The working life is the life of the well. But in O&G they often...

The working life is the life of the well. But in O&G they often use depletion rather than depreciation ie the amount you write down in a given year is based on the amount of reserves produced in that year, rather than time.

But I'm pretty sure that previously CTP have capitalised development wells costs, as I said. So the full $5M will be treated as an expense and will come off statutory profit. It will not affect underlying profit though.

It's hard to forecast NPAT as it is affected by other lumpy things like take-or-pay payments that can change quite a bit year on year. But just basing it off the received gas price I had previously estimated around $6-7M underlying NPAT which around 0.8-0.9 cps. That's with only 6 months of the higher gas prices.