Thought
PetroTal and UOG have a decent chance of surviving this oil crash and can come out stronger than ever.
PetroTal just needs $25/bbl Brent price
They’ll approximately have 15M USD to survive this oil storm. Is that enough?
- 2020 Capex – $66 million
- Netback at $30/bbl – $11
“As of March 31, 2020, the Company has $7.3 million of cash on hand, which is prior to receipt of approximately $7.5 million, from net proceeds of March oil sales.”
Cash in hand for PTAL is my biggest concern. If Brent prices recover to ~ $30/bbl, I believe PTAL will flourish and come out stronger than before. at $.205 CAD/ share in TSX.V, this is a great entry price
UOG just needs more good drilling in Egypt. I’m not concerned about anything else.
- Cashflow positive production with ~$6.5/bbl OPEX
- ~1900 boped all for under 15M USD.
- Italy will provide cash flow in H1 2021
- Cash coming in from Crown asset sale
- Worry about Jamaica later
*This is not financial advice, I’m just spewing out my thoughts for my own personal use.