MrDecember, I agree completely that it is all about hitting oil in the Utica at the moment. That is why I am here also and why I'll stay here to see what happens.
The share price should have gone to $2 with the reverse split, but what we have is $.33. This tells me that the market doesn't think there will be a productive well for FNRC in the Utica. But markets can be wrong, especially when you are talking about whether any particular well is going to hit or not. I assume that the market is simply assigning FNRC's track record, which isn't that great, to future operations, like the well in Utica. This is the type of situation that can create a huge imbalance in the share price, which is likely to correct itself if a well actually comes in.
I would be satisfied with $4 a share, which would be more than break even for me, but my guess is that we could see $8 a share on news that drilling has commenced in the Utica and $12 to $14 if we get a good well of 400 to 500 barrels a day. Horizontal wells can and often do produce that much oil, especially in the first couple of years before depletion sets in. I know of a horizontal well that Clayton Williams drilled in the Eagleford Shale around Caldwell, Texas, earlier this year that came in at 40,000 barrels in the first 2 months, or about 600 plus barrels a day.
Anyway, at 33 cents I am trying to double my share count right now. So if anyone is interested in selling, please come up on the net and I will gladly buy your shares for 33 cents each, in any amount up to what you see on the bid.
Cropduster
