Oil Search slides

[Tusker]

Ian Munro, Oil Search Limited - Executive General Manager

Here is another odd one:

"The key outstanding issue will be to determine whether the resource can underpin one or two trains."

...

"It is this window, and particularly high quality Asian customers that train 3 in Papua LNG will actively target."


Curious and curiouser... and all that was left was a big smile.

:-)(-:

[Tree]

Pretty darn clear what OSH stated and it is stated as of 12/3/15.
OSH conservatively implied a 23% E/A certification increase from 5.3 tcf to 6.5 tcf.


» Appraisal results to date are considered positive compared to
OSH’s current resource booking of 5.3 tcf : (as of 12/31/15)

» Elk-Antelope (PRL 15):
– No changes despite positive results, due to impending independent
review (5.3 tcf booked as of 12/31/15)

» OSH preliminary interpretation of Elk-Antelope
(PRL 15) appraisal results to date suggests
gross 2C resource could increase >5.3 tcf (OSH and IOC expect certification # increase above the base booked 5.3 tcf)

» Gas commercialisation activities in Highlands and Gulf
Province made significant progress in 2015:
– PNG LNG Project: production optimisation, debottlenecking
studies, P’nyang MoU and power delivery
– Papua LNG Project: positive appraisal, selection of project sites,
discussions on financing commenced
– Potentially ~10 tcf (gross) gas available, sufficient to underpin
both world-class developments

» Resource base for potential third train:
– OSH’s P’nyang total gross 2C contingent resource estimate upgraded
from 2.6 tcf to 3.5 tcf (10 tcf - 3.5 tcf in P'nyang = 6.5 tcf indication for E/A. Conservative estimation based on implied upside)

[jft310]

All the analyst reports say 7 T's , C-2, or it doesn't matter what Oil Search low balls/distorts . What matters is the C-2 numbers from GCA and NSAI in July . GLJ is not a SPA identified appraiser so they also are discounted by the market . Who thinks Botten wants to pay more than $900 million for PRL-15.