change of director's interest notice ..., page-26

I will try my best on a couple of things with what I know.

The well head is not part of the drill rig, it is a cap for deep wells that seals off the hole to stop gas leaking out. The hole I believe still sits at 1000m at the moment (can't remember if I contacted company for that or read it somewhere), was at 700m when they stopped and moved onto that first contract. I would think that the first major contract will be the prove to further customers.

The extra equipment would be mud pumps, mud mixing tanks, cranes, vehicles, accommodation units, offices, spares, tools that would be required for any drilling services. Not just oil and gas. My guess is that would all cost around $5m to $6m which is why they would have raised $10m. Some left over to pay Nanne?s salary!!

Been researching this company for a while and know a little bit about drilling.

The biggest market by far is the volcanic geothermal market which is mostly a 2,000 to 3,000 metre depth requirement. Heaps of demand in Chile, Indonesia, the Philippines, and every remote community that is burning diesel to produce power. Because of the size of the GT3000, and terrain could be the only option for a few of those places.

Every geothermal company with tenements in Australia is on a time frame to drill holes before they lose their tenements. There is only one rig in Australia other than the GT3000 that can drill a full depth geothermal hole to 3 - 4,000 metres (Weatherford?s rig). From the info we have been hearing the GT 3000 is a heaps cheaper as well.

I have called Warren a couple of times, he normally answers most of my questions within reason.