Analyst Notes and Price Targets, page-206

2P nunber is inclusive of 1P, not mutually exclusive. Reservoir do not produce in a linear profile, with production rate declining as reservoir pressure depletes over time. That doesn't change the total expected production output, but simply spreads it out for a longer horizon.

The expected field life of Walyering is about 6 to 8 years depending on the actual production profile. W7, if successful, should extend field life by another 3 to 5 years.

The NPV of TPD's 45% Walyering stake is about what they paid for TPD. Hence why I was never that excited about the transaction. However, with the SE appraisal issue, the acquisition has actually helped STX a lot by providing a stable and decent cashflow to help fund future exploration and appraisal program. That cashflow has probably also helped limit the downside damage to the SP even though it is currently trading at decent discount to fair value.

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