Disappointing progress & genuinely concerned share holder, page-18

Paul, appreciate a level headed approach to a debate as opposed to the "you don't like it, sell" mentality. But equally I see majors flaws in the case presented to your audience. As late as the 04-March-2013, our company was promoting the business model of converting its unlisted options in near $48 million dollars to funds its Surprise oil exploration program. In fact, on the 24th of July, 2013 some four(4) month after the end of the options business plan was promoted, our company raised 10 million dollars.

Now, during the explanation for the raising of the 10 million to so called three(3) large domesticated institutions, the funds had been placed aside for the following:
1. Surprise East #1 well to production;
2. Surprise West into production;
3. projected Nett Cash Burn.

Both the unlisted options and the $10 million raised were placed aside for exploration purposed at large. However, why raise the $10 million when the $48 million in cash from the unlisted options was to become readily available.

Between the 04-March-2013 and the month leading to discussions between our company and DJ Carmichael Pty Ltd who acted as the Sole Lead Manager and Bookrunner to the $10 million Placement.

If you look at the trend line you will find the a chain of event conflicts between unlisted options, planning and finding:

1. March 26th Surprise Reserve Report triggers the Development Plan;
2. April 04 and 09 th Central Farmout to Santos and total go Ahead;
3. July 10th Surprise West Development Funding Assured;
4. Nov 28th US$35m increase to South Georgina JV.

On the 25th of February, after such a labour attempt in securing the Surprise oil production licence, our company on the 3rd of March announced the waiver of the unlisted option. Just two weeks between the production license and the wiave of the unlisted options.

The priority to drill the Surprise oil filed went South as a priority around one(1) month prior to Nov 28th announcement of the US$35m increase to South Georgina JV. This is assumption on my part as I have no conclusive evidence just putting one plus one together, I do come out with 2 as my answer.

I may be simple man, I may be nothing more than a low life shareholder, but don’t kiss me with the promotion and them spit me out as a treated fool when the plans of a big multinational gorilla crashed the party yet again.

We seem to be hamstrung by two() gorillas, both being our Joint Venture. As mentioned in a post above, I ould bet my house that under John Heugh who started and initiated the Total and Santo JV discussions that the bean counter and other less than favourable deal would not have happened.

Had Total not increased the Sothern Georgina basin exploration expenditure, it is my firm believe that CTP would have made the production a more focused priority and would have securing a drilling rig.

I don’t buy your theory one little bit, but it is appreciated.