Ann: Trading Halt, page-108

The update will be about Prospective Resource, so P50 is the figure to look for firstup.

To get an apprx Net Risked/unrisked value, u need to apply a risk factor (aka CoS), 50c/GJ In Ground Value, Net equity & then divide by SOI (~1820mil).

So for 1 TCF u get a net risked resource value of 1.8c/sh, which is where the SP is apprximately. That's how the maths works (just cross chk the shares on issue to get an exact number). Just dont use a fanciful $5/GJ at this point in time, as its just a Prospective Resource which is yet to b proven by wireline logging & any flowtests which is why the CoS comes into effect.

They'll have to do a production test at the end to confirm the gas in the main Channel sand. TD should b in the Quartzite Basement with 2 to 3 sets of casing strings planned as they drill to TD (ie 13", 9" & possibly 5.5" dia casing).

What they r looking at on the seismic is a paleo canyon with stacked sands. Each sand body should have it's net thickness estimated alongwith average porosity, gas saturation, recovery factor & most importantly the overall Areal extent in acres. That's how it works.

Hopefully they'll have the mast up on Rig #5 for spudding the Top hole section at Borba (formerly known as 'Anzus') before running in the 13" casing around 1800ft depth.

Safe drilling & GLTA.