The U4/5 production tests shouldn’t be too much of a surprise I...

The U4/5 production tests shouldn’t be too much of a surprise I wouldn’t think. I suppose we need to be aware whatever the natural flow rates, they will need to be shut in to install the ESPs, as with U1/2. No doubt we’ll be over 3000bopd total and likely not to have the ESPs turned up even close to max. The more interesting result for me is the subsequent Reserves Upgrade.
We have U5 about same size column as others at 53m and U4 at 74m. So without trying to guess any kind of number based on just oil column size, I would suggest reserves at least double and then some? (probably also include FW’s 15m in main payzone and can’t remember, think it was 5m net pay in the Anderson as well)
Although BRU continue to make positive noises about the farm-out negotiations proceeding “satisfactorily” and my chart suggesting something of significance is brewing other than the restart, I can’t help thinking the timing of the reserves upgrade could be key to any partner being introduced in whatever form. So that’s after the restart and after the production tests and after the Reserves Upgrade. That’s because any kind of debt facility is dependent on reserves, essentially as the “collateral”. If we’re going to see that type of wider deal, (my preference), then I’m happy to wait.
I should say, while I’m using EIG/Harbour as an example of a big US fund who’ve shown interest in the bargain basement of Australia, they are primarily after gas rather than oil, so while there are other big funds around, it may be this kind of deal may only come along when the moratorium is lifted. Or maybe they’ll dip their toe in the oil first.
The other obvious potential oil partner, as far as I’m concerned, is Beach. They have disposed of their international portfolio, wrapped up the Origin deal and stated they are on the hunt for Australia only options in other basins outside the Cooper. So that’s errr.... the Cooper Basin and errrrr... can’t think of too many others.