Ann: WA Commercial Project Site Decision , page-25

Guys, that's right, Tim from CWE told me the 5 MW small scale plant was projected to cost about $36 - $40 million. Its expensive but in the ball park for technology that is ramping up I would guess. I wanted to dig deeper but didn't feel comfortable asking too many probing questions given that I'd been to the stand asking questions three times.

My take on the sentence "Feasibility studies continue on other potential project sites around Australia and internationally and a decision on whether the first large scale commercial demonstration project will be located in Australia is expected soon" is exactly what Jukes is saying - it is a veiled warning that if the government doesn't support them at their early stages here then they may choose to go where the grass is greener i.e. give us the REDP and we will build the 50 MW plant here and you will get the kudos for the (possible) first large scale commercial demonstration wave energy plant anywhere in the world.

I did ask about what would happen if REDP funding was not forthcoming and they did say that they were exploring other options and that they had already rejected offers that would have involved selling off the farm (wave farm?), so to speak. So I guess they are looking out for the best interests of shareholders, e.g. the way the projects will be structured with Investec to avoid unnecessary dilution.

Just on the development path - single units, then small scale 5 MW then scale up to the larger 50 MW - they told me they will be monitoring and learning from each stage, and feeding this back into the designs for the next stage, so this is why there will be a staged approach.

JI, don't forget they will be earning REC's for each MWh of power produced at current spot price (which is hard to find by the way - can't wait till the ASX lists these things). In September just gone REC's were about $37 each which means $1.5 million for 40 GWh. Maybe not much in the scheme of things, but not to be sneezed at. Starts adding up when you scale up to 50 MW. I believe REC's are still valid for the WA grid.

Will be offline until Monday so cheers all.