Ann: Weekly Drilling Report - Victory 1, page-25

Spec,
good post but you should add one more thing. Whilst the price of oil has plummeted , the price of gas in Australia has not . Consequently, those that produce mainly gas will still be doing OK, except those LNG projects where the price is tied to oil.
Does anybody have any recent data on domestic gas prices here in WA ? Mostly it is sold under contract and the terms are confidential, but I do know that for the most part contract prices don't go down except under specific and unusual circumstances.
If there was a large oversupply of gas available for the domestic market it would eventually cause prices to weaken but only so far because sellers wont sell at a loss ( below the price of exploration, appraisal and development) , so in the end the low cost onshore producers still do well and certainly much better than offshore producers . Oversupply goes away when it is uneconomic to look for gas and demand once again outstrips supply.
Bottom line is that BRU remains in a very solid position with respect to its gas resources which are now in the process of being proven up. The associated liquids will be just cream on the cake.