Oil Search Drilling Report

[Palm]

OSH has enough gas in those 3 wells to provide another IOC fake flare; that's about it. Likely they will be done drilling in the Gulf and the costs of this last well are all theirs. Have to wonder whether IOC negotiates from a standpoint of saying they will provide 4.6Ts only and the rest goes to Gulf LNG with someone else. Or if XOM will commit to being partner in Gulf LNG project, IOC will do the 4.6Ts now for PNG LNG, the next amounts go to Gulf LNG up to X Ts, then more to PNG LNG, etc. Provides incentive for XOM to drill as fast as they can to make both projects work.