no presso yet..., page-13

I don't know how much that field is factored into the current SP - looks to be about -40c based on current other operations!

Given SAE is worth about double the current SP based on current ops and the new field is being developed at little cost to SAE then for those willing to hold longer term there should be no downside from a negative result (but obviously the huge upside potential is lost).

I think I read somewhere (possibly from SAEs US PV partner) that heavy oil had a big royalty discount to encourage exploration - making up for about a half of the price difference to light crude - so heavy crude is not all that bad).

As an aside - with heavy crude likely to be more important as light crude runs our - more refineries are being built to cope with it. Heavy crude is more corrosive (high sulphur) so lots of molybdenum is required for pipes and equipment. MOL have just increased their resource base and now have one of the worlds best deposits - have a look. (NB - I don't hold MOL as I have no spare cash - but I encourage you to have a look)