Material acreage (agreement to earn up to 42,380 acres) position in one of the largest oil regions in the US
Acreage surrounded by oil and gas SuperMajors. Key players in the region include Big Oil Super Majors such as Shell, ExxonMobil, ConocoPhillips and Chevron
Asset scale provides leverage for future asset monetization – e.g farm-out to fund exploration activities
Independent resource report highlights potential value of RTD s assets. NSAI has estimated that RTD s Western and Central blocks could hold best estimate/mid case unconventional prospective resources of ~3.8bnbbls oil (Oil in Place) and 167mmbbls oil recoverable. This equates to RTD share (75%) of 2.85bnbbls oil (OIP) and 125mmbbls oil recoverable
Washington H Soul Pattinson recently became a substantial holder
Key Near Term Catalysts
- Conventional independent resource report (4Q CY2013). - Surrounding drilling activity (Ongoing). - Farm-out of acreage (Ongoing). - 3D Seismic program (1Q CY2014). - Resource Upgrade (2Q CY214).
Downside
2.476bil shares currently on offer with another 371k placement shares – 2.847bil total Quoted options – 1.322mil + unquoted 1.103mil – 2.426mil
