valuation out, page-2

Here's a summary from the report on the events to date in The Cooper region.

Certainly shows that AQO is undervalued and due for a re-rate.

PEL 570 alone has a valuation of 27c based on this report.

? Origin Energy: A$252m farm-in to Senex Energy permits
(Feb 2014) in Southern Cooper Basin PEL 516, 514 and 115:
tight gas sands, shale and deep coal plays -15 well and
seismic programme

? Chevron: $A350m farm-in to Beach Energy Ltd’s
Unconventional exploration permits in Cooper Basin (Feb
2013)

? Beach Energy: signs 173 Pj gas sales agreement with Origin
Energy totalling up to $A1.5 billion over 10 years (April
2013). Moonta-1 shale gas well flowed at 2.6mmscf/d in Jan
2013 follows success on Encounter and Holdfast shale gas
wells – flowed at 2mmcfd on test mid 2012.

? Santos: Moomba 191 unconventional well flowed at 2.5
million cf/day in Oct 2012

? Senex Energy: Hornet 1 unconventional well flowed at over
2 million cf/day in southern Cooper Basin permit PEL 115
(April 3 2013) and JV completed with Origin Energy Feb 2014

? Drillsearch Energy: Completes farm in transaction with
Santos $120m in July 2013 for Wet gas exploration, farm in
with BG Group for $130m in July 2011, successful $118
million takeover bid for Acer Energy (Oct 2012)

? Strike Energy: Completes gas sales agreement with Orica in
July 2013 to sell 150PJ under a 20yr agreement.

? Industry commentary: suggest Exxon, Total, BHP Billiton,
Hess, Shell, Statoil and BG are closely watching Cooper Basin