The CSG wells are not $5m per well. the conventional wells are the expensive wells $5-$7m(Rig has much higher day rate). Core wells are cheap ~$2m/well.
CTP chose to do the Core CSG wells first because firstly they were cheaper and secondly they needed to do seismic to plan conventional wells. Additionally you need to do a campaign of several conventional wells to make it economic i.e. spread the cost over several wells. if they were to drill one well only it would cost a lot more than the avrage of say 4 wells.
Add to My Watchlist
What is My Watchlist?
