Yes, with 1-3-(54) 1NT is opened (in fact more extremely, this 1NT includes 2-2-7-2 as well, this is coming from the issue of relay bidding space, in case that you want to preempt with long ♦, you still can bid 2♦, but that brings you away from slams...). 1-red is unlimited with 1♣ still possibly holding 5+M. This splits hands with high power but good/bad as declaring side. Some strong hands AKQxxx xxx AKQ x just should not take the declarer, void hands can also be described clearly under 1-red open (as asking side, it is hard to bid own void suit without wasting bidding space). Declarer side controlling is one of the main consideration when I design this system. That's why the showing side is always using transfers/bidding shorts... As the priority tells, 2m denies any 4+M. This 1♠ is quite annoying to opponents according to my experience, and in fact the nature is similar to weak 1NT but safer (with 1♠-1N-2m signoffs). But it release a lot of load from the weak 1NT so that complete relays can still be done after these weak "bal" openings.