EXR elixir energy limited

Ann: Elixir Strategic Plan, page-60

  1. 939 Posts.
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    I think they are just going for the areas with the highest likelihood of 1st success. You’d go for the best targets first, which is why that location is chosen.

    And best doesn’t just mean better geology, it also means best in terms of their ability to turn a decent chunk of it into 2P. Shell is doing 3D seismic over 57% of that A block, which means that’s a lot less cost to us if we were to cover the whole A block with 3D seismic to maximise our 2P booking.

    We could go back in DD2 and redo, but then we still only have a very limited area we could convert to 2P considering we don’t have much 3D seismic around that well.

    So maximising the 2P potential with the DD3 next drill is where it is at in my opinion. Reserves are also a bit of a catalyst in terms of how you can finance your operations - easier to borrow against for example.
 
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