agm 21st nov questions to be asked, page-12

The national or as is the case in Europe the international grid is the largest consumer of gas, there are other options and EPG is currently studying these to determine what is the best option for sales. Notably electricity production is being considered but it will require a larger capital investment compared to grid connections but is quicker to build.

2p is a reference to reserve estimates that are produced under a set of guidelines developed by geologists. There are 3 "p"s being proved, probable and possible. 2p refers directly to proved and probable. Look up wikipedia and you will find a more detailed explaination. The most important thing to remember with 2p reserves is that they will alter as the project develops and understanding of how much gas, how easy it is to extract and what will be left behind are better defined. That is why companies like origin,qgc ect can have such large increases in reserves.

CBM is still very new and tends to have huge discounting in reserves compared to gas in place models. One reason for this is there are no exhausted CBM fields in the world so no one can say this % will be left behind, therefore this is the numbers we should use. This has resulted in quite conservative numbers being used in initial 3p reserves.

Hope this helps

cheers Icharus