Ann: New Rissa 3D Seismic Survey Commences in WA-, page-2

re: Ann: New Rissa 3D Seismic Survey Commence... Compliments of the season all.

Been reading through Tap's Dec update, (quite like Tap providing a reasonable outcome to their legal woes which I admit I don't fully understand. Truth is probably few do).

Atually posted the below on 8/6/11. Thought that I would copy and paste it again here if for no reason other than the fact that it is deathly quiet around these parts.

Quote.

Tap Oil Limited (ASX Code: TAP) announced on 4 May 2011 that it had agreed to sell its 25% interest in WA-351-P, for a cash consideration of US$30,154,000 to MIMI. In addition, MIMI were to pay
Tap?s 20% share of the next exploration well in the permit up to a cap of US$10 million (Tap share).
BHP Billiton Petroleum (North West Shelf) Pty Ltd, Tap?s existing joint venture partner, has given notice to Tap that it wishes to exercise its right of pre-emption to acquire the 25% interest in WA-351-P on the same terms and conditions as agreed upon with MIMI.
We are looking forward to working with BHP Billiton to drill the Tallaganda prospect sometime in the first half of
2012.?
Prospectively of WA-351-P
The Operator completed a detailed assessment of the plays, prospects and leads in the permit in 2010 including the 3D seismic acquired in 2008. Over 10 leads and prospects were defined in the Triassic Mungaroo Formation which Tap estimates have a combined estimated mean potential of 2-3 Tcf (gross recoverable) of natural gas. Tap considers that a number of these targets have an estimated probability of success over 50%.

Unquote.

Note that this Tallaganda prospect is estimated to have a "prospective mean resource" range of .8 - 1.3 TCF. Obviously BHP like it to exercise their pre-emptive rights.

What?s this got to do with OXX, well I thought that it was interesting to compare this permit with OXX's WA 323P and
WA 330P which contain the Winchester Prospect. After the farmout to Santos, OXX has 25% and is free carried through more 3D and a drill likely in 2012 as well as to be reimbursed costs of 7m.
From the 31.12.2010 Quarterly they give Winchester an
"Prospective mean resource estimate" of 1.492TCF and 67mmbbls of condensate, with the "best estimates" being a bit lower than this. I am trying to being careful with the terms as I am trying to compare 'apples with apples'.

Now Tallaganda is untested but this is not the case with Winchester. As I have said there is no such thing as a 'sure thing' in this business but this one gets pretty close.
Parker 1 and the sidetrack made gas discoveries on this prospect in the Mungaroo but were untested due to an anchor chain breaking. It is analogous to nearby gas discoveries Seems that they are pretty confident about this one.


Unquote. Back in the present.

Still amazed that BHP paid TAP 30.154m for 25% of WA-351-P
containing Tallaganda. Winchester looks better to me not that I would know Jack S. What does that say about OXX?

The smoke and mirrors of the dividend has passed and we look forward to the new year.

Winchester to be drilled in Q3 by Santos
Some way off still but 'great expectations'. If TAP and partners describe Tallaganda as having POS > 60% ( Dec presentation ), then Winchester can't be less. Analagous to Zola! In reality Winchester is already a 'contingent discovery', it's more, 'how much gas', 'is it commercial'.

Palta 1 to be drilled by shell in 2H 2012. Discovery payments plus overriding royalty.

Confident that OMV will drill in NZ. More oil will be found in Taranaki permits. Nearology is good. OMV keen to add to Maari. Might as well be OMV and OXX!

Seismec in Southern Bonaparte Basin will lead to farm outs.

Can't see Cornea being left to rot. 60mmbls is too tempting for someone. Oxx's 18.75% of a 60mmbls contigent resource. Tied up with MOG. Corporate action??

While it is all quiet at the moment and prob for the first half, actually a lot on the plate of this oiler with 2, most likely three (OMV) free carried drills to look forward to in 2012.

Trading at or below, cash and near cash backing!!

Continues to be a reasonable punt for 2012.
Downside has to be limited. Geoff is not about to do anything stupid. Just need to hit the motherlode.
Good chance of cracking it in 2012!!
Good luck all in tough times.