Ok, if they go ahead with the the pilot plant using Mukuyu as feedstock, which won’t be built over night, when we start supplying gas to said plant we become a producer of gas (and hopefully some condensate, yet to be determined at M2), the pilot plant, on success, will grow in size and the gas supply increases to eventually fill the MoU.
A major investor will want to know is the tax on the actual gas sale going to be 15% under the current agreement, which is unrealistic as we know the unfinished PPSA is in the background, or 30-50% once the PSA is completed, so they can weigh up potential profit from the venture and return on investment.
It is an unknown quantity at present. It depends where the Government will take its percentages from, as there will be more involved than just the sale of gas once you look at the secondary and tertiary side of the equation.
”If” we were not going to be a producer of gas and condensate, we would farm out our 80% of Mukuyu and move on to the next prospect, which won’t happen.
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