Baseline Oil & Gas Corp. (BOGA.OB) Adjusts 2008 Capital Drilling Expenditures to Maximize Profit Potential at Texas Acreage
Oil exploration and development companies are in a heck of a bind these days. Their dilemma is where to spend capital in order to get the most oil and gas out of the ground as fast as possible. Wells are being drilled and oil found in small respectable amounts, generating solid revenues for 100-150 bpd producing wells, but nearby well opportunities also exist, as do other lease options for that same company. Capital costs can only go so far when there are many possible profitable wells to be drilled, dictating the need for a well-managed capital plan. Finding a successful…