I should note that the 4.5BCF/km2 figure is based on 10m3/t and...

I should note that the 4.5BCF/km2 figure is based on 10m3/t and a productive seam 10m deep.

At the Tavan Tolgoi mine there are a number of seams with a total thickness of 80m, the thickest of them is seam 8a which is >35m thick. The gas saturation also varies from a low of around 3m3/t to a high of circa 15m3/t. The proven seams have a gas composition that ranges also but generally around 93.3% methane.

Worth noting that not all gas in place is recoverable with around 80% of gas in place generally being unrecoverable.

This in mind 4.5BCF per km2 points to a recoverable 0.9BCF per km2 therefore at $6m per BCF there would be $5.4 worth of recoverable gas per km2. The higher the porosity and permeability the larger an area each well can access. The cost to drill and complete a CSG well for production in QLD is now below $1m, when the projects began it was several million but over time the design has been optimized to improve profitability.

A pipeline to link the project to the Chinese gas pipeline (sales point) would need to be around 400km, similar pipelines were built as part of the QLD LNG projects and cost around $1b each. This in mind the there is a certain scale required to justify. IMO EXR will need to prove up around 500-1000 km2 of the 28000 km2 for a project to warrant a pipeline to China. Should they do this then it's a project of global scale. That's the target. It's not a question about if the coal is there, it's not a question about the gas saturation etc etc, the question is how much gas can they get from each well and over what area.