PSA 0.00% 2.1¢ petsec energy limited

nymex henry hub gas price at $6.38

  1. 1,317 Posts.
    Gas prices holding up strongly. Terry Fern must be regretting hedging that 20% of production but there is a way to go before the hedge runs out in October. West Cameron wells producing "in excess of 25 mmcf per day" should give PSA solid revenues for June and make up for the down time in April/May for the recompletions.
    Forty days production at 25mmcfpd net to PSA (if that is what it is) at a net $US5.00 per mmcf is $A7.5 million. If production is 20 mmcfpd net to PSA then revenues for last 40 days for the quarter, if price holds above $US6.00 and allowing for hedged component, is still $A6.15 million. Great returns which ever way you look at it.
    If prices hold up, PSA will be pulling in a net$A4.5 to $A5.0 million a month over summer. What other junior oiler is doing that?
    Be interesting to see if PSA can get production up further to take advantage of these prices. Platform capacity is 40 mmcfpd. And not long now and those two extra West Cameron wells are due to spud.
    PSA good value at 52 cents.
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