"Maybe FAR just meant the JV will decide after the results of SNE-4 whether further appraisal will be done "
That is my reading of it H but would add that statement was meant if any further appraisal was to be continued while the ORA was in the area not if any future appraisal drilling will be done , that is almost a certainty IMO but as to when who knows..
I think the FAR statement regarding drilling resuming in the 2H may be more to do with giving shareholders a straw to clutch at in what is a slow business at the best of times, it may happen as FAR will have a good handle on proceedings but it will be a JV decision anyway.
Other than drilling one more appraisal well for interference testing of the upper sands the only reason to do more IMO is to establish the size of the field more than any economic consideration and given many Companies desire to cut costs then establishing the size of the field just for the sake of it is unlikely.
If they decide there is enough evidence from the heart of the field to proceed to a DOC then its possible further drilling of SNE at least could be held off untill a FID is made..
Two other things that will have a bearing on decisions are 1: its unlikely they would bring back the ORA for one well as mobilising and de- mobilising is expensive and 2: COP's current lease on the ORA runs out earl next year and they have to make a decision as to taking up the 2 year extension option.
So many factors at play I'm just happy someone else is doing the decision making...
Cheers Whisky
FAR Price at posting:
8.7¢ Sentiment: Buy Disclosure: Held
