I have not finished reviewing Gulfslope’s current 10-Q, but wanted to point one new sentence they added regarding the Tau Prospect on page 11, under Note 3. Oil and Natural Gas Properties, second paragraph, last sentence. “The Company plans to re-drill this Prospect within the next twelve months”. Gulfslope added the caveat “however, the impact of the Covid-19 pandemic on Offshore operations is still under mitigation by Operators and will influence the time of a re-drill.”
Since Gulfslope still refers to the Tau Prospect as a re-drill well could this “re-drill well” technically be considered a “Substitution well” falling under their original January 1, 2018 Participation and JOA agreements Phase I or is it a Work-in-progress well?
The price of crude oil is extremely important going forward so I wanted to point out a pattern I noticed with the EIA’s STEO forecasts. Over the last 4 months, the EIA’s STEO 2020 and 2021 forecasted average pricing keeps increasing slightly for WTI and Brent.
So with Gulfslope planning to “re-drill” the Tau Prospect, in the next 12 months, would that include the “planning” for it’s funding too, definitely. Gulfslope is in a better position after the insurance Lump Sum monies. For example, Plans to bring down Gulfslope’s debt, check. Plans to use some of the insurance monies for expenditures associated with the Company’s drilling program, check.
Lest we forget the recent statement on their current 10-Q, page 22, section: Liquidity and Capital Resources, first paragraph, lines 5-7: “The Company plans to finance operations and planned expenditures through the issuance of equity securities, debt financing, farm-out agreements, mergers and other transactions to include the cash settlement of the Company’s insurance claim.”
Thanks for Gulfslope’s email link Philvb. Gulfslope’s email notification is simultaneously linked to the SEC Edgar Company Filings.
Smith
