a quivver or arrows

We were given the vision of the Olympic Arrow to start the pre-production burn ... and it is a fine vision.

As of yesterday we have Arrow (AOE) in play after a bid from Shell ... another fine vision for coal seam gas and gas in general.

And now we have the "Arrow of outrageous fortune" (apologies to Willy Waggledagger for my mangled Shakespear lol) ... commitment to consolidation in the East Coast gas reserves in support of Gladstone LNG (GLNG) where the big players are Shell, British Gas, Santos and Petronas.

The CEO of Santos has a vision of GLNG rivalling the NW Shelf ... visions are but a precursor to achieving ... without visions achievements are small and random.

Whatever the perceived costs of developing LNG in Gladstone they are land based and not remote, two factors which essentially double or triple construction costs for the NW shelf.

Reserves consolidation for GLNG is essential to support competing projects ... 40,000 PJ combined P2 reserves from the Surat, Gunnedah and Clarence Morton basins when interconnected with a modest pipeline investment of $2bill imo.

Now whilst 40,000 PJ is big, it doesnt rival the NW Shelf which I think I recall reading recently produced or can produce 1387 PJ a year.

However, add in massive potential gas reserves by converting ucg syngas to methane via the process of methanation and from just CXY's current Wandoan project coal JORC there could be another 6000 PJ to pipe to Gladstone. If methanation is technically feasible and commercial then UCG could double long term GLNG reserves imo ... but it is just a vision.

If Shell are keen to pay $3 bill to acquire AOE's 2300 or so PJ of P2 reserves for their GLNG project why wouldn't they and the other super corps at least keep an eye on and better still exposure to the emerging UCG indiustry in their very own back yard?

As Highwayman signs off with from time to time ... "go well" ... and for any old enough to remember, the full saying is "go well go shell".

Cheers
Dex