AFR article of 5 Jan worth revisiting

Instead of fretting about the oil price or the share price its worth revisiting what has been said by FAR and by analysts.  Here's a few extracts from the AFR article (its on FAR's website under Media):

"Managing director Cath Norman described the SNE-2 appraisal well results as "excellent", saying they showed the well's ability to flow at commercially viable rates and also helped confirm the resource's size.
"Overall, SNE-2 has provided FAR with significant confidence that SNE has potential to become a major, world-class, oil field development," Ms Norman said, adding that the estimate of the size of the resource is likely to be upgraded."

Is 200mbbls a "Major, world class oil field development"?  I supect she means MUCH bigger!!

"Local analysts reacted positively to the news, with RBC Capital Markets analyst Ben Wilson describing it as "a strong result".

"Overall, SNE-2 looks to have met or exceeded expectations, which bodes well for a material resource increase in due course," said Mr Wilson, who recently singled out FAR as his preferred pick for 2016 among Australian oil and gas companies.
"In our opinion, the testing results significantly de-risk commerciality of the field," Canaccord Genuity analyst Tim Masters said. "Minimum commerciality now appears more likely than not, and should enable 2P [proven and probable] reserves bookings."

So .... 2P likely to be booked and that was 330mbbls pre-drill and results have been "better than expected" and an upgrade is likely. And as Cath has subsequently said in the Quarterly FAR expects to exceed the MEFS with just SNE-2 + SNE-3. I would assume that would be at the1P level ... so plenty of upside in the 2P > 330mbbls IMHO with the thin sands able to contribute.  And this is before Bel-1/SNE-4.

Great to be looking forward to results in only weeks!

H