The relevant question is not whether there is gas there. There is gas in a lot of places in the NT. The question is whether they are in the sweet spot (Geoscience Australia do not think so) and whether they have the support of TOs and landholders to produce (don't think they have production agreements concluded?). Given that there is a lot of gas in the region it is logical that the sweetspot will be produced first. That is why Origin and Santos targeted the sweetspot rather than farming into other moose pasture.
To properly develop a major shale gas basin will take $bn's and years if not decades. I'd put my money on the big players getting to market first. And if they do they will produce for many years and likely decades. So the moose pasture is a long way back in the development queue. And therefore not worth much on an NPV basis.
EEG Price at posting:
25.0¢ Sentiment: None Disclosure: Not Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)