bpt is the best partner you could ask for !!, page-14

Hi tui,

I've only been there once (both islands) but would love to go again - it's such a long way).

There must be a lot of similarity between the compliance requirements in Oz and in NZ. But to prepare a prospectus for the UK would be too expensive and they would have to prepare a prospectus for every other major country in which their shareholders reside. They'd spend most of the new capital on compliance. Just one of those things. It's nuts that an existing shareholder (assumed to be fully aware of the risks etc) cannot subscribe for a rights issue (CLOSE EQUIVALENT).

You might have noticed discussion on the AUT board of the valuation of the EFS suggested by its broker. They are talking of between $130,000/acre to perhaps $180,000 per acre. That is for AUT's blended interests.

STX's interest in Fayette has still to be tested but the company says that it is centred on the condensate trend and STX's neighbours, GeoResources, are fraccing 4 wells.

I did get to see some data on their Flatonia E wells (see link). The unit 2 was 4,800 ft long, had 14 frac stages (GeoR will be trying a new design) and it flowed 1,242bbl/d + 480 Mcfg/d through a choke of 16/64 maintaining a well pressure of 2,850 psi. They then choked it down to 10/64 and produced 495 boe/d for 12 days - they were flaring the gas, so could only test at that time. The condensate ratio was about 1,250 bbls/1mmcfg.

http://www.georesourcesinc.com/News/070611.html

Production has tailed off somewhat but their comment on frac designs suggests that their fracs clogged up for some reason. The sudden tightening of the choke also suggests that they sensed something was going wrong. But it's worth watching their operation reports because they should be indicative of the potential.

They are shown in the STX AGM presentation, labelled as "Southern Bay", GeoR partner.

That acreage could be worth a serious amount of money.