granted extension to pep 38238, page-3

Hi

The extension of the permit has implications for more than CSG. The company was facing a drill or drop decision on its deep Whitestone prospect by 30 September. This prospect was estimated to have about 150 million barrels of oil in place. The work programme now has pushed that decision out until January 2011 giving it two more years to find a farminee.

Also regarding the drilling, unfortunately the weather has been so bad in Southland that it was impossible to even shoot seismic data, let alone drilling.