update on marlin 1 flow rates, page-9

If they have been producing for three weeks and still saturating pipeline capacity (In fact continuing to increase flow) that is awesome news as the others have fallen off to about half flow within the first few weeks.

Three weeks at at about 2.7mmcf nett per day would have netted them about $500K already - paying back about one third of their investment in this well and maybe having it payed of in full within a couple of months form here. This may bring forward the time to payback of all drilling so far to about the middle of this year (they would then have about $10m in the coffers and income still rolling in.

With another Marlin well coming soon (if the Sterling ann is reliable) then it is possible that income for the september quarter could top $3m (this is allowing for a 60% dropoff for Marlin 1, 40% further falls on other wells, and a similar start to Marlin 2 as they have had for Marlin 1).

Continued success could see them in positive nett cashflow from September this year onwards (?? maybe a dividend at end 2008/9 FY - or maybe this is getting a bit hopeful).