Farm In / Finance

Though I would start a thread where potential farmin/cornerstone/finance may come from.
1. Farm in
2. Cornerstone
3. Go it alone.

1. Farm in.
I am a bit in 2 minds here mainly because we don't know the target size of the well in the new lease area. For the purposes of kicking ideas around I'll go with 2.5 TCF, BUT, as 7 has pointed out this are could be more oil prone.
The size of the prize here and the amount of targets should be enough IMO to get a substantially better offer than CEA have on the table atm.
I personally believe that CEA have asked for time because IVZ have said their current deal won't float now that the second lease area is tucked away. It would have been impossible to garner any value from the new lease via farm in until a deal inked, we now have that.
I would be very surprised if there are not more interested parties.
IF we were to get a left field farm in offer from another entity then it will be game on IMO......I have my fingers crossed and believe this will have to come before the end of April, CEA deadline.

2. Cornerstone.
I can't see the likes of Albwardy joining a JV....IF and its a big IF and pure speculation, they were to come on board IMO it would be a cash deal.
Long shot IMO but the meetings from a few weeks ago and CEA asking for more time seem to me to suggest there is competition otherwise CEA would have said take it or leave it....just my opinion.

3. Go it alone.
This is popular amongst holders I feel. It would be more popular with me IF I though I would be given another crack but I think that time has passed. IF IVZ were to raise 35 million, which I believe could be done easily, it would have to be completely underwritten for us to get a look in.
The worst possible outcome would be they fell short in some kind of rights/spp CR. The insto's will be salivating at the thought.

Well time for me to put out there what I think.
I think IVZ are actually being true to their word of running a dual process. Farm in and go it alone.
Unless they get an offer befitting the target size for the cost I believe Scott and co would be negligent to hand over any WI IF the company could do the raise itself.
Like 7 I don't believe WI is all that important pre drill......but post drill it could be worth billions over time.
The crucial thing from my perspective is that we retain as much WI as possible. With 80% and a discovery under your belt there are endless funding opportunities....less than 30% and they are limited as you would become a bit player in any JV. Most JV have a requirement % for voting on work programme, once we lose that we are just along for the ride.

In closing I think April could be the critical month for IVZ funding. I believe the farm in will be settled this month, the seismic released, shedding light on the second well prospective numbers and if there are other bidders they will need to come to the table prior to CEA deal going live.......but they all might miss out if the deal is not very very good for IVZ. GLTAH