Timing

[ArtM72]

I assume it is fair to conclude that the E/A appraisal wells will have to be put on hold indefinitely pending determination of the new direction (or pending re-confirmation of the old direction).  The last thing IOC would want is to risk a less-than-stellar drilling result...without first having pocketed the $613M in up-front money.  So I guess all of that drilling has to wait for now.  If IOC defintely preferred the new plant, it makes me wonder why they didn't just find a way to bid $950M to prevent OSH from getting the minority interest and potentially changing things. 

I just don't understandyour thinking at all.

Why on earth would E/A appraisal wells be put on hold pending a decision on the LNG plant?  Fear of less than stellar drilling result ?   Total and OSH just wanted to seem conservative with their estimates and thus not subject themselves to criticism when the final numbers come in.  If/when the numbers come in high everyone is happy.   Up or down, the faster appraisal goes the sooner IOC gets its money.

As to whether IOC benefits or its interests are somehow damaged by the OSH and government ownership the jury is still out and will be until IOC's final % ownership of E/A is announced.  How OSH is going to control anything with a guaranteed minority interest is beyond me, and no one in the past two weeks has come up anaything yet that remotely suggests a method by which OSH can acquire Total's shares or somehow exert primacy over those shares...except by PNG government fiat.

As I said, I just don't get your thinking.