'sageo' pid='65058' datel Wrote:
'johnwgrant' pid='65053' datel Wrote:This is an old thought/thread, but, at what point does TOTAL have enough information that their own internal reservoir engineers can calculate the approximate size (TCFe) of PRL15? When the TOTAL accountants do the simple math that calculates the amount TOTAL will need to pay InterOil, it seems that TOTAL management is going to be in a great position (for them!) -- that is, they will be able to buy the whole company for essentially the same cash that is due to InterOil at certification !!!! That is crazy!!! None of the other prospects or 30% of the LNG plant (yet to be FID'd or built) have any value !?!? All I can say is this is a clear example why a well-funded major oil company (like TOTAL) will be able to make a killing when the cycle turns.John - Thanks for your post. You are 100% correct ! In the coming years,when our reserves( yes,they are called reserves by me and others),are taken out of the ground, Total "WILL make a killing" . We will probably get what "the little boy shot at". Hope I am still arond to see how this sad drama plays out. [ ....am just too old and stubborn to get out now]. Best to you .
I do not get your seemingly negative assessment AT ALL!! Grant was apparently saying Total would be able to buy all of IOC on the cheap using the certification as part of the payment. GIVE ME A BREAK! You are agreeing with that?!! Surely, you are not. Furthermore, IOC, having discovered E/A at its cost and sold part interest to Total, will get more cash from E/A relative to ownership than Total, a combination of the resource payments and the same production revenue and cash per unit of ownership from E/A as Total. Keep in mind this applies to E/A, not PRL 15. IOC will not get resource payments outside E/A, except for limited bonus payments for Antelope South. However, for resources outside E/A, IOC will also get the same production revenue and cash per unit of ownership as Total. Why is this scenario a "sad drama" for IOC?