Well they are looking to provide income in the short term... Transitional announcements IMHO... Now large holding in the cooper basin an producing wells in Eagle ford in the US ... two wells drilled in Eagle ford in Q1 @014 and Merlinleigh drill Temp on hold..
Transaction summary
Eagle Ford acreage, Texas •Option to acquire 5,182 net acres in oil window •5 producing wells and 50-60 additional well locations •Upon closing, immediate cashflow (1 December 2013 onwards) plus two wells in next Q1 2014 and two in Q3 2014 •New Standard to operate through Magnum Hunter following closing
PEL 570, Cooper Basin •Farm-in agreement with AQO with NSE operating •Earning 52.5% in PEL 570 after spending $42.5 million over life of permit •Seismic in 2014 and first well in 2015 •Basin centred gas and wet gas plays
Good Announcement IMO Transitioning in some near term assets for some near term production (from Eagle ford). Whilst the higher risk stuff has been put back but is still in play ...
NSE Price at posting:
14.0¢ Sentiment: ST Buy Disclosure: Held