central's helium story, page-3

Thanks for that link Dave. Clears up a lot of things.

Simply put most of us are familiar with LNG in Oz.

LNG is simply natural gas cooled to -162deg C & shipped off (referred to as a cargo). If Helium is present, then one simply keeps going until -271deg C & u've got liquid Helium frm a mixture of 95% naturalgas & 5% Helium.

Thats what JH is telling us on his recent BRR. No one has actually done it yet onshore Australia, so should b very interesting, IMO.

So a flow of 10 mmcfd will have 9.5 mmcfd natural gas (which can b piped at $2.5/mcf costs) & 5% Helium or 0.5 mmcfd (which can b separated, liquified & trucked to Alice or Darwin in a cryo-freeze tanker unit).

So if one really wants to work out the $-value, here's how:

Step1:

(0.5 mmcfd *365 days* 75% CTP's net interest)= ~137 mmcf/yr

Step2:

(137 mmcf * Net costs (e.g $145/mcf-$30/mcf) - 10% royalty -30% taxes)/ 593.433 mil shares on issue.