RE:tell ya more
Good lord. Do not know where to start.
1. Shell plant is way past peak central block production by many years and is running the plant at less than 50% capacity.
2. THis there is lots of room for COHO gas. Shell has agreed to take COHO ags and COHO-2 gas as well, when and if they drill that. It is in the 1200 page agreement.
3. COHO gas very good gas. Has been well characterized and those details reported
4. . The contract to sell all natural gas to NGC for $2.50 for 5 years is good for TXP and for Trinidad. It can be re-visited after 5 years and that is now closer to three years. TXP has great margin at that price, it is a well head price, and NGC is reponsible for building the pipelines and hooking up to the gas source. That is especially imprtant in the jungle that is Ortoire block and also the jungle that is government beuracracy. At that gas proce they will have a wall of cash that will funf continuous 2 well development annd further exploration program. (totally self funded). Meanwhile TXP sells all liquids separately, especially important at Cascadura where liquids will be 5 time current company production. Menawhile TXP explores and develops oil prospects (including first oil discovery and Royston) and all the oil prodcution is fully exposed to maket prices.
5. I am long termer. I am not inerested in swings of a few pence. My target is US $3-5 end of 2022 and US$ 5-10 end of 2023. These are conservative estiimates. I would not sell if it bounces to US$2 or US$3. That is not the point of this investment.