report, page-10

re: cs energy make $2.5 mill and get the hell out I don't know how to many times I have to tell you, but they can say they have have certified reserves till they are blue in the face. The fact is they have no engineering parameters to carry out industry standard bankable reserve calculations. They are using a small US based company that everyone in Australian CBM is clamouring around to make them look like they have legitimate reserves, the fact is they don't have any legitimate oil and gas industry certified reserves full stop. For that you need production in commercial quantities over the entire reservoir. They do not have it so therefore it is just an interpretation of a consulting engineer on what could be in place. If they were certified proven probable reserves they would be able to get take or pay contracts. They can not and will not because they can not guarentee supply and therefore by definition do not have proven/ probable (P1 & P2) reserves. They have commitment to buy produced gas contracts that the buyer can renege on at any time.

Don't even use reserves if you want to respond it's a dead issue!

This is about production, not reserves. They have drilled 60 wells in 5 years and to date only 1 or 2 are producing a commercial amount of gas.

There is 5,000,000,000 TCF of methane in the atmosphere worth $5 billion trillion, it doesn't mean you can extract it commercially.