Ann: Corporate Presentation-BRU.AX, page-32

I have to agree with you WN.

I am totally and utterly flabbergasted in regards to the conventional oil. Just near Ungani we have 34 'high quality prospects'. Yet we have a $9m free carry from Mistubishi, which for the first time I can think of, is clarified running out at the end of this year! WTF. So we are just going to let it go? No explanation, I mean the Ungani field is huge, yet we still have not drilled another well on it for 3 years to better define it, plus ensure that the next production hurdle is reached to allow BRU to access the next $9m free carry (3k barrels per day). Its god damn insanity. We also could have drilled another well on the Ungani FW oil discovery and fully test the production capabilities of the field. I mean in the presentations, it admits the well costs are low!

Now I will temper my frustration with what Eric and his team may be able to do with the carry, perhaps they are renegotiating it to simply get paid out, like Apache did with the coastal permits. However, they are running out of time. Or perhaps as others have mentioned, perhaps the $$ can go towards BRU share of any infrastructure to do with the field. But then if it runs out in 3 1/2 months....

As for the crap about very little drilling happening across Australia, sure that is true, but then no other Australia company has such prospective conventional drilling targets. I mean, BRU has discovered a 30+ million barrel field with potentially 20m barrels recoverable. Its a huge find. If he is tired of drilling, talk to REY, they have almost unlimited funding, do some J/V on individual wells. Whatever it takes to get wells drilled. As we are growing older with no reward in the SP.

I will continue to give credit to BRU for getting the Noonkanbah mob onside. Its a huge milestone and if as they plan to do, prove up more TCF, then the Laurel project will go ahead and BRU will become the monster it was supposed to be. As slide 21 shows, BRU is the logical spot for the Australia gas grid to be fully connected from coast to coast, and to provide gas in both directions. Plus they could eventually supply NTs LNG.

In the end they do have a limited budget, and by March next year, I estimate that after paying the $12.5m debt repayment and admin (no other costs as they are doing nothing), they will have $22m to use for the 2017 program (although they will drill something before the end of this year???). Sure, dilution is never good, but then, doing nothing and spending $1.2 a quarter is nothing to put on your resume either.