AGM, page-2

Just back..my summary is per the points, in no particular order, below.

Overall, a lacklustre meeting with v. few SHers in attendance (under 10) and only one of those asking Qs during the meeting. Some interesting material was, however, gleaned from these and post meeting Qs.

- The lacklustre nature of the meeting reflects mgmt's disappointment with the Sea Lion well. More than that there is surpeise and disbelief as they, and some others in the inmdustry clearly thought the well wld come up with the gds.

- Reasons for the Sea Lion result are not yet clear and technical analysis is ongoing. Hopefully this will inform on the other prospects in the permit.

- Noel indicated that the well had been completed under budget, partly due to its lack of success, but they still need to top up the $7.5m free ride, by about $4m I think.

_ We should all remember that the permit still has 8 gd leads, including Felix, so we're not done and dusted yet. Serious endeavours will. however, likely be delayed until the PoO improves.

- Not withstanding, Sea Lion there is clearly big hopes for T49. Analysis of the 3D data continues, but it's clearly good and there is optimisim about the permit's gas prospectivity, tempered only by the Sea Lion result.

- Beach Pet are apparently v happy with the results to date.

- Mgmt have not formally gone public in seeking farm in partners yet, pending completion of data analysis, but they have shared some data with early 'door-knockers' who have apparently been impressed.

- Highlighted the potential shortage of gas along the east coast, compounded by the lack of any success with non-conventional gas, eg shale in Cooper Basin.

- It sounds like finding partners will not be too hard. The issues are timing and terms. No promises, but farm-in Anns are possible in the new year.

In summary there's disappointment with Sea Lion, but excitment (albeit subdued post Sea Lion result) with T49. IMO the farm-in Ann will be v +ve for us, but we will have to wait until the new year to hear it.

As ever with this stuff, there is a degree of reading b/n the lines, so be awrae that it's all IMO and DYOR...Pt