Question for OTTO Management re Presentation, page-28

Well I took up the offer of a call to Matthew Allen re OTTO's conference presentation and he confirmed that:-
the Deposit Land mentioned on slide 16 had already been paid by Borealis

slide 23 of showed currently committed spend for the Alaska entry, with decisions on additional spending still to be made.

the nett gain on the sc55 drill would be around us$6 million (us$8million - US$2 million paid last qtr).

I asked if he thought budgeted admin costs could be reduced as OTTO was not the operator of the Tanzania or Alaskan leases. He confirmed that while OTTO's technical staff had and will have substantial imput into the Tanzania and also the Alaskan properties, he was in the process of looking at/implementing ways to reduce admin costs.

Matthew Allen also confirmed OTTO management are also very aware of the issues/background of the Rampart Energy/Pilot Energy problems in Alaska. I was left with the impression that, Kito was firming up as a really good target, great care/diligence would be exercised by OTTO in regard to the staged Alaska farm in, and that OTTO management were/will make/making every effort to minimise admin costs