hess vs bhp vs the rest, page-19

I agree with most of this Spec. However, what can change the urgency somewhat would be successful testing of the conventional Yulleroo sands, and the deeper Ungani North gas play. There is real potential for these to underpin the necessary infrastructure for development to commence, with unconventionals then partially hitching a ride on this.

I say partially as the sheer size of the Laurel unconventional play would demand much more capacity but early conventional reserves bookings are a game changer for Buru in many ways including concluding the Alcoa agreement, locking in the State Agreement, leveraging the Mitsubishi development carry, and getting additional cashflow from the liquids produced.

Either way though for the unconventionals, lots of dollars required for fraccing current verticals and testing, then drilling and fraccing horizontals, etc, and significant time and skills are also required. Personally I don't see the need for a major to farm in, but do want to see skills. Some of the most skilled unconventional producers are still the mid sized North American companies and it would be great to see one of the more energetic of these companies team up. They are quick on their feet and have lower overheads than the majors.