2C's are coming, it is a matter of when not if!It is bloody...

2C's are coming, it is a matter of when not if!

It is bloody disappointing what has happened, there is no sugar coating it.  And a public news release of the surge issue should have happened when it happened or close to when it did.  But that is hindsight.

Fundamentals are still the same, there's 11Tcf prospective of which we are expecting 3.7 Tcf at least or more will turn to 2C valued at $1.6 billion/3.7Tcf.  So in the end of the day, just like a harbour-side house, the asset is there in the ground and if STX stuffs it up getting to the asset, someone else will and STX is sitting pretty with the rights to it, which means they would need to be bought out. 

So let's say worst scenario happens and they completely bugger it up, the knowledge and results gained thus far for PEL96 is worth a fortune to whoever is next bold enough to take a crack at it.  We all get bought out and the results so far show the huge potential.

AEMO's electricity stats for today show gas was producing more electricity than coal TODAY.  With today's and the last few days huge demand for gas in the east coast, organisations will be looking to secure gas at ever more urgency for the east coast.  Crisis is the mother of all great innovations, STX is sitting on 11Tcf prospective gas which just needs the right technique to get it out. Let's hope their technique is right for the next 2-4 months, else someone will probably take em out in the medium term bringing along a better way.