AZZ 0.00% $7.50 antares energy limited

So let's play around with some maths then.Let us say they found...

  1. 4,510 Posts.
    So let's play around with some maths then.

    Let us say they found 60bcf and let us say they drill 4 holes over time and get conservatively 5mmcf a day per hole.

    AZZ's share is 23.5% of this. So discovered net to them is 12bcf. 1bcf of gas seems to be changing hands around US$3M per bcf, therefore you could argue that 12bcf = US$36M = A$46M to them on a right now basis (on the above assumptions).

    If the project flowed at 20mmcf a day and AZZ get 23.5% of this and they net (say) $5 per '000cf after costs, then the cashflow to AZZ per day is US$23,500 per day = A$30,000 per day x 330 days = A$10M a year.

    Sure there is more development money and drilling costs to stump up with, but once the first well gets flowing, well I imagine the project would function mostly out of its own cashflow I would think.

    Now we are only playing with the figures, and really we are using extreme best guess to boot, but whatever the figures stack up to be, well they ain't going to be small.

    Then perhaps Harrison to add on, and possibly Scott if that finds anything.

    And New Taiton not at target yet.

    Lonesome Dove I do not think too much is happening there.

    So there is still plenty of action ahead of us.
 
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