RE:Approvals and DevelopmentYeah, if it was easy everyone would do it.
First: You always had to have permits and those permits did not allow for any more flexability than the new ones will. Planning was always required and should be meticulous. That is how you lower costs and by association carbon footprints. Even on the smallest projects you measure twice and cut once.
Second: After reviewing the maps I do not believe any of Attachie West I lies on any BRFN disputed territory. As a matter of fact I am pretty sure that very little of Attachie lies with-in any of newly regulated territory, if any at all. I am sure ARX management will update us this. Will they wait until the ER to update us? I guess that depends on how many shares they want to buy back first. LOL
Third: If the Attachie territory lies just below the newly regulated area, doesn't that make it worth more?
There are a lot of names cheering the BRFN agreement and they have sites smack in the middle of the disputed territory.
ARX already has producing well and permits and I think that is because BC knew they were outside of the disputed areas and would not be materially affected. Some of those permits were new.
It would be nice to have an overlay of ARX Attachie lands and the BRFN affected sites.
GLTA
MyHoneyPot wrote:
Really the new Blueberry agreement seems like it could be a problem, because of the restrictions on Land Available for Use. The 750 hectors is 1/2 of the average land use of the previous 5 years, and then after 18 months of shut down just maybe their might be some demand fo land behind the pipe?
Building a plant is one issue, the pictures of Attachie whether real or not, have a pretty big plant footprint. Let suggest you want to get attachie up to 100,000 boe/day, well how may pads will that be, will there be field compression, and what if the Bluebery land allotment is used up for that year?
Does this mean you have to get into a QUEUE for the development of your play? What happens if you change your mind of the placement of things, it sounds like a lot more detailed planning is required. Who manages the queue and is their palm greasing involved to secure your position?
I expect treaty8 lands have now been discounted in their value, and have a different risk profile associated with their development, the development cost and predictability of the play. Attatchie will likely be a billion dollar investment in the next 3 years. How can you invest shareholder money like that with uncertainity?
If land available becomes a problem, and outcome certainity of billion dollar investments is decided by a group of first nations, and have the option of changing their mind.
I think this would no longer by my number one place to invest capital.
IMHO