better than lost hills, page-2

Hi JWT

I think the confusion with respect the size of leases is caused by the use of acres v hectare terminology and the fact that XEN have acquired additional leases since the initial deal was done.

The initial deal consisted of Hinton East and West with a total land area of 3796 acres or approx 1537 hectares. The initial three leases at Hinton East are approx 897 hectares and the two leases at West are 640 hectares. The 339 mil tonnes JORC at East was from the initial three leases (897 hectares) and I think a little from Hinton North by the looks. As you can see it is quite conceivable that West could be in the order of 250 mil tonnes as East is only approx 30% larger.

The 4624 hectares they have referred to in the announcement include the other granted leases at Hinton but do not include Coalspur. Check out fig 1 on the announcement which shows the addition leases granted but were not used for the JORC at East.

Hope this clarifies it.

Danash