Hi psi81Slide 22 of the presentation out today helps indicate...

Hi psi81

Slide 22 of the presentation out today helps indicate gas sales however I still have a few more questions;

The NGP is currently contracted as follows:

PWC - 32 TJ/d

CTP - 26.5 TJ/d

Remainder currently available is 90 - 58.5 = 31.5 TJ/day.

The 12Mar2018 ann. noted the Mereenie current (Phase 1) upgrade is adding a net 33 TJ/day capacity increase (58-15). CTP has half that (16.5TJ/d) while MQG has the other half. 

So how much of the available 31.5TJ/day NGP capacity can MQG utilize? I assume the Mereenie Lateral is called the Mereenie Spur Gas Pipeline on Slide 8 of today's presentation and is operated by APA (please correct me if I'm wrong)? Also assume that although we have a Joint Marketing arrangement with MQG, any GSA would need to be negotiated directly between the operator (CTP or MQG separately), the pipeline owner (APA in this case) and the customer. 

My question is therefore, if we have already taken up the maximum capacity of the Mereenie spur line, what are MQG doing with their available gas capacity? They have a spare 5 TJ/day at present, and this then becomes 21.5 TJ/d if you add in the new Phase 1 upgrade. Isn't this enough to warrant them (MQG) negotiating with APA on the pipeline upgrade so they can sell down the NGP?

If not, apart from our pre-sales agreement, what benefit is the NGP to MQG's position in Mereenie?