Ann: Response to Media Coverage - Non Binding Indicative Proposal, page-107

my take on value is up around the 40c mark for Australian assets. i.e. double the MC, and Mongolian assets extra.

Other than Walyering, there is the Condor prospect (and others) - which is getting near 0 value atm (hell even the Walyering asset is undervalued at $10/GJ gas).

Someone asked about play book. Well theres a heap of playbooks - WGO being the key one...and we all know the protagonists and how that played out after the initial STX offer was rejected.

Might be a little different this time, but the chess pieces have been set for a while now and the register looks like a familiar rogues gallery.

So my guess is it will eventually get to around:

• $200M MC, scrip for scrip deal, with the rollover relief cherry on top;
• Mongolian assets hived out; and
• I expect a $10M kicker into the Mongolian spinout (i.e. spinout gets a $10M injection from the acquirer a bit like it gets to keep the cash).

All STX has done is thrown a cat in amongst the pigeons to help precipitate the action.