Ann: Apache farms-in to coastal and eastern deser, page-7

re: Ann: Apache farms-in to coastal and easte... An excellent outcome for BRU shareholders.

The Coastal permits were never a core asset, however, having such an experienced player like Apache come in to hopefully develop the Goldwyer shale play reduces the risk whilst ensuring that exploration and development actually occurs within a decent time frame (2 years drilled next year).
It also obviously eliminates any funding that would have been required from BRU.

As for the Acacia plays. I and others have posted in the past, that well costs are much higher in the southern part of the basin, as compared to the coast. Hopefully when I and others have time, a further break down of what Apache is funding will make it clear that the value is bigger than what some may think, especially if the exploration wells are successful. From memory, some of the conventional targets may host fields upto 200 mmboe.

It never hurts to reduce your funding commitments by 10 of millions of dollars while accelerating exploration. Of course, they are reducing their exposure to the upside, but there was no upside without wells being drilled.