Here is some clippings from original information in the set up...

Here is some clippings from original information in the set up of TNP entry into China..

"Conclusion"-Why would directors drown themselves in new
paper.

The Performance Shares will vest and be convertible into Shares on a 1:1 basis only upon the achievement of a number of clearly understood and measurable value-adding milestone events as set out in Section 1.4 of this Notice of Meeting

(“Milestones”).
In the event that these Milestones are not
met, any unvested Performance Shares will convert on the basis of 1 Share for each 10,000,000 Performance Shares held.

Resolution 8 – Issue of Director Options to Related Party - Mr Paul Underwood.

To consider and, if thought fit, to pass the following resolution as an ordinary resolution
:
“That, subject to and conditional upon the pass
ing of Resolutions 9 and 10, for the purposes
of ASX Listing Rule 10.11 and for all other purposes, approval is given for the Company to allot and issue 10,000,000 Director Options to Mr Paul Underwood (or his nominee) on the terms and conditions set out in the Explanatory Statement.”

Given that there is substantial amount of existing data in relation to the location of the coal seams in the initial area (refer to the Technical Reports prepared by MBA Petroleum Consultants in Schedule 3) and that there is good anecdotal evidence that the coals are gas charged, it is considered that the CFT CBM Project has good prospects for success. Provided that the coal seams demonstrate
sufficient gas saturation, sales gas quality gas and
commercial flow rates, the Board considers that the
CFT CBM Project has good potential to establish a
meaningful gas production business in the near term.

A 2 to 3 well programme is planned to be completed in the next 6 months (the first commencing in March 2013, subject to weather conditions) which have the objective of establishing the gas quality and production potential of the coal seams for CBM production.

There is understood to be an immediate market for any gas that may be produced and independent research suggests that at a gas price of around US$7+ per mmscf (million standard cubic feet) can be achieved.

1.4
Performance Share Milestones

The 350,000,000 Performance Shares will be issued in 4 tranches as follows:

(i)
Tranche 1

: Tranche 1 will comprise 50,000,000 Performance Shares, which will vest upon successful data acquisition from the near term drill stem test well on the CFT CBM Project,
such data establishing flow and pressure build-up information demonstrating reservoir permeabilities interpreted to provide commercial gas flow rate estimates and gas composition information to enable the experts report to be completed to confirm recoverable gas
estimates. The Performance Shares offered pursuant to Milestone 1 expire 9 months from the date the Performance Shares are issued.

Tranche 2

: Tranche 2 will comprise 50,000,000 Performance Shares, which will vest upon the drilling and coring of two pressurised core wells on the CFT CBM Project testing for gas saturation and desorption isotherms and drill stem tests, which confirm sufficient long term gas flow rates to support a financial investment decision to commence a commercial development of a meaningful gas production operation (i.e. 20 well development with a forecast production rate of not less than 10MMscf /d), together with all regulatory approvals.
The Performance Shares offered pursuant to Milestone 2 expire 12 months from the date the Performance Shares are issued;

Tranche 3

Tranche 3 will comprise 125,000,000 Performance Shares, which will vest upon the completion of 10 development wells having been drilled and completed on the CFT CBM Project or the completion of an alternative development well drill programme which the parties have agreed, which independent engineers prognose will deliver an equivalent or better economic development outcome at a similar cost as a 10 well programme producing not less than 5 mmscf/day. The Performance Shares offered pursuant to Milestone 3 expire
18 months from the date the Performance Shares are issued (unless otherwise extended).

Tranche 4
Tranche 4 will comprise 125,000,000 Performance Shares, which will vest upon the completion of 20 development wells having been drilled and completed on the CFT CBM Project or the completion of an alternative development well drill programme which the parties have agreed, which independent engineers prognose will deliver an equivalent or better economic development outcome at a similar cost as a 20 well programme producing not less than 10 mmscf/day. The Performance Shares offered pursuant to Milestone 4 expire
24 months from the date the Performance Shares are issued (unless otherwise extended).

Notes on existing 60 mill options
:
1.
Options currently on issue are exercisable as follows:
•
Class A - 15,000,000 exercisable at 3c on or before 14 February 2016
•
Class B - 15,000,000 exercisable at 3c on or before 14 February 2016 (subject to vesting conditions)*
•
Class C - 15,000,000 exercisable at 4c on or before 14 February 2016 (subject to vesting conditions)
•
Class D - 15,000,000 exercisable at 4c on or befo
re 14 February 2016 (subject to vesting conditions)**