montara & plover formations, page-71

The big picture is hanging on Libra being an extension of the Crux Field!!

Piecing recent selective information together and jumping to conclusions:
1. Based on logging while drilling (LWD) data, and gas shows, the well has encountered gas in a series of thick sand packages over a vertical section in excess of 180 metres gross.
2. Initial indications are that the net column of gas "exceeds" our pre-drill estimates and this will have a positive impact on our Auriga expectations. We should be able to talk more about the impact on our adjacent AC/P23 interest after the evaluation of the well is completed.
3. IMPORTANTLY the joint venture will be drilling TWO additional commitment wells in AC/P41, both of which will be funded by Mitsui for Nexus’ share. The next well may be drilled as early as the FIRST HALF of 2009.
4. …we have received a lot of interest from other established FPSO operators and “WE ARE CONSIDERING A PROPOSAL FROM ANOTHER PARTY” who we think can provide a very credible FPSO solution. Obviously we need to progress ONE of those options to a point where we can proceed to FID.

5. We have signalled that commitment to a new FPSO charter and FID on the Crux liquids project will be influenced by the Asset Sale process - we will introduce a new equity partner and then move to FID. The project is technically ready for FID, but we think it will probably be around end January 2009 before we have clarity on the Crux sales process and therefore on the likely timing for committing to an FPSO and for FID.

--This has to be SHELL ……
“WE ARE CONSIDERING A PROPOSAL FROM ANOTHER PARTY”

From the 2-12-08 Bloomberg Release … (selective);
“The potential for LNG will start to look quite compelling” if resources are found, Tchacos said in an interview in LONDON. “It’s such an excellent reservoir and the gas is a very high quality.
(and)
“THERE IS A POTENTIAL COMPROMISE, WHERE WE’LL ALLOW SHELL TO COME EARLIER” to tap the reserves, he said. The partners need to find a way of COMBINING THE PROJECTS to produce liquids and allow Shell to take the gas earlier, he said.
Nexus, Shell, Mitsui, Osaka Gas and a further possible partner may decide in the middle of 2009 to build a floating LNG plant at the deposit.

My money is on Shell being the Asset Sale Partner and the "production platform" supplier .... IF ....
Crux & Libra are a common field and then Shell may meet Nexus terms for the Asset sale... that would be a big win NXS and us investors


RGDS...
SharpE
DYOR