Ann: Baleen Tender Program commenced, page-61

Hi Paul,

It was very skillful of DB to get the Feb 21 placement done. It dovetails with the Advent offer which was announced in Dec/Jan and sought $6M. BPH now has the whole $6M covered if needed plus more which is a very comfortable position IMO. Given the works that have commenced since fall into the preliminary category ie well design, tenders, environmental submissions, I would expect the June quarterly to show the majority of the $12M held to be intact. If a CR was coming, it could only be for one thing, and that is to fund the drill which means NOPTA approval was held, NOPSEMA approval was held, and the rig appointed and booked. It is unquestionably premature to be looking at a CR at this point in time on a cashflow basis. JMO.