For Gharp:
You cant compare a well in the Northern Perth Basin with a well in a frontier basin in Africa. There are huge differences between the two:
- location relative to major service company supply and service bases. Nearest SLB base to Dongara is Perth....3-4 hours drive away. No such major such in Zimbabwe....most companies would be bringing equipment out of places like Angola and Northern Africa or even further away.
- Most service companies will be demanding huge up front payments before agreeing to a contract in Zimbabwe to cover risk of operating for a new small player in a remote location. Companies have enough track record and experience to be able to negotiate more favourable terms with their service providers.
- logistics for N Perth Basins operations are relatively simple.....you're on a major arterial road link. Zimbabwe - a logistics nightmare.- getting people to and from the rig. A 3-4 hour drive from Perth versus arduous and expensive overseas flights (usually business class) and an overland drive.
- The Perth basin has been drilled since the early 60's.....IVZ are drilling first wells in a frontier basin. The knowledge bases are totally different.
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