hess vs bhp vs the rest, page-18

A simplistic view for me is; Can BRU successfully prove up the Valhalla GCGA without massive dilution in a timely manner - Reserves & GSA (gas sales agreement).

To give some context, BPT has spent in the order of approx $150 million to date, with coring, multiple vertical wells being fracced and 1 horizontal underway as well as 2C resources delineated.
All this is being done in arguably the most cost effective basin in Australia due to the number of rigs and companies operating there. The Canning is a little further removed geographically.

i.e I have held BRU since 2008, so getting close to 5 years.
BRU does indeed have a major J/V partner already, however, Mitsubishi is not a 'Shale Development Company', hence my agreement with Modula regarding a further farm in.

I can only speak for myself, but I realistically believe we would not see production commence from BRUs Valhalla play in under 10-15 years on its own.
(Happy to hears others view on this, but I am simply going from the LNG projects that are underway, they were not explored, proven up, developed and exporting in 2-5 years...these are huge projects).
Remember, Eric and others now view the Canning as being bigger than the North West Shelf.

The Cooper Basin for me is an exception, as I believe BPT will have commercial production of shale gas underway by 2015. That is roughly 8 years from the projects inception.

BRU has the entire northern half of the Canning Basin to itself. Ungani Trend and Yulleroo are where the shorter time frame production will come from IMO. If BRU were to farm-out perhaps %25 of the Valhalla BCGA (in some manner), it would still allow BRU to share in the massive upside, whilst actually ensuring that the resources would (hopefully if proved up etc) start earning a return for shareholders in a time frame that investors/holders can appreciate.

Dilution versus reward versus time frames.

Great discussion either way.

--IMHO--BPTs deal with Chevron clearly shows that a balance should be found for actually developing a resource.