Goodaye Hardmano (and others),thanks for your comments re AGM -...

Goodaye Hardmano (and others),
thanks for your comments re AGM - its been interesting reading and much appreciated.

H, I too have been thinking about that DC comment:
"18)One intriguing comment that DC made that still has most of us scratching our heads is that when asked about metrics and the impact of the Shell/AOE transaction he said that it was in reality a lot higher than what the "market" seems to believe. His explanation was that Shell would actually have booked much lower reserves from AOE than the market considers that they had. I will try to follow up on why he said that...."

I wonder what "reserves" DC is referring too?
If he used the word "reserves" (instead of resources), then we can only surmise that he is talking about "Cert Reserves"?
So that means that Shell has issues with the numbers that the Certifiers have come up with in their reports?
Remember, that Shell had 30% of the permits to which the Reserves are refrring to - have I got that right?

So Shell would have intimate knowledge of the ground and its potential.

Arrow was the Operator, so Arrow would have given the info to the Certifiers, and when the Certifiers came back with their Res numbers, Arrow would have accepted these numbers and announced them to the market.
But if Shell disagreed witht the numbers/info given to the Cert, then we (the market) would never know!
So Shell may have had an issue with the Reserve numbers provoded to the market.

So thus, if Shell paid $xxx m for AOE, it implied a figure of say 60c/gj of 3P, based on the Cert Res announced to the market.

But if Shell does not agree with the Cert Res numbers, then those "metrics" change.

But I think then that the point DC may be making, is that Shell would have known that the Cert Res were perhaps overstated (in Shell's opinion), but still Shell was prepared to pay what it did.
So maybe DC is saying, that the market thinks that Shell paid SAY 60c/gj of 3P, but it really paid SAY 70c/gj of 3P, because Shell believed that the Cert Res were less than stated?

Could that be it?

cheers