from iress: dj newswire on shale gas, page-5

Thanks Wacky. Tough day ahead but global scenario has not changed for some months. I invest in deep value situations, assume that the world doesn't come to an end and will still be able to put food on the table.

Today's article about the BG/DLS deal in the oz Financial Review pg 17. shares the view I put out in last night's post.

To quote John Young of Wilsons......... this has the potential to speak for bigger things to come, both for the industry and for Drill Search as well.

To quote Merrill Lynch's David Heard......... It provides more evidence that CSG is not the complete answer to the Queensland LNG projects. In our view, CSG-to-LNG is risky and seems to be morphing into a broader "Eastern Australian gas to LNG".

There you have it - will be really interesting to see how the Citigroup analyst reframe his views.
BG and Conoco - two of the world's biggest energy companies looks like are going down a path that is diametrically opposed to Citigroup's views (which got a lot of media play). Who do you want to back?

Thinking through on the above - in the light of carbon tax, gas fired base power stations replacing brown coal fiired ones, low priced long term supply contracts coming up for renewals for starters - would you still want to bet on gas price staying at $4/GJ?

Good day all....... GB