I wrote this on TPD thread and thought I should put it here as...

I wrote this on TPD thread and thought I should put it here as well with no intention to cross promote.

As I stated in an earlier post this week I wanted clarification on TMK presentation in Sept and I received a reply I was more than satisfied with.
I feel we are in extremely good hands with both TMK and TPD as joint partners.

They have ambitious plans and if I was able to work some of it out from drawing conclusions in the announcements then I'm comfortable to share.
My interpretation was that they wouldn't shut off the pilot wells once the concept is proven but install a 60-100MW gas plant onsite that could supply the mine and surrounding area. The dollars isn't the significant thing but the proof of concept of CSG in the area and to gain trust was important opportunity.

Interesting info was Oyu Tolgoi currently sources power from China and spends a bucket load but the Mongolian government are working hard to supply all power from a domestic market.

"As of August 20, Oyu Tolgoi is getting 1.33 megawatts from local power sources, which is equal to merely 1 percent of its total power consumption. The ministry reported that it is working to improve current power transmission network and gradually increase power supply to Oyu Tolgoi. The ministry’s energy plan is estimated to supply 40 megawatts of power when completed."

Brendan suggested while the mines were on other CSG potential sites he didn't see us competing with the likes of Elixir in this area and that all parties would benefit from by bringing together serious scale and reliability.

The final comment was interesting and it was regarding a question about funding and PetroChina moving forward. Without going to far and me reading a bit into it PetroChina is on a non-exclusive basis and they will need to attract a large partner who would most likely be a Chinese group so while PetroChina have the inside running and they are continuing to develop a relationship they are open to other potential partners is what I gathered.

Summary
I was pumped from this and would be happy to invest more in TMK if I wasn't up to my eye balls in TPD.
When one considers the magnitude of Guarvantee's its pretty exciting, then to think Waylering is around the corner and Condor its got to be just a matter of time for both companies to get re-rated.

DYOR

Shalom.