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Oz Bullish On Shale Oil Find Around Coober Pedy


gobbledonk

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Seems a bit early to be popping the champagne corks, but I assume that these guys know what they are doing. I cant recall which BMs work in Oil and Gas, but I'll leave it to the experts to comment on how long it takes to go from a report to oil tankers steaming out of Whyalla.

 

 

SOUTH Australia is sitting on oil potentially worth more than $20 trillion, independent reports claim - enough to turn Australia into a self-sufficient fuel producer.

Brisbane company Linc Energy yesterday released two reports, based on drilling and seismic exploration, estimating the amount of oil in the as yet untapped Arckaringa Basin surrounding Coober Pedy ranging from 3.5 billion to 233 billion barrels of oil.

At the higher end, this would be "several times bigger than all of the oil in Australia", Linc managing director Peter Bond said.

This has the potential to turn Australia from an oil importer to an oil exporter.

"If it comes in the way the reports are suggesting, it could well and truly bring Australia back to (oil) self-sufficiency," Mr Bond said.

State Mineral Resources Development Minister Tom Koutsantonis said there were exciting times ahead for SA's resources industry.

 

 

Read more: http://www.adelaidenow.com.au/business/companies/trillion-shale-oil-find-surrounding-coober-pedy-can-fuel-australia/story-fnda1bsz-1226560401043#ixzz2IsF1rqWD

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Yeah - I thought the estimates seemed a tad rubbery, but I assume they have to cover their butts in case someone pours money into drilling and it isnt everything they'd hoped for. I can also see the sticky fingers of the SA government all over this - unemployment is a big problem down there.

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Seems a bit early to be popping the champagne corks, but I assume that these guys know what they are doing. I cant recall which BMs work in Oil and Gas, but I'll leave it to the experts to comment on how long it takes to go from a report to oil tankers steaming out of Whyalla.

 

 

 

SOUTH Australia is sitting on oil potentially worth more than $20 trillion, independent reports claim - enough to turn Australia into a self-sufficient fuel producer.

 

Brisbane company Linc Energy yesterday released two reports, based on drilling and seismic exploration, estimating the amount of oil in the as yet untapped Arckaringa Basin surrounding Coober Pedy ranging from 3.5 billion to 233 billion barrels of oil.

 

At the higher end, this would be "several times bigger than all of the oil in Australia", Linc managing director Peter Bond said.

This has the potential to turn Australia from an oil importer to an oil exporter.

 

"If it comes in the way the reports are suggesting, it could well and truly bring Australia back to (oil) self-sufficiency," Mr Bond said.

State Mineral Resources Development Minister Tom Koutsantonis said there were exciting times ahead for SA's resources industry.

 

 

Read more: http://www.adelaiden...3#ixzz2IsF1rqWD

 

Financial commentator Alan Kohler on ABC last night said that would make Aus exports almost as big as Saudi Arabia!! :elephant: .

 

I bought LNC on the first blip up in November at 60 cents..... and sold em 3 weeks later at $1:-( :-(

 

Price today 295 :banghead:

 

Such is life. (Ned Kelly)

 

Karoon (KAR) just struck oil too!...just jumped 15%

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Financial commentator Alan Kohler on ABC last night said that would make Aus exports almost as big as Saudi Arabia!! :elephant: .

 

I bought LNC on the first blip up in November at 60 cents..... and sold em 3 weeks later at $1:-( :-(

 

Price today 295 :banghead:

 

Such is life. (Ned Kelly)

 

Karoon (KAR) just struck oil too!...just jumped 15%

 

Three months to lose (hundreds of) thousands ? :neener:

 

If there is an upside, Red, anyone selling now could well be kicking themselves in 6-12 months. They interviewed a very young CEO this morning, and he claimed that the major risk is inacton : he needs a partner to make the actual mining happen on his lease.

 

Lets look at the advantages outback SA has over places like Saudi Arabia, Canada and Venezuela:

 

- like Canada, Oz is politically stable and likely to be so for the forseeable future. SA is too damned boring for terrorists or other fundamentalists to target.

- like Saudi Arabia, the sole environmental challenge is extreme heat - I suspect that miners prefer that to blizzards and an entire season of torrential downpours

- unlike the Gulf of Mexico, there is no threat of cyclones/inundation from the sea or environmental disasters, at least prior to shipping

 

The big challenge, obviously, is the tyranny of distance, but for the domestic market it's perfect. No-one out there is going to protest against having an oil refinery in their backyard (although I expect the Greens to demand an environmental impact study etc). This isn't the Alaskan wilderness, although I expect that the 'traditional owners' will have their hands out. Given the potential payoff, I expect that none of the above will be a showstopper, and any attempt by the Greens to delay mining would see them slammed in the polls.

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