Ann: Chairman's Address to Shareholders and A, page-5

re: Ann: Chairman's Address to Shareholde... well guys i have just returned from the AGM, interestingly there appeared to be more analysts/brokers than actual shareholders present.
There have been nearly 50 interested parties in the sale process that have signed confidentiality agreements, i would say that constitutes a fairly high degree of interest. This group apparently comprises listed and unlisted US companies as well as listed Australian companies.
There were several references to the fact that AMU was in no way a "distressed" or even a motivated seller, it was stressed that the outcome of the sale process will depend entirely on the calibre of the bids recieved. This needs to be taken in the context of the companies claims that post TNT acquisition they believe they have identified approx $100m worth of potential reserves on existing leases (not small change considering a current MC of around $60m).
An accelerated development drilling program has been approved to convert many of these reserves on the Texas properties (this to run in conjunction with the exploration program). Speaking of exploration the Schwing well is approx 300ft from TD and is expected to reach TD in a week or 2, drilling has been slower than expected but this is a BIG target and they intend to get it right.
I spoke to Betty Dieter before the meeting and she made it very clear that they would prefer to push on with growing the business in the abscence of a suitable offer.
Debt levels are comfortable at gearing of 25% and the focus going forward seems directed at development drilling, increased oil production and conversion to reserves (1P).