egm + efs#2

I went to the egm, listened to John Armstrong's presentation and had quite a good conversation with John, Des Olling (corporate secretary) and Chris Brown (RBS analyst).

The primary questions were:
1) what are the intentions for the extra cash?
2) Are any more capital raisings forseeable? &
2) why haven't the results of the second EFS been released yet?

The first - was answered largely by the presentation that was announced to the ASX this morning. John went through that in detail - and while it was interesting he didn't add much that wasn't actually in the announcement. Oh .. except that Scarborough is not currently built into any of the production budgets for later this year. ie if they hit what they think they're going to = nothing but upside.

The second - John answered (and I paraphrase) - Its not forseeable for normal business but if a land owner with 1/3/5000 acres of nearby Wilcox/Olmos/EFS leases came to them then they'd have to consider it to buy the leases.

And thirdly - the one everyone wants to know .... where is the IPR from the Teal EFS? John answered that "a compressor needs to be re-attached but that the well is currently flowing" and that Dave thinks that results will be issued before the end of the week. He added that the results appear comparable to the first one with a similar setup.

I didn't get the chance to push on the comment about the compressor and ask for more details but he sounded very relaxed about it.

I wondered if they're going to line up those results with the release of the new shares which from memory hit the market on the 14th.