Thanks for the analysis ronstieb. I would have thought $30US/bbl...

Thanks for the analysis ronstieb. I would have thought $30US/bbl is ok given that all or our 2P is actually on production, so there's (in theory) minimal further capital outlay required to monetize it, just operating costs. Really these could be called 1P reserves. This is a fairly unusual situation among O&G producers - is there anyone we could compare it to where all their 2P are on production? I was happy to buy in at this price per barrel.

Was a bit concerned to see we've lost an offtake for 2014, galoc not quite performing upto expectations. Gregor was adamant in his recent BRR interview that the important thing was his 'commitment' to 11 offtakes for 2014. That's slid down to 10 in this presentation - with no explanation. I can only assume Galoc has declined faster than they would have expected - which could prove a threat to reserves once they get enough time to properly review it. I love the disclosure from this company, not many others will present their field decline curve.

Still even if Galoc's a little bit under, its still producing good cashflow and looking forward to spending some of that at EARS or Hawkeye!