For all investors/traders that are new to either microcaps or wildcat oil exploration, both are high risk and combined (as GSPE is) they are even more so
That said, your chances of profit on SMART trading are considerably better than roulette
My thoughts on Canoe are that it "might" have commercial quantities of oil but no final determination has been announced
For those who follow the filings on correspondence with the SEC, you will not that GSPE got a warning related to their description of potential oil quantities in their filings
They don't want to make that error again
I would suspect that the parameters they need to navigate through to announce the results on a well are fairly complex and need to be substantiated in many cases
The cost to develop and tieback to a platform and other costs of production would be dependent on the total number of wells, method of tieback, and availability of nearby infrastructure so there are lots of variables
Some variables will change if other wells are drilled nearby
as an example - one well with a discovery may not have enough oil to be profitably recovered but if it can piggyback on another nearby well then the development costs would improve and it might be profitable in that scenario
Corvette will change the equation, hopefully tipping it to the "very profitable" end
It's a proven oil play that they are targeting but drilling salt is highly technical, expensive, and prone to present unexpected hurdles
spec
- Foglifter -
