anns: conoco executes the farm-in agreement !, page-6

Hi Good Gas

First of all, Buru's Blina field is a very small one. (see Buru's presentation on 02/06/2011) Original reserves of all fields ~3mmbbls. Discovered 1981, first production in 1983 at ~1,000bopd, but the current production is only 50bopd (barrel of oil per day) with work over program aiming to increase production to +100bopd. This is nothing.

Buru is in big trouble IMO, they are spending Mitsubishi's money but still couldn't find anything remarkable to satisfy Mitsubishi. IMO, those parts of Fitzroy through has not got a big oil and gas fields.

They are only chance now is to find HCs in Yulleroo and Pictor fields. I think they will have some sort of success on those fields. If they can't, they will run out of powder in the eyes of Mitsubishi. I don't what will happen then.

And, Buru is not targeting mainly shale gas and oil at the moment.

So, Buru's share price is expensive in comparison to NSE. Or NSE price is very cheap. You can think either ways.

However my idea is different, I am not comparing stocks like that. I am focused on NSE's targets and potential. BRU is a small stock for me.

NSE is playing in different league now. The Conoco-NSE partnership is targeting liquid rich shales, which means they are looking for unconventional oil and gas reserves. This is very interesting but I don't think many people are still aware of this potential. This is a world class potential. Therefore I am here. Otherwise I wouldn't be interested neither of these stocks (NSE and BRU. (I only invest on world class resources).

We should sit and think to calculate the potential sp of NSE; why Conoco, a company with significant conventional and unconventional experience in oil and gas business has signed the deal with a small company like NSE, after making months of due diligence and research for Goldwyer project..! I believe they have found some very good signs.

Conoco hasn't actually signed the deal with NSE, they signed in to Canning super basin, to see how super it is. They will drill and drill and drill,.. three exploration wells to see what is down there.

If they find anything satisfactorily commercial we will be definitly rich here. (talking for myself!). I can't tell you any target price, because I can't imagine what it would be; $1, $3, $5, $10..!

Conoco will definitly buy out NSE then. That's the rule of the game. That happened to Queensland Gas Co. when they made a partnership with BG Group. BG Group bought QGC after a short time (less than 1 year I guess).

I am not interested in takeover specualtion for the future either. I am even not interested in sp atm. SP will go up itself significantly over the time. No doubt about it. Any experienced stock market person can say that. I am only focusing buying more when price comes down in regards to sp. I can't wait to see the drilling results in next year. It will be very interesting.

Cheers