Merger saga, page-12

Ya,

Have you got any views on how DLS's resource base can be valued in this current climate. How low is low when it comes to the value of the oil and gas they have in the ground, by comparative means or any other?

If you've been following the story lately the market didn't seem to price in any of the wet gas discoveries made by the STO/DLS JV last year. Can you give any commentary on these discoveries and speculate on their potential value in an arms length transaction. I suspect that the merchant banks that probably have access to the data for the purpose of advising on the merger (or defending a take-over) have a much better idea of the value of these discoveries than the market currently does at present. Any merger would need expert opinions which I'd expect would need to try and quantify the value of these latest wet gas discoveries but I suspect that merging before appraisal of these wells is complete might allow a considerable fudge factor in any valuation which will play into the hands of BPT. Unfortunately it looks like our chicken has lost its head. I can't see any rational for any scheme of arrangement while these appraisals remain unfinished. Unfortunately it might be out of the minor shareholders control and the wealth transfer plan may have already have been drafted.

Eshmun