Quoting an interesting point in research from Southern Cross 10/11/2010
"Shell needs Crux gas reserves for Prelude to go ahead
We believe Shell?s sell-down in WPL signals the next pro-active step by Shell in Australia. One of the most pressing issues for Shell is the Prelude FLNG project, which will be a world first and a showcase development for Shell. However, reserves at Prelude and the smaller Concerto gas discoveries are insufficient for 20 year LNG contracts. The nearby Crux gas/liquids discovery has to be incorporated. This requires a new agreement with NXS to ensure that the License is retained according to Government conditions. If Shell wants to commit to Prelude in 1Q 2011, it needs to resolve this pronto."
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Quoting an interesting point in research from Southern Cross...
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