Gidday PSI,Great information, thank you so much for your time on...

Gidday PSI,

Great information, thank you so much for your time on pulling this out.

Time to first production
My comments that 3 years from now to first gas feels a long time is in comparison to Senex's Project Atlas (which management have compared our Range against, also issued under the domestic gas tender). Senex was issued the block in Sep-2017 and gas deliveries to commence late-2019. I.e. Issue to first gas in 2 years.
CTP was issued ATP2031 (Project Range) on 1 Mar-2018. The IPL farm-in terms agreed in Jun-2018 which quoted "enabled fast tracking" - I presume that was development. In anycase, first gas in H2 of CY2022 implies > 4 years to first gas vs Senex's 2 years. I guess the gas ramp up is over a long time whereas CTP appear to have an accelerated time to plateau.
I'm probably missing something obvious...as the market doesn't seem to mind

Plant capacity
Yes, management stated 25 TJ/d for CTP's share, implying 50 TJ/d plant gross plant capacity.

Quality of blocks
You're the expert in this field and I won't dispute your knowledge, so I'm just quoting management and their implied optimism towards Range. They noted that Atlas would be most similar and also presented a map showing it's in the absolute "sweet spot" of the area. They're confident of converting all 2C to 2P. My own observation is that the PJ/km2 is comparable, but the real question is how will they flow? If we price in $1 GJ for 135 PJ, it's already substantially all of our market cap. $2 GJ is our c 1.3 our EV. It's excitingly crazy how highly leveraged we currently are to the upside....

Capex
Thanks for the source (attached the link below:

https://www.senexenergy.com.au/wp-content/uploads/2018/10/2018.10.29-Final-Investment-Decision-for-Project-Atlas-and-Roma-North.pdf

Scaling Atlas up for Range, we could look something like (Simplistically scaling up from 40TJ to 50TJ):

60 wells -> 75 wells = $105m
40 TJ plant -> 50 TJ plant = $100m
$20m Water treatment plant -> = $25m
Pipeline : I assume we won't put a cent towards this $0
Total ~$230m or ~$115m for our 50% share. No chump change and then we need to add on some inflation.

Financing options for $115m won't come cheap but hopefully we can do a combination of:
- Equity at higher Co valuation with retail support : I have no problem supporting on the same terms as insto's.
- Presale gas : We have experience in this and LD is a financial genius (I'm starting to sound like Justinmetals towards RC )
- Debt
- Cash generated from Mereenie
- Sell down 10% of permit at FID at $2 GJ = $50m (dreaming?)

I think we will be fine...

P.s. I'm still excited on LD's financially savviness. Go the CTP.