Ann: Second Quarter Update Presentation , page-11

mir,

I'm sure they paid varying amounts for different bits, as you point out. On average it was $21,000/acre.

AUT increased their net acreage by 2,900 acres from the eureka sale which cost them $95million. see page 14 from the Aug 2012 AUT presentation.

Mir, all companies are taking gambles on the EFS, because it has not been proven over the long term. The bigger players can afford to take bigger bets.

BHP were simply making a bet when they spent $19billion on their shale gas assets, which turned out to have no value at current prices. Marathon, EOG & Conoco can afford to gamble on this because they have huge cash reserves in case it goes south.