As per WCL statement below, the figure should be $4.3 Billion as per quote below.
So $110m x 100/51 = $216mp/a gross x 20 yrs = $4,313,725,490 !!!!!!
That's $4.3 Billion for the Meridian J/V GSA
6 May 2014 The GSA is a binding 20-year agreement for the Meridian joint venture (in which WestSide has a 51 per cent operating interest) to sell gas to the GNLG project. This long-term agreement will enable the Meridian Joint Venture to sell up to 65 TJ/d of gas, which could monetise approximately 2/3 of WestSide’s 2P reserves, or 1/3 of its 3P reserves. The price of the gas is linked to the oil price, and assuming that current oil prices continue to apply, the GSA would result in a gas price in excess of US$8.50/GJ from 2016. At the maximum production rate of 65TJ/d this could generate annual revenue to WestSide in excess of A$110 million assuming current foreign exchange rates.
WCL Price at posting:
39.0¢ Sentiment: Hold Disclosure: Held
