vcubitt: It seems as though you have by passed my last post. So...

vcubitt: It seems as though you have by passed my last post. So here it is again.

Although I am not privy to finer details, I have listed below some of the funding offers which were considered by the board of Mec & Advent, which if accepted would have avoided the need to transfer 60% of PEP11 to a shelf company RL Energy Pty Ltd, which controlled by Greg Channan, a member of the board of Advent.

1. A funding offer from a USA entity. This company was a well-funded and highly experienced US hydrocarbon group with diverse skill sets, and wide operational experience with modern technology applications. Proof of funds was provided by this group to Mec and Advent Directors.

2. A further initial proposal for funding of $700,000 was put forward by BPH Energy to fund the PEP11 seismic 2D program. This was done in conjunction with a funding from the specialist US based group.

3. $5m of immediate funding, subject to board changes in Mec, with the installation of a neutral board. Drilling was an immediate objective in PEP11 at the Baleen drill target.

4. A further funding proposal was subsequently made under a Confidentiality Agreement. This offer was based on Advent initiating an immediate drilling of PEP11 after the current planned 2D program at Baleen offshore NSW.

Any questions regarding these funding offers, the reason for their non acceptance, and why RL Energg was created by a member of Advent board to fund the project, and in turn receive 60% of Mec's share in PEP11, must be directed to the directors of Mec. Not myself.