This is where the results of Ooraminna could be important
If (God forbid!) Magee and Johnstone are both dusters and CTP does need to raise funds to drill other plays, being able to point to certified 3P Reserves at Ooraminna will be a big positive for the company.
3P Reserve requirements are pretty vague - there just needs to be a chance of them being economic under favourable circumstances. Usually it's considered a 10% chance. If the total volume of gas at Ooraminna is decent, and frac or acid (or both) can produce a few MMcfd, that should be enough for certified 3P Reserves.
Of course this relies on two things we still don't know - total volume of gas, and a frac job working. The first one seems reasonable given the last update of still not having hit the gas-water contact, and Orange-2 drilled nearby went from 144Mcfd to 4.8MMcfd, which is a good sign for fraccing.
Many people have been panning Ooraminna as a duster, but it seems to me that, ironically, it could save the company.
Add to My Watchlist
What is My Watchlist?
