agm presentation, page-19

Sifting through our Chairman's Address, these are my observations only.


"It has been a challenging year for Nexus, as can be observed from our share price performance."

Interpretaion: Just in case you didn't think l cared or noticed.

Chairman:

We felt the full impact of the global financial crisis in October last year with the unexpected late
withdrawal of the purchaser of a 25% interest in the Crux liquids project. Trying to execute an
alternative sale over the past twelve months has proven difficult given the general market
conditions; however, the board believe that the outlook has started to improve".

Interpretation: How bloody hard has this been? Reckon l'd sell ice to the Eskimos faster than this. Outlook can't get any worse.

Chairman:

"Our asset base of a 100% interest in Longtom, and 85% interest in Crux,
representing reserves of 120 million barrels of oil equivalent, is the same today as back in mid
2008 when the company’s shares were valued at over $1 per share".

Interpretation: Ah yes, we were so well thought of then. Those were the days! Do we have a credibility issue these days?

Chairman:

"In March this year, the board made the necessary decision to place the company into voluntary
suspension while we worked to restore our financial position. Throughout this period we
renegotiated our contract commitments, sold our equity in exploration permit AC/P41 (which was
considered non-core) and implemented cost cutting at all levels. The company emerged from this
period in late May and has since been solidly focused on delivering the Longtom gas project,
which we have now done.

Interpretation: Thank God for that, thought we were screwed!

Chairman:

"We, being the board, the executive and all staff accepted the harsh challenges presented to us
during the financial year and have got on with the job of restructuring to both get through this
period in one piece and to focus on stabilising and rebuilding Nexus with our strong asset base
intact".

Interpretation: Not the only thing we're lucky to have intact.

Chairman:

"As we have reported over the past few years, substantial engineering work has been conducted
on the proposed Crux liquids project. On the back of a Field Development Plan issued to the
government, during the financial year Nexus was awarded a Production Licence over the Crux
asset. Given we already have all the necessary environmental approvals for a field development,
the award of the Production Licence is the final regulatory approval milestone to permit project
sanction.

Interpretation: So what the heck is stopping a suitable partner?

Chairman:

"In summary, yes it has been a very tough year, but we are now in a solid position with production
from Longtom and sufficient funding. We have globally attractive assets with substantial reserves
and a highly capable and dedicated team of individuals all focused on delivering value.
I would like to take this opportunity to thank our shareholders for their support, and also our staff
for all of their hard work".

Interpretaion: Yeah, this should get me outa here in one piece, and would someone bring on the new year! Not sure about how IT's gonna fair though?