week 11 report, page-15

Water influx is an interesting issue,

i did read that because it was a faulted block, the aquifer may be cut off, i am trying to find the paper.


if the upper and lower reservoirs are not in communication this should not be a problem, they still have 800m ish to drill (if they decide to keep drilling) so the chances of a decent seal between them is good.

as for Palta i am hoping the rumors are true on a NZ forum somebody has mentioned oil rumors.. but it's pretty deep for oil unless it's less thermally mature. (though it could well be as mentioned in a few publications)
oil would be quickly monetised,

i have asked about oil rumors on the site and will keep you informed.


on the discovery payments

There is no requirement for commerciality. This is important in assessment of value because normally, a
discovery would imply that a discovery was needed to be commercial. If Shell discovers a petroleum pool
then the obligation to make the Discovery payment is triggered.