Sometimes I'm amazed people still try to argue with me.
They have to do a production test to determine stabilised flow rate and connected volume (ie reserves), when it's this close to the gathering network they might as well plug it in and sell the gas from that test. Especially when it's doing 12 TJ/d - at current (NT domestic) prices that's $60k revenue per day, at NGP prices even more. If you flow test it for a week through a flare at that sort of rate, you've (literally) just torched almost 0.1 PJ of valuable gas.
I agree with the decision to stop drilling. As I said previously the facility can't take it anyway. Some management teams would be tempted to keep drilling purely for the headline flow rate to try and give the SP a boost, but for those playing the long game this is the right course of action IMO. They can always re-enter the well later if they find they've only accessed a small volume and want to drill further.
CTP Price at posting:
14.0¢ Sentiment: Buy Disclosure: Held
