GYTWell articulated post, indeed!! Back in early Feb, when MEO...

GYT

Well articulated post, indeed!! Back in early Feb, when MEO very drilling Zeus, someone had asked a similar query here, the fundamentals haven't changed IMO (chk my post # 3732929) & all l'il explorers dream big.

MEO has the right asset base (lets forget KAR's Sth America for now). They are in the NWS & Bonaparte basin & have a 'major project' sanctioned for Tassie Shoals.

Note that Conoco & some others (ENI, Woodside) have assets near MEO's acreage.

KAR had picked up Woodsides 67% stake in AC/P8 for A$1milln (the rest 33% is held by Talisman Energy). I wouldn't worry about the 30% CO2 MEO has in its acreage, afterall Conoco has the Sunrise field with 25% CO2 & is puruing the field & there is technology to deal with this issue (or even sequestration as Chevron will b doing at Barrow Island).

MEO encountered a couple of "bad hole" conditions & Zeus was fizzy water. They did report 3% gas frm a thin section at Z-1, just b4 the dy the price tanked to abyssmal lows.
Thats where the SP ran out of luck, period!!

What any l'il explorer needs in Oz & in this game particularly, is a bigger launch vehicle!!

Someone, who has the know-how & expertise & can move things fwd very quickly. After all, in offshore WA, besides WPL, BHP & Santos, the rest of the play is dominated by Major Internationals (eg Exxon, BP, Chv, COP, Shell, Hess, ENI, Apache, MIMI, Inpex, Total, KUFPEC, Sinopec).

Then we have the l'il battlers like Nexus, MEO & Oilex, who are left to face the harsh reality & fend for themselves by negotiating a smart deal, which doesn't do their share-price any justice, time & time again, despite the assets they have. Their SP takes off & retraces on any negative news, that comes back to hurt a lot of punters or investors. So one needs to tread with caution here.

Whats interesting for now, in MEO's current farm-out, is the location of the acreage & the common trend with Pluto & Wheatstone (ie North East)!!

Little wonder that there are 12 players left in the room. Now I follow the global oilpatch, but they mentioned 70!!!
Where the hell did 70 wannabe explorers/investors rock up from in the 1st place!! Time will tell, how this unfolds.

Most likelihood of this happening is in Week-3 August, after the deadline of 14th Aug passes, IMO.

cheers