not a bad week, all things considered., page-8

Hi prosperman

What advice did you receive 5 days before the duster?

Anatol mentioned something similar:

'I lost my belief that there was any chance of gas in Artemis, this was exactly after we had a meeting with JH and other directors in Melbourne.'

I hope you don't mean the MEO management, like anatol appears to infer, because I have not seen a company able to keep confidentiality as well as they did by keeping the identity of PBR under wraps for six months and, more recently, Eni.

In the 8 Dec market release (5 days before the duster ann 13 Dec) the:

* Artemis-1 Progress Report No. 6 *

states:

'MEO Australia Limited (ASX: MEO; OTC: MEOAY) advises that since the last progress report ('6th Dec regarding the over-pressured gas zone), the over-pressured zone has been stabilised by circulating 11 ppg mud and an additional 40 metres has been drilled to 2,976m to enable the zone to be isolated behind 9-5/8inch casing.

As at 05:00 (Perth time) this morning, preparations were underway to run and cement the 9-5/8inch casing.
Current expectations are that drilling will resume on Friday 10th December.

In the MEO threads 10 Dec, when drilling was meant to resume, we were still discussing the over-pressured zone in the Withnell formation as that was the only information released:

* See Post: 6067772 here *

In this post I indicated that the zone was 200-300m above the target area. Add to this the 40m (2,976m as per release) they still had 200m to reach the targeted Calypso and Legendre target areas and 500m to TD (3500m).

10 Dec when the drills were set to start again (as per Report #6 above) was a Friday and the next report was, of course, no HCs 13 Dec.

So I will say it again. Your post just doesn't add up unless:

your knowledge of geoscience told you that the over-pressured zone 200m above the target areas meant gas in the Calypso/Legendre zones was unlikely. But you say you had advice so, alternatively, are there G&Gs in your circle with such predictability?

or

drilling re-commenced prior to 10 Dec and they reached the targeted zones earlier (8th Dec) and you had privileged information, which would be a bit of a worry.

IMO I can't see how they could have known what was in the targeted areas with 200m still to drill to reach the main zones.

But again I am showing my naivety so I hope you can educate me, as this ability to predict would be a useful tool when investing in O&G companies. I think thousands of other MEO investors would also have liked this gift in the week between Withnell and the duster. I am sure those same companies would like to employ those skills as well.

Between the first anouncement of the pressurised zone on 6 Dec and COB 10 Dec 76.5m shares were traded between a low of 46.5c (6 Dec) and a high of 55c (7 Dec) back down to a low of 49.5c (COB 10 Dec). So anything could have happened in that period.

As a LT holder it didn't affect me but when I hear the term advice in these threads it raises alarm bells, especially in situations such as this.

Admittedly we still haven't been given any advice regarding the Calypso/Legendre zones nor the over-pressurised Withnell zone but I am hoping PBR, in their lumbering way, will give us some feedback. MEO is up for renewal this year so perhaps we will have to wait until a decision is made then.

Perhaps they are just keeping the results close to their chest, as majors are prone to do, but I have accepted that there are no hydrocarbons in 360P, up to now that is, and looking at more current situations like the NT/P68 JV with Eni.

Which reminds me ..............

#:>))