Ann: Conventional Portfolio Update, page-17

In my head Spinnz, it is impossible to predict what terms may be negotiated. There might simply be a production clause, giving us some preferential right to purchase any production?

And again, in my head, the 88E/OEL/RMP sheet agreement with Great Bear is sort of like a Farmout. There are before and after back-in agreements negotiated to GB, as well as a bunch of other considerations (refer ann 25/6/18).

So i'd say any Farmout will almost certainly include a BAIPO, similar perhaps to that struck with GB.

"...In a farmout, the farmor usually reserves an overriding royalty interest, with the option to convert the overriding royalty interest to a working interest in the lease upon payout of drilling and production expenses, otherwise known as a back-in after payout (BIAPO).​

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https://www.lexology.com/library/detail.aspx?g=0a129a52-a9fd-4af4-af0c-cf60dbb77e16​

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Who knows. All i do know it that the upgraded prospective (unrisked) resource ann this morning seems an excellent validation of the direction DW & Co are steering the ship, and as Mikemike says, the increase in prospectivity surely outweighs the $14m raised via the latest round of dilution.