Austin NZ,So MEO itself needs to commit to drilling,...

Austin NZ,

So MEO itself needs to commit to drilling, irrevocably, by 31/12. This is in itself a $30-50m commitment. We also do not know who the farminee is or what kind of deal is being envisaged, for example this could be a foreign government or agency that must meet more stringent FIRB requirements. Or there could be more scrutiny if they take more than 50% of the project re the "integrated LNG project" whatever that is. The fact they need to seek FIRB approval in the first place is somewhat concerning given as I understand if you meet the parameters then you dont need to apply.

So the board of MEO needs to sign off on a circa $30-50m commitment knowing FIRB approval may or may not be forthcoming? Interesting times for the MEO board coming up, I for one would not like to be Jurgen fronting up to other board members with a takeovers lawyer saying "FIRB approval should be forthcoming but no guarantees". Then looking at my funding options and timelines if this current deal falls through. In any case I think this should be good for the MOG SP in the short run, nice piece of business making the rankin trend acquisition not conditional on MEO commiting to drill by 31/12. And if they dont commit, then i see no reason why MOG should grant a one month extension.