different vibe from esg about oip leases, page-4

JT

Gwydir-1 may well have been somewhat disappointing (the predicted Maules Creek formation was not present). And one of RL or DM said to me in an email or conversation that the coal was in a series of thin beds making up the total of 3m. As we know though they were drilling where the Moolayember was expected to be thin so as to also target the MC. The current Milguy-1 well is supposedly targeting ticker coal that they "know" is thicker!

Also Moree-1 in Pel 427 was not a duster and this was what Barry Smith siad at the time:

:SYDNEY: Orion Petroleum Limited (ASX: OIP) today said that the Moree-4 coal seam gas (CSG) corehole in PEL 427 in northern NSW reached its total depth of 495 mGL on 27 March. Total net coal intersected was approximately 5 metres with gas freely desorbing from the coal at surface. Over the coming month, total gas volumes within the coals will be determined.

Wireline log data have been acquired and a subsequent drill stem test over the interval 423-443 failed to record a gas blow.

Whilst the Coreena coal seams were thinner than expected in this area, Moree-4 provides an important CSG dataset for this play in the southern Surat Basin. The well demonstrated encouraging gas contents while drilling thus reducing one of the key risks associated with the target coals. Work will be undertaken to identify areas where improved coal development may be expected said Orions Managing Director, Mr Barry Smith"

So .. ENCOURAGING GAS CONTENTS and 5m of coal. And on Kurrabboma this wwas the spin:

"SYDNEY: Orion Petroleum Limited (ASX: OIP) today said that the Kurrabooma-1 coal seam gas (CSG) corehole in PEL 428 in northern NSW reached its total depth of 438.7 m on 17 April. Total net coal intersected was approximately 4 metres with visible free gas reported during drilling. Wireline log data have been acquired and over the coming months total gas volumes within the coals will be determined.

Kurrabooma-1 is the first petroleum well in PEL 428 and indeed, the first CSG well in the licence area. As such, it provides the first detailed assessment of the coal characteristics, which will be integrated with other available information to establish a forward plan for future activities. PEL 428 covers a large area, in excess of 6,000 km2, that we believe holds exciting CSG potential. said Orions Managing Director, Mr Barry Smith."

SO ... EXCITING CSG POTENTIAL!! I don't think we have every heard what the gas content and quality was .. although I think someone said it was 98% methane but I might be imagining that.

As I have said before if after this merger is pushed through we start hearing from RL and DM about good gas contents, exciting CSG potential, and the CSG potential is talked up (as opposed to down) won't that be ironical (and hypocritical if not questionable in terms of who these directors are supposed to be working for .. us!). Questions will need to be asked.

H