I reckon the "not all the money in the world" woman would change her mind pretty quickly if Australia had a mineral rights regime similar to that in the US. There (and I worked in the US for nearly 7 years in Austin, Texas hardly a hot bed of the O&G industry) people that had land holdings actively hoped that there would be discoveries on their properties due to the cash flow associated with it.
For example, a really crappy 30BBL a day stripper well would probably result in the region of USD75k per year in royalties to the land holder at today's pricing. More than one well, do the math, it adds up pretty quickly. A well that might flow at a couple of orders of magnitude BOE (ie either oil or gas, and even baring in mind the rapid decline rates of shale wells vs conventional wells) can be a life changer.
LKO Price at posting:
0.3¢ Sentiment: Hold Disclosure: Held
(20min delay)
