No surprise. I've just finished reading the full research report.
New information in it is that the single well pair is expected to produce 500 bpd in which DWOG share would be 125 bpd. Even at $10 per barrel margin because of the very high costs always involved in the first production, that's $35,000 a month revenue.
Looking at the current differential between bitumen and WTI, and forecasting ahead, we should be looking at $17 to $20 per barrel profit after they expand production with the next wells.
Anything above $10 a barrel profit is commercially viable once you get to the 5,000 bpd production stage. Even at $10 bucks, 5,000 bpd gives them $350,000 cash a month on their portion of the working interest while others carry the costs.
