One has a market cap of over $500m with secured funding of $250m (via JV and access to plenty more) and millions of acres of deep gas at strong PSI in E Beetaloo.
The other has a market cap of $290m, $50m in cash and millions of acres of shallow gas in W Beetaloo. Having Macquarie as an investor is certainly a strong positive.
PSI / flow rate is critical given transport and well economics.
Both are likely to be successful in the long run (esp if and when the basin’s confirmed scale triggers others to build the pipelines required). They will both need a lot more capital to deliver their full potential but I think one has better prospects.
In the short run, the market is a voting machine but, in the long run, it’s a weighing machine, as the saying goes. We will see. I’m always prepared to switch horses but if I owned a bit of both, I’d be inclined to harvest some gains on the one galloping out in front and reinvest in the other, given the relative prospects. But that’s just one point of view.
(20min delay)