Ok, so to add to my above post, I needed to go back over the Acer plans to refresh my memory on just why Flax is a real gem.
*The oil is tapis quality...
*The gas has always been flared, as Acer keep talking about gas off take and a Micro LNG plant... but as we all know, they got nothing done. Also, the gas could be re-injected to the wells, but with Fraccing now being so effective, this will IMHO, not occur, especially since STO has pipeline capacity nearby and are clearly have a good working relationship with DLS.
*$50 million spent to date on infrastructure at the field. - Which includes 1000bopd oil production facilities + 2400 barrel storage.
*The gas is actually liquids rich, which means its worth even more once processed.
Logically, they would build a Middleton look-a-like plant, which would then feed into STOs infrastructure.
It will be interesting to see how far DLS has progressed in regards to an offtake agreement with STO. They talked about it quite a while ago, so its a shame they have not progressed it to the point that all they needed to do was wait for the flow rates etc. I would be happy to be surprised on the that front.
for those interested, this Acer preso gives a pretty good run down on the Flax field, albeit well before DLS got its hand on it, and have already got a bigger and more effective plan for appraisal and development.
