Ann: Update on Appraisal Well Drilling Program Timetable, page-450

No problem with the geos…. The geos in some kind of ‘volcanic rock is soft’ kind delusional state, probably threw their toys out the pram when Cuban gov wanted to stay at Alameda and convinced AP, against his wishes to keep gov happy, to drill Zapato. This circular discussion about the pros and cons is pretty sad and Zapato only cost 2-3 months + 2 months maintenance (which may not have been required) difference on start of A2. You could call it a touché delay and Cuba teaching us a lesson, but I think AP is doing a good job for all I can see. I trust him when he says ‘bankers - we get shit done’.

The paranoia here is high at the moment understandably.

I like his acknowledgment of risk, and all it encompasses in this statement, too. Also, the needs of the gov.


Melbana Energy's Executive Chairman, Andrew Purcell, commented: "Whilst this delay
to the start of our first appraisal well is frustrating for all of us, we have to be respectful of the
wishes of the Cuban government to prioritise the delivery of essential infrastructure to its
people - regardless of how important increasing domestic oil production is to them too. That
being said, the size of the prize has not changed and the extended timeframe has potentially
material financial advantages for us. Furthermore, our planning for this program could not have
been more meticulous. We have added to our talent pool, included production and logistics
expertise, undertaken extensive risk management and we could not be in better shape for what
I'm sure will be a successful campaign having just spend several weeks with the team in Cuba.
All of us at Melbana are fully invested in this program and are fully aligned with shareholders
in our desire to get drilling. This is not too far away now and we will communicate progress as
we draw near to mobilisation.


It won’t be long until all the haters are singing his praises!! Hopefully… the wait is almost over