thar she blows - so what's it work to the sp?, page-21

Based on their current circumstances, I don't think there is any question that the sale of Rayburn and Mesquite for the disclosed price is a good move. They have made it clear that this is the year they want to unlock all the hidden value in our asset portfolio - which will requires upfront capital. And I completely back them to sale off those assets with declining production profile at a decent NPV based on very good future gas price relative to where the price is today. I'm still bullish NG in the long term, but this was a good move as it also avoids a dilutive cap raising. We can play God and judge with the benefit of hindsight, but we also need to consider the circumstances under which the decision was made. There is no doubt the crown jewel in our asset portfolio is CSG acreage without lowering the importance of Baniyas and Futurgas. However, proving up those CSG reserve (in light of the recent development with various CSGLNG going ahead) will be our best way to add significant value to shareholders equity.

I recall all the cynicism surrounding their decision to sell off the COI stake at the time. Regardless of where COI price is at today, the decision was the right one at the time as they had priority in deploying the capital to develop Rayburn - which gave us a decent cashflow for some period of time.

Anyway, bring on the flow rate!

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