RE:Someone mentioned the Cove Energy takeover so I took a Interesting comparison. Cove's Mozambique gas discoveries are thought to be as high as 50 - 60 TCF recoverable, a mind-boggling find which is orders of magnitude larger than the typical threshold to support LNG. The economics of gas (price, markets, extraction costs etc.) are very different than oil however, so the comparison is sort of apples to oranges
Something to think about with AOI is that each PSC for each block will have its own timeline to establish commerciality. Some of the discoveries will likely advance to that point during the 30-40 well drilling program while exploration and appraisal drilling takes place on other prospects. Its much easier to obtain debt financing for development projects and we may well see AOI moving some discoveries to production via the debt financing route rather than through one final dilution. The whole E. Africa project could become a self-funding venture in that way.