santos smokey..., page-22

SBL

To an extent, we had touched upon this bit in a thread titled "Corporate Activity" on 19/3/09.

Two months later with that snippet abt Santos's cap raising & intent to buy an asset for $200m, my alarm bells ringing louder by the day. I'm just taking a stab here again but looks like NXS will let go of LongTom (LT) & hang onto Crux b'coz LT is the asset I know of in the $200m ballpark of commercial value to Santos!!! Unless Santos is eyeing AWE's Yolla gasfield in the Bass Straits, which I very much doubt.

There's been no mention of the rig or Auriga, so not sure where this is all going. The plot thickens!!!

------------------------------------------------------------
Excerpts from that thread from 19/3/09...

According to a recent valuation for LT, it has combined Gas + Condensate reserves of 77.7mmboe (i.e. 72 mmboe gas + 5.2 MMBOE condensate), which are valued at $237.7m (i.e. $3/boe)or 0.37c/share.

At LT, the gas produced will b sold via a 12" pipeline & hooked up to Santos's existing Patricia-Baleen pipeline 19kms away. NXS will b constructing their part of the development i.e, installation of subsea equipment etc.

Santos will b purchasing 450 PJ (i.e, 77.7 mmboe) of gas from LT & process the gas at its plant at Orbost. STO are currently in the process of upgrading their gas processing plant at Orbost.

Currently Longtom reserve estimates are,

2P - 350 bcf gas & 4 MMbbls condensate (62.3 mmboe)
2C - 435 bcf gas & 5.2 MMbbls condensate (77.7 mmboe)

------------------------------------------------------------