If the production test goes well, then it will establish (for the first time) that there are commercial quantities of gas present in Heron.
Furthermore, this will be another confirmation of Furgo's analysis of the seismic data. So far, their track record has been excellent. The results of the drilling have demonstrated that the analysis has erred on the side of caution. A successful production test can only increase confidence in their conservative estimates that there are TENS of billions of dollars worth of gas and condensates present.
If there really is over 10Tcf of GIP with at least 80bbl/mmcf of condensates....then a successful production test will be the beginning of a very sweet ride.
MEO Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held