Tshirt, I am not well informed about the technical and financial capacity of NEN. From what you say I infer that they stop at conventionals. But note that other aussie companies have done well with multistage fraccing and/or horizontal well developments (AKK, AOK). It is just that for all the talk about multimillon barrels we dont know what will happen after fraccing at Paloma. Also there is scope for gas or steam assisted production which is well known in those parts but adds to the costs and complexity. So, yes a farm-in will be a good move. It is just that it will be longer and harder slog than some expected and the risk just went up. Still a tantalizing and promising play.
NEN Price at posting:
24.5¢ Sentiment: None Disclosure: Not Held
