09-26-2014, 02:36 AM
The real problem is the uncertainty over the size of the certification payment. These 3 new wells have no bearing on Elk/Antelope and that certification payment. Look closely at the CSFB report and their comments about the second half of 2015. That's when the size of Elk/Antelope is set and the payment generated. Either you believe in the Phil regime asset size talk, believe the GLJ reports,believe the The Knowledge Reservoir report, believe the former CEO of Marathon estimates. believe the Laurie Brown comments or not.
The over whelming evidence suggest Elk/Antelope has enough gas for a 2 train LNG plant. And that's exactly what the the analyst reports state.
Yes finding new assets outside PRL 15 is bullish but doesn't help with the size of the Total payment. Those new assets if found could yield a new deal for those assets in a new sell down. More reasons to be long Interoil and wait out the drill bit.
The over whelming evidence suggest Elk/Antelope has enough gas for a 2 train LNG plant. And that's exactly what the the analyst reports state.
Yes finding new assets outside PRL 15 is bullish but doesn't help with the size of the Total payment. Those new assets if found could yield a new deal for those assets in a new sell down. More reasons to be long Interoil and wait out the drill bit.