alan fanton and lngn

A little while ago, there was a discussion about LNGN, Hitachi, and Marubeni.

And the good question was raised about how genuine is LNGN? If LNGN was just a means to get Santos bid price up, why would heavy-hitters like Hitachi (self-funding the feasibility study) and Marubeni be getting involved?

The first question that they would be asking is, 'if you guys are a potential takeover target, what happens to our project if there is a change of ownership?'

I would like to add another question to that one, on a similar theme:

Why did Alan Fanton, a very senior and experienced exec, sign up to oversee LNGN, if the rug was potentially going to be pulled from under his feet?

I think the answer to both these question is, gas can go northwards to feed the LNG monsters AND feed the initial 1mpta of LNGN. ESG already has the 2P reserves booked NOW to support 1mpta. That is something Santos CANNOT say about GLNG - they are relying on upgrades, extra sources of gas etc.

It also suggests to me that there have been discussions between ESG and Santos about either a commercial agreement or agreed bid, and that assurances were made that in the event of a change of control, LNGN would go ahead.

Hitachi don't waste their time. And Alan Fenton, with numerous opportunities in LNG development, chose LNGN rather than working for BG, Shell or others.

It seems to me that the evidence is mounting that ESG and Santos have been working cooperatively together (to a certain degree) - to give Santos the assurances to go forward with Kogas and GLNG; to give Hitachi the assurances they wanted; and to give Alan Fanton the assurance that his employment on the LNGN was not to be cut short.

One last thought - we haven't seen the results of the feasibility study yet. But, doesn't Alan Fanton's recruitment, along with Hitachi and Marubeni, already indicate that LNGN is a goer?

Thoughts?

Yaq