first gsa, page-22

Is that a baseless ramp Some Guy?

I am inclined to think it is a plausible outcome myself.

Let's examine the catalysts:

a) GSA = non-trapped and therefore proven commercial markets for our gas.

b) Excellent political move. The GSA is subject to NSW approvals. New state government lobbying from the NSW dairy industry. We welcome you!

c) Moratorium on fraccing and the results of the NSW state governments "plan" for Coal Seam Gas due by April 2012 (close enough to Easter).

d) We have 2 other interested parties on our register. Both of which have put their money where their "intentions" are. 1 of which has access to Goliath financial backing.

e) a reserves metric making us the cheapest in the sector per G.J.

I ask everyone, is 100 cents per share or a market cap of $338 Million Dollars a baseless ramp??

Is it a blue sky fantasy when all things are considered above?

In my opinion, the biggest risk is the NSW government plan on Coal Seam Gas in the state. It remains uncertain and the greens are making some much darn noise about it, despite them being an empty vessel. We all assume everything will be fine but this risk is priced into the share price as it stands today.

When we have certainty, we have a re-rating.

Like everything in life, patience is required and an appetite (albeit a small one) for government regulatory risk.