Note: decided to start a new thread....   See 'research' in earlier thread here: http://shareholdersunite.com/mybb/showthread.php?tid=2849

Anyway, I was going back through old presentations.   I must be getting forgetful, but, here is something that I had forgotten...   Way back on Antelope-1 Sidetrack DST's...  Page 19 of the 42 page presentation dated 8/12/2009.   Anyhow...  we know the API gravity of the oil that they've found so far !!!   35 API gravity !!!!

http://www.interoil.com/iocfiles/documents/investorrelations/presentationanddocuments/2009/2009-08-12_InterOil_Enercom_comp.pdf

DST#13 ST2 – 2,375 to 2,402 meters.

Recovered oil and very little gas.

The oil measured 35 degree API

gravity in the field.

'petrengr1' pid='17646' datel Wrote:John- Google "Interoil degrees API". Don't get the wrong Interoil. Looks like it has ranged from 33 to 47 degrees API.

If in fact the InterOil condensate is 33 to 47 degrees API gravity, then (based on the article below) InterOil should be getting a lot higher selling price - ie, a much smaller discount to Brent...        Is my thinking/logic wacko !?!?

http://www.energy-pedia.com/news/falklands/new-153233

In April last year, Borders & Southern announced that it had made a significant gas condensate discovery with its first well in the South Falkland Basin. The Darwin structure comprises two adjacent tilted fault blocks: Darwin East (which contains the discovery well 61/17-1) and Darwin West (untested). The fault blocks are clearly defined by high quality 3D seismic data. Fluid analysis has revealed that the discovery contains a relatively high liquid content. Initial reservoir engineering studies, suggested that 130 to 250 million barrels of liquid could be recovered, with a mid case of 190 million barrels (split almost equally between the two fault blocks). Subsequent studies have shown that, if there is strong aquifer support, the mid case could be as high as 210 million barrels. The reservoir engineering study has also demonstrated that more liquid could be recovered by gas recycling than by gas depletion.

******

A geochemical analysis of the condensate liquid has been undertaken along with a screening level marketing study. Whilst the quantity of condensate available for analysis was limited, and further analysis will be required, preliminary observations indicate that the liquid is typical of an ultra-light crude oil and somewhat heavier than most condensates (API gravity of 44.5 to 49°. A comparison product, albeit slightly lighter, would be Alba condensate, produced in Equatorial Guinea. Closest potential markets for the condensate would be South America, the Caribbean and South Africa. Based on this initial study, the Company believes that the condensate might trade at a slight discount to the Brent crude oil benchmark price ($1 to $6 per barrel).

'petrengr1' pid='17646' datel Wrote:John- Google "Interoil degrees API". Don't get the wrong Interoil. Looks like it has ranged from 33 to 47 degrees API.

Hmmm....   per the following PR regarding Elk-4...   the condensate is  48 degrees API gravity !!!!    Now, it could be that the condensate in the Antelope portion of the structure is "lighter" (ie, has a higher API gravity), but, I'll go with the 48 degrees until someone proves otherwise.

My point remains this:   this is going to go for a much smaller discount to Brent crude than we think !!!!    AIMHO

http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aLJi34HiyBVo