Boston conference comments today

[j4j]

Try to not duplicate NYC comments posted earlier

expectations for price per mcf were high and should have been reset

 might do delineation wells for certification together vs sequentially which would move up recertification

total in their Pressers stated need for another partner

lots of calls from those interested in being a partner

IOC has veto power over the new partner

can't say when but when the right terms are available they will move forward

IPI is final and done terms to be revealed soon not an issue was a contract

iOC had a list of 13 things they wanted and left with all 13 completed

total really wanted this deal

i find that very encouraging from the worlds second largest LNG partner

total has lots of cash over $20 Billion and pays over 5 percent dividend

one of the attendees left the room said IOC is a smoking buy hold stock like he's never seen

lets see looking back no partner, only 1 rig being used, low on cash, stranded NG , uneven govt relations

today looking forward 4 rigs lined up looking for another two for next year drilling

comfortable cash position

NG has an LNG plant to monetize the gas with 30 percent ownership

govt loves a second super major for PNG

sweet

Thanks for the update.  Let's hope everyone has learned their lesson on over-hyped expectations.  Concurrent delineation wells is common sense, why would there be any indecision?  Was the attendee saying a smoking buy and hold for 2 years, 7 years, longer?  Is reference to Total's cash position implying they can use cash to buy IOC?  Any mention of a stock split or dividend?

i understand a level of disappointment that the price per mcf was less than $1.00-1.25, the winner wasn't Exxon, and fid is later than hoped, but what I still cannot understand is the market's seeming unwillingness to do simple math in valuing the company in the mid-50's a full week after announcement given the amount of cash likely to come in over the next 24 months.   The market has to believe that the reserve estimates will come in dramatically lower than the GLJ and gaffney cline (adjusted for the new antelope well) estimates just because total posted calculations in its press release based on 5.4 tcfe.  There is some art to these calculations but not this much.