Athena First Oil was on May 26 and the PR on the downhole restriction well was on June 25. So they got Athena production about 1/3 of the 2nd quarter. In the same PR on June 25, they guided 2nd quarter production of 4076 BOD, mainly due to down time in other fields, and the final number is 3964 BOD. So market should never have expected them to double production in the 2nd Quarter.
It seems that the downhole restriction on one Athena well took place in the very beginning and all the other three wells have been working OK except being limited to 75% rate. At this point, I would not speculate the other three wells would face the same issue. For that problematic well, the worst case is a rig based workover, which I am not sure how much it would cost. But this should have been priced in the SP and Ithaca has the money to do it if they have too.
I guess NS is just a difficult/expensive place to operate. Athena started from a much smaller filed in Jacky and they still run into different technical issues here and there. I don't think Iona's team is so much better and their development would be trouble free. The difference is how much contingency cash Iona would have if they happen to get into troubles? The payment for the T5Z well and Orlando purchase would significantly burn their cash. Even they farm out 50% of Orlando and completely draw the credit facility, they need to be very careful managing their development and cash as they would be left a very small room for errors.
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