Phil eloquently on Extended Flow Test

[Tree]

Has anyone ever asked Phil for clarification or does everyone who is familiar with gas fields agree??  Granted he put the issue to bed 3 yrs. ago but shouldn't IOC remind us again on every CC??

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Analysts and investors split over prospects of success

07 December 2010 12:06 GMT

Analysts and investors’ opinions vary widely with regard 
to the Elk-Antelope LNG and 
condensate project in Papua 
New Guinea .

There are some who believe the ambitious development will get off the ground, even if the schedule slips somewhat.

However, others voice their concerns, not least because the gas resource has yet to be put on an extended test. InterOil chief executive Phil Mulacek slams as “stupid” the need for such testing on Elk-Antelope given record-breaking flow rates.

Another voiced reservation is the apparent lack of public 
information about Australian 
outfit Energy World Corporation, which has been lined up to fund the LNG plant and will construct the modular units for the 
initial 2 million or 3 million tonnes per annum of liquefaction capacity.

How the condensate will be handled at InterOil’s refinery, which has a nameplate capacity of 32,500 barrels per day, is also a concern.

The refinery currently receives oil from the Kutubu field in 
PNG and crudes from the North West Shelf off Australia. Project officials say that the refinery will be able to take 25,000 bpd of 
condensate with its current 
configuration.

However, putting condensate into the mix will alter the range of products.

“Natural gas liquids can make a good project better but NGLs cannot make a bad project good,” says Al Troner, president of Asia Pacific Energy Consulting.

[admin]

Although I might very well be right on that, just because a CEO says something is stupid isn't necessarily always conclusive. I still don't think it hurts to get the larger version by Indoreservoir.

[Tree]

Although I might very well be right on that, just because a CEO says something is stupid isn't necessarily always conclusive. I still don't think it hurts to get the larger version by Indoreservoir.

Yup, shooting down the same stupid short theories month after month is valuable as there are newbies all the time.  There is a place and time for that.  Just not everyplace and all the time - Hence the Birth of SHU!

[Getitrt2]

Seconded, Tree!

[admin]

I agree that the issue has been brought up plenty of times, just not here and it has rarely been tackled with anything remotely approaching the depth that Indoreservoir exhibited and, rightly or wrongly, not everybody will have been completely satisfied by a one-liner from the CEO.

[Palm]

Well then we ought to be discussing the next "great threat" that shorts will be throwing out to scare people. Yikes: the required June FID date for the 2009 Project Agreement. How real is this threat? Will Philstar.com address the issue? Will the dreaded Darth Duma use the Death Star beam of destruction to blow planet Ennerole out of the galazy?

Hoho. Would be a good subject to "debate" because you know the clock is ticking for the shorts to launch it.

[sfiaes]

I remember selling the remainder of the stock I held at that time shortly after he made those remarks.

A fortuitous sale if I do say so myself.

[Tree]

Well Golllllllly Gee, Phil was correct calling that there was a need for an EWT need 'Stupid' after-all. It is so easy to understand IOC if you take management at face value when they state opinion/facts which are under their control. Problems come in when timelines are discussed and we know how others (PZ) (Petromin) (Duma) had done their best in the past to screw up IOC.

From SEC Filing: AMENDED AND RESTATED INDIRECT PARTICIPATION INTEREST AGREEMENT "EXTENDED WELL TEST" means a Subsequent Work Program that consists primarily of drilling and completing up to four appraisal wells for the purpose of determining whether an Exploration Well has discovered commercial Petroleum deposits or for delineating the geographic extent or size of a Field or Zone believed discovered by an Exploration Well. And while we're at it:

From SEC Filing:  

AMENDED AND RESTATED INDIRECT PARTICIPATION INTEREST AGREEMENT

"EXTENDED WELL TEST" means a Subsequent Work Program that consists primarily of drilling and completing up to four appraisal wells for the purpose of determining whether an Exploration Well has discovered commercial Petroleum deposits or for delineating the geographic extent or size of a Field or Zone believed discovered by an Exploration Well. And while we're at it: