With the length of contract remaining they are looking at 4.5pj/a for the 16pj, which is 11.6 mmscf/d of pure gas, or 14.5mmscf/d with 20% impurities. The three Vali wells will not produce at that rate with the current Toolachee completions in two wells. Factor in the appraisal through production approach and I can't see them producing 16pj in that time. Sure - drilling Kinta and additional Vali wells might do it, but it would be potentially risky to layer another contract on top of that contract on the short term.
The one well at Odin should produce 2pj/a in its own right and is only 5 or do months away. Way better to sign up for that than Vali scraps that may not eventuate.
VEN Price at posting:
7.1¢ Sentiment: None Disclosure: Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)