They may want to put in a pipeline for that much oil. They are a...

They may want to put in a pipeline for that much oil. They are a hideously long way from the nearest refinery and being more or less in the centre of Australia they will have to get the oil to a refinery. Road transport is very expensive. I am not aware of a pipeline they can hook into anywhere near there.

Cost of a pipeline likely to run into long environmental approval process and costs of hundred of millions though probably cheaper than road transport in the long run. If there is a nearby pipeline obviously costs fall greatly.

Cost of road transport is huge.

A tanker holds about 300 barrels of oil and would cost about $5K per trip, so about $15/barrel. Other infrasructure costs are significant. Plant to separate gas/water and re-inject gas needs staff who are paid lots out there.

You also need to take out royalty costs.

IMO over the life of the project they may make about $30/barrel after costs.

The project still looks pretty good though!