gas prices and a timely reminder, page-5

Thanks for the update freida - I knew i could count on you to know the latest re REX & gas prices.

Presently the price differential is about $2.50 between Henry Hub & Opal. As you say we can't do anything about gas prices and anyway this is an asset play. It could however explain why things are moving slowly and why they decided to do a capital raising instead of using gas sales.

Although we have the money to drill the 3+3 wells, gas prices are important as they ultimately determine the asset prices. It will take 3 months + to drill the 3 wells at CC & Helper so gas prices should have started to firm again going into winter. GS are the experts in oil & gas plays and I have no doubt they're calling the correct shots.