compare poseidon spud with artemis spud

Poseidon spud
26th Jan 2009
SP = $2.30 (MC=$340million)
SP high during drill = $8.01 (up 340%)

Artemis spud
approx 19th November 2010
SP = $0.54 (MC=$265million)

Prospective resources

Poseidon P90 = 3tcf P50=7tcf p10=15tcf
info:page 5 of http://www.asx.com.au/asxpdf/20090527/pdf/31hsjrnhzvq24s.pdf
KAR's share (assuming the 40%)
P90-1.2tcf
P50-2.8tcf
P10-6.0tcf

Artemis P90 = 8.1tcf P50=11.8tcf P10 = 16.4tcf
info:page 8 of http://www.asx.com.au/asxpdf/20101105/pdf/31tq7y8flzvm9y.pdf
MEO's share (assuming 25%)
P90-2.0tcf
P50-3.0tcf
P10-4.1tcf

Pre spud
KAR's market cap was 30% higher
KAr's P90 resouce was 40% lower

Conoco's buy in for Poseidon
60% working interest
$9.6million for costs
80% free carry (for similar 3 drill capex and 1st drill options)

Petrobras buy in for Artemis
50% working interest
$7.5million for costs
two $31.5million bonus (one up front/one risked to drill #1)
100% free carry for MEO

Summary
MEO has a better researched prospect with higher tcf
MEO is free carried for three wells versus 20% cost for KAR
MEO will receive $63million in bonuses versus zero for KAR
MEO market cap is $265million at the same time that KARs was $340million

Petrobras has paid a LOT more for Artemis than Conocco did for Poseidon.

Lastly,
wiser words have seldom been written on HC (thanks YA)
A#1 is all abt testing & proving if HC's r present & whether there's enough pressure as per the MDT tool.

So watch the trading volume, the moment the depth ticks past 3100m with any indication of HC's (100 units of gas shows etc etc).