Given the volatile nature of PNG politics re: Interoil's Gulf...

Given the volatile nature of PNG politics re: Interoil's Gulf LNG project and assessments re: recent developments concerning this project as well as the lack of authoritative statements allowing a better understanding of where this project is headed and the extent to which EWC will be able to proceed with its 3mtpa LNG and captive power plant, the following comments from the Yahoo message board seems to me to allow some clarity and confidence that all will end well. As I mentioned earlier, EWC is also of the opinion that Interoil's search for a new strategic and equity partner will not adversly affect EWC's 3mtpa LNG project.

13 Oct 2011

I have confirmed that IOC has hired Gaffney Cline & Associates to perform its 3rd independent reserve report of ELK/ANT.
This report is to be completed end of this month so as to give bidders plenty of time for review prior to bid deadline in first week in December.

I have also confirmed that, after submission of final bids in first week of December, bidders have ONLY to December 31 to reach FID!!!!!!

That's obviously a very tight deadline!

December will be OUR month: Drill TRI, Fids from MITSUI, EWC, FLEX and FID from our new partner!!!!!!!!!!!!!!!!!!!

Think positive. We will be rewarded.

MS