Niu,you brought up an interesting point with respect to a total...

Niu,
you brought up an interesting point with respect to a total amount payable for Nido on the 3 PSC. I was pondering about that for some time.

I would expect a daily average cost of the JU to be somewhere around 600 - 700k? What we don't know is how long the first well + ST are expected to go for. Does 60 days (incl. ST) sound reasonable?

Also, the initial announcement talks of "disproportionate" drill costs for Nido (in addition to the 10% backcosts). I suspect that "disproportionate" means > 10%. But how much? Could it be 15%? I might have missed it, but if it was mentioned somewhere, then it is not easy to find.

My rough calc:
Total drill cost = 650k daily cost * 60 days ~ 40 MM total drill cost.
Assume 15% Nido share: 40 MM x 0.15 = 6 MM on Nido's wallet
Add the 10% backcost ... yes 10 MM sounds plausible to me (+/-).

With respect to the option to increase WI to 20%, I noted that the announcement doesn't talk about "spud" to be the date. Since I believe PB mentioned mid Jan to be the decision date, I assume that Nido has the option until they drill into the reservoir zone?

Interested to hear some expert opinions on this.
Cheers