wcl t/o metrics, page-16

Oze,

You are on the money as it were. WCL directors have told us their ultimate aims but studiously avoided telling us how they will get there or how much it will cost. I think this amounts to a 'material omission'.

To reach 65 TJ/day to supply LNG FL, WCL will need to raise gas production almost five fold in under three years. This would likely require WCL to raise up to 20 times their last capital raising. I don't think the major shareholders have the stomach to do that and face the likely dilution involved because all but NHC probably wouldn't and couldn't participate to the full level.

There has been plenty of time for the other likely suspects to make a play for WCL or to do a JV, farm-in etc. I think they all have bitten off more than they can chew with CSG at the moment. It is costing more and taking longer than they thought.