OSH A TARGET, page-3

Hi Lash
This rumour has been floating around for sometime. I spoke to the company today to find out what was happening and why the announcememt was released the way it was. I mentioned the rumours going around and about Santos possible takeover. He wasn't able to disregard this so this option is possible. Brokers have stated in reports on Santos that they need to grow their business, a report put out by Bell Potters a few months ago. OSH stated the PNG government agreement will be signed this week. When I spoke to the company they said this will still be the case. They are talking to their customers about the supply contract. AGL has committed to 30% takeup for 20 years, and there are others they are working with. The 2006 target date advised for the gas pipeline will take 3 years. I asked if this is the case OSH would need to finalise the deal by 2002. The company stated this would be the case. Hopefully we will see a better announcement this week.