Made some inquiries to get clarification on recent asx releases. It seems MEO now have one option over one rig, (before there was a possibility of a second option subject to availability). The rig under this option is due to become available in Oct IF the current operator experiences no delays. Note the word IF. Anything could happen in the next few months. That also ties in with CUE's timeline chart from their May 2010 preso.
Should also be noted that MOG's cost exposure to A-1 is nil, given our stake is "fully" free carried under the terms of the CUE/MOG-RankinTrend farmout to MEO. By contrast, MEO are carried by PBR up to a cap of USD41mil, whereby any costs over that amount will be funded 50/50 by MEO/PBR.
Lets hope the risk trade is on the table when we finally get to spud Artemis.
MOG Price at posting:
9.4¢ Sentiment: Hold Disclosure: Held
