These are the FACTS that we know about the Petrohawk Term...

These are the FACTS that we know about the Petrohawk Term Assignment:

- Ownership rites of the acres were sold to Petrohawk for an agreed sum (no idea what that sum was)

- Term Assignment area of 8558 net mineral acres

- AZZ has a back-in working interest after payout of well costs on a well by well basis

- 110 Potential well locations on an 80 acre spacing

- The Donnell 457 No. 1H first well drilled in the Term Assignment and is producing on average 1,025 boe/d after 90days in production (Petrohawk stated that is was earning ~67k per day)

- The Dilworth No. 1H has an 8000ft lateral and is projected to produce an estimated 2.1 Bcf and 400 Mbc and 208 Mbngl (I dont have current flow rates but assume fracing has taken place)

Assumptions/Rumours

- AZZ has a 50% working interest after payout on a well by well basis (if this is the case AZZ is in a very good position with free carry over 110 potential wells with great flows to date)

- There is a confidentiality agreement in place with Petrohawk not allowing AZZ to release any information without prior approval.

References

- All this information is available in the AZZ/ASX announcements and some from Petrohawk website