Ann: LNC Quarterly Report and Appendix 5B , page-7

Benny,

Still have the dummy, just venting a little steam. I saw great potential in UGC-GTL, but I knew it would take money and time, I was patient. When EOR came into the picture I was over the moon, I saw it as one of those rare moments in time where lunch was actually going to be free. So easy, just buy some depleted oilfields near your already owned coal tenements for peanuts, continue your already in train development of the UGC, where the licences were suppose to have been issued in the first quarter, and let it all happen.

To me this was the core business. Qld is dead, just used for devlopment, SA oil is a long shot that does not cost too much, Walloway basin coal has geological problems, so is on the back burner. Alaska coal has good potential, but is behind Wyoming. Alaska Cook inlet gas is a long shot and Alaskian oil, Unimat, is a fight against time and will take a heap of money. The TAPS pipeline needs to keep above minimum flow (300,000-500,000bpd, or it is shut down and dismantled. The Unimat oil will be good for it, not only as volume, but it is light oil and will act as a dilutant to the heavier crude from the North Slope and lower the pour point. This is why the Alaskian govt is willing to throw money at Linc, as they know, produce the oil now or never.

Anyway back to my main point, in my opinion Wyoming UCG-GTL-EOR is the most garrenteed path to short and long term success. Wyoming's actual oil production, one of Linc's few sources of income, was not even mentioned. Which makes you wonder what is going on? Maybe they plan a whole report just on Wyoming.

Lets hope.

Dicko