AYO unknown

pressing on ahead, page-5

  1. 3,469 Posts.
    Hi Sue ,
    The cash flow is an integral part of the AYO machinery........all the past years work doing $7m of seismics; wells ; pipeline building ;and all the other intensive field programmes , are now rolling along creating this "multiplier effect" which is ahead of the market price now . With Adatepe#1+Yesiltepe#1 on the go now .....remember that Adana Basin plus Lease#3599 Oil wells announced 1/4'ly recently are right in the pipeline to follow using AYO's OWN oilrig !
    Cash flow from gas sales is building up all the time with announcements every f/n [next about 17/5/03]. Gas sales at June30 are expected to be 20mmcuft/day,with growth to 30mmcuft/day before Nov03 along with production of approx 12mmcuft/day starting in 3-4 months from Cayirdere gas Field. It is worth noting that production costs at 42mmcuft/day later in the 3rdquarter03 will be about 10% of sales because of this ONSHORE OPERATION . Any large discovery with Adatepe#1 will see gas from the Gocerler Gas Plant ramped to capacity soonest without the wait till nov03. AYO's share of the expected 42 mmcuft/day is 50%[TPAO 50%].
    Gas cash flow here should match those revenue and cost figures enjoyed by Petsec Energy at this time , BUT we will see huge reserves being built up with successes pending .
    Cash flows from Yesiltepe or Adana or Lease#3599 , is mind boggling at this stage , and speculative .
    Then theres Whicher Range Gas Field the biggest onshore monster in aussie! I will not consider cash flow here as it is early days; but to say that the company has said they are cash free carried now through this well as all the start up development and drilling supplies stored on site cover their share .
    I suppose SUE all we can do is sit back and let it all happen ..............

    As always , people should consult widely.....The company is a good source for info. as is research papers on AYO website which is now one of the best around .
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