OK
Maybe they find a small amount of oil. The decision whether to exercise the option then becomes one of where they are focusing their capital.
Shell gets lots of new projects on the table that look better than FAR in the next 90 days - they say NO
Shell has nothing better than the small find with FAR - they commit capital to it.
You are all assuming that the answer of NO is a black and white decision.
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2 | 70000 | 0.500 |
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Price($) | Vol. | No. |
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0.525 | 19005 | 2 |
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