09-19-2015, 07:43 PM
'jft310' pid='62941' datel Wrote:I bet they wait on the wild card . They can borrow 70-80 percent of LNG plant build costs so cash for the build should be sufficient . I do not think they have enough cash to pay corporate overhead for 4 years or so and explore more of their acreage . Will require more debt and or an equity raise to bridge into cash flow or one heck of second sell down or several years from now a second certification. As far as amount of gas no one really cares about gross gas it just means nothing as in nada . Recoverable gas is what we get paid on at P-2 level and GCA and GLJ are based on recoverable gas . If we hear about 9.5 T number as some say it will be recoverable gas cause gross gas means nada .
IOC corporate overhead roughly amounts to USD 0.1 B per year. I can not imagine that this will have a big effect on operation the coming 4 years:.
Cash flow coming 4 years:
Cash per 30.6 2015 0.5
- License payment E/A : 3.5 (the upper GLJ case is considered as the medium case by IOC)
- Already received license -0.4
- Equity investment JV -1.8
- Corporate overhead -0.4
- Drilling -0.9
Cash per 30.9.2019 0.5