Negative news for $sei.v as this is relating to PEL-90 and this well was carried for Sintana. They only had the carry for 1 exploration well on this block.
It's pretty weird that this Reuters article seems to be the only source for this.
The stock is down -12% which from a value perspective is overreaction as I doubt anyone was investing in Sintana because of PEL-90.
The asset that underpins the value of Sintana is PEL-83 with already huge discoveries and carry to production.
And PEL-87 has always been more exiting call option than PEL-90 because of the Saturn superfan. Another block where Sintana is carried for first exploration well with larger WI than PEL-90.
Still the market reaction kind of makes sense because this is happening at the same time as Shell did a 400m write down in Orange Basin. So we negative momentum rn. The rumoured success at Tamboti could somewhat reverse it. There is lack of info about that write-down and everything else going in the basin on accessible to retail investors.
Kind of a problem with these Orange Basin plays. A massive information deficit for the retail investors compared to the actual companies working in there.
Might add a bit. Missed 82 cents now rebounded to 86 cents. Around 80 cents would be pretty irresistible.