"The consideration comprises USD100 million in cash payable on completion of the sale and a USD88 million cost recoverable capital expenditure carry."
My interpretation of this is that AWE will only receive the US$100 million. Santos will spend the additional US$88M capital expenditure carry on the project but will recover this expenditure from the project's cash flows. However, I could be wrong!
As far cash flow goes, I have research report which projects AWE will have the following "Gross cashflow from operations":
2014: $183M 2015: $225M
Those figures are priot to ouylays on exploration and development.
Regards
SP
AWE Price at posting:
$1.36 Sentiment: Hold Disclosure: Held
