'Putncalls' pid='34146' datel Wrote:
'CAC' pid='34124' datel Wrote:
'Tree' pid='34112' datel Wrote:Roadshow quote:
"It is unheard of, in this business, to be rewarded for undiscovered gas" - MH
Do you think rewarding IOC for undiscovered gas was TOT's idea or Hession's??
I've never heard of getting both the bird in hand and the 2 in the bush.....I'm gobsmacked.
Expect more roadshow reports.
use or flush
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I did not understand Hession's comment on this. What vested, tangible "reward" did they actually get right now for this undiscovered gas? My understanding was that they would only be getting money for this undiscovered gas...if and when it is actually discovered. So if there's no discovery...they get no reward. And if there is a discovery...they have now pre-agreed to sell the newly "discovered" gas for $100M per tcf. Isn't that an "unheard of" price (on the low end) for would be, at that time, fully discovered gas?
They also get 30% of the gas that they didn't pay to drill for!
Exactly, Puts. I beleive Total agrred to spend $60M on the new discoverery well and IOC will own 30% of any discovery plus the "bonus" $100M per tcf for gas above 1T. How could anyone think that is a bad deal for IOC?