA site .... David said they can see 29 other SOA targets, so if the re-drill of SOA (imminent)comes in, watch out !
- TB still saying the jury is still out on Defender @ 280 ish BOPD, but he is hoping to get to 400 within the next 3-4 weeks as the well stabilises.
- another operational advisory due next week, but he wasn't sure if it will be Monday or not.
- TB is adamant that it is realistic to claim 4 in fill drills in ND stockyard and it will happen in 2012 ... drilling and fraccing units much easier to get hold of vs last 12 months.
- TB confirmed OMRs find of Magic US 38 .... our more westerly location for defender no 2.
- TB is confident based on recent discussions with HAL that they will committ to Magic US 38, but we all have to wait for 31ST March for final decision.
- TB said he has taken some flack from various quarters abou the 70BOPD number in the last AUSII update, but he included because of disclosure requirements .... I didn't push that further.
- TB stressed the 70BOPD meant nothing ... and that sections of the market misinterpreted that part of the operational advisory
- TB said the well is heavily 'blocked with undrilled plugs and equipment as reported, but once cleared, he thinks AUSII could release IPs of around 800BOPD but would be more than satisfied with say 500BOPD.
- TB said they have learnt a lot about the frac of AUSII, and that in hindsight sight, would have used a bit more proppant and sand, but all that learning is going into the imminent Gretel frac .... all good.
- TB is committed to hiring the skid-able rigs once AUSII and Gretel are declared commercial... I pushed on anticipated timeline here and got something like April / May to declare success or otherwise.
- TB confirmed they would pay for skids and one drill per month on Roosevelt by CR of undisclosed type/structure/nature, rather than chew up current cash of $US41M. CR maybe later this year, but expected to be higher levels than here ofcourse. It would also help cover costs of more conventional type SOA drills that cost about $US3M each vs the AUSII type frac that come in at present at about $US6.5M
- TB confirmed that the $50M facility others have posted about was set up 4 years ago, and I'll leave the explanation to what some others have posted - went over my head a bit, but its i think about being able to raise funds some time into the future according to various listing rules and regulations, so Sharks, I think yes TB will raise the 50M to help pay for skids and 1 drill per month and other project drilling costs later in the year.
- I put words in his mouth with the rough timeline for the SP to reach his target of $US24, and he agreed some time in about 18-24 months from now, and added "when I hope the chinese come in with a take over offer
"
- no one has come and knocked on the door yet in respect to TO, but the working relationships with others around us in the Roosevelt such as Marathon and Continental means they will get a chance to take a closer look at SSN, and you never know what might come from that ;-)
All in all, i came away with the feeling that TB is confident the SP is due for a re-rating in the near future (next couple of months ?)with results due on several fronts including IPs on AUSII, Gretel, Abercrombie, and SOA #2.
Hope that is useful feedback ....I'm buying more stock today