RE: Farmout Dareau, This was my point on the message that I posted on Oct 1st.
Repsol is not only going to get 5% more of the proceeds from Jaguar 2 but 5% more for all future wells drilled in the Georgetown block!
That could be huge and the price could be higher than we think!
And don't forget that some mystery admirer has paid $4 million to review the results of Eagle. This could also result in a buy-in not only for Eagle 2 but a portion of the whole of the Corentyne block. Say as much as 25%. That is the the ace card for CGX with 100% ownership and a 25% buy-in could amount to big bucks!.
I do not think that thwere would be any problem whatsoever with the Repsol deal, but another player buying into Corentyne could be a tougher sell to the Guyanese Government. Having stated that, CGX are very well in and the Government surely understand that the outcome will be very beneficial to them.
The only draw-back to this is, if in light of this possible situation, the Goverment gets greedy at the PPL renewal next year. This is why CGX must wait until they get the Corentyne PPL renewal!