longtom, page-12

ok I've been looking over the NXS Longtom info.

The reserves have been independently audited by Gaffnet, Cline & Associates (GCA) as a best resource estimate of 435Pj & 5.2 million barrels.

It seems to me that NXS considers the following re Longtom :

Low case : P90 (90% probability) : 173 Pj & 2 Mill Barrels
Confirmed best estimate: P2 (50% prob) : 435Pj & 5.2 Mill Barrels
High estimate : P10 (10% prob) : 842Pj & 12.9 Mill Barrels

They can only book what they have contracted to sell which is 350Pj & 4Mill Barrels despite GCA stating that best estimate is 435pj & 5.2mill.

From going back over their announcements they have always said they wanted to book Longtom around now and it makes no sense for it to be booked 3rd qtr 2008 when they hope to start production.


So despite the fact that they might not have worded the Booking announcement that clearly in some places I think they did indeed mean exactly what the title of the announcement said :

"Nexus declared commerciality and books reserves at Lontom."

Just my thoughts on it though.