cb junior, mcap $11m, ev $6m, free carried, page-10

It's definitely 3 wells to be drilled to complete the initial farm-in terms, the first 2 are pre-Nov in the northern portion of PEL 514 (were to obtain 50% of this area)targeting Birkhead time structures (oil) & an additional well to obtain the 70% of the southern portion. This 3rd well can be either in the northern/southern portion at SXY's discretion.

Thus, I'm confident that the Cordillo 3D definitely showed up some positive targets as the primary uplift in SXY's interest came via addition 30% in northern portion & for this PGS picked up the $5M cash + bonuses/free-carry etc, makes sense to me, I've looked over SXY farm-in deals & the 2nd leg of farm-in on PEL 514 with PGS terms look pretty good to me vs the others.

So, we have 3 bites at the cherry, 2 this year & 1 next year....GLTA