Ann: June Quarter Report Conference Call details, page-2

These are my summary notes from the CC

1. There is s Liquidated Damages Cap in the gas plant development agreement ... $20M. COE has invoiced APA for this amount in total ... nothing added as to what's next

2.Bank's prime concern is the "value of the GSA" and the path to market. DM made a point that as far as the Bank's security is concerned there has be NO CHANGE in the GSA's w.r.t. price and term length. What will change is the start dte of the GSA

3. Root cause analysis is ongoing. Big discussion point is if it is a design flaw, who pays what and how rectified.

4. Practical completion with APA is 68 TJ/day steady state ... it might change but not specifically addressed. So nothing yet started per se with Bank's where it starts after 90 days post completion. If this changes the Banks are involved (and supportive ... its really just movement of cash flow). Once technical path is corrected & if this changes the production profile then financial plan changes

5. The GSA's DO NOT contain a sunset clause (on a start date for the contract) ... ergo not subject to cancellation.

6. COE approach to marketing of gas is
(a) Portfolio approach (so could fulfill supply from anywhere in the business)
(b) Not spot price focused. Long(er) Term and Volume focused on a supply agreement basis

7. NO Tolling Fees being paid to APA for gas processing a present ... COE selling at spot less transport fee.

IMO we are doing about as well as we can.