Ann: Commencement of Drilling Activities , page-6

Agree Redbeard,

PEL 514 is 1,900+ sqkm's, thus is substantial piece acreage, with the real upside made clearer, when drilling moves towards western flank oil targets in the under explored northern segment of the patch. Unlike other small players PGS has maintained 20% in all discoveries both oil & gas, so the true value I feel in 20% of this Cooper holding is yet to be reflected. I assume that further consolidation by the parties you mentioned will only make the value of what PGS holds more transparent - although I'm hoping that 3D's of the soon to be announced 2nd target (to be drilled before Nov) will give us a heads up on what the $ spent by SXY on seismics has uncovered. Not to mention a positive soon to hit cash flow result in Spriggs-1 would only help our the cause. Not to long to wait...GLTA