Nick Asterion's questions to Greenfire Resources (GFR) leadership • Q4 2024
Question
The analyst asked about capital allocation priorities between stabilizing the core business versus pursuing acquisitions, and inquired about any potential permanent damage to the reservoir or long-term asset value from the previous management's drilling plan.
Answer
Executives stated that while they like the asset's location and future acquisitions are not ruled out, the immediate focus is on developing the current resource. They confirmed that the previous drilling plan did not cause permanent reservoir damage, but it was less productive and more costly than anticipated because it targeted areas with already high recovery factors.