Unless a portion of northern ep112 can be negotiated back to the...

Unless a portion of northern ep112 can be negotiated back to the company, our progress has been cramped by the santos jv in the sense that the envestra pipeline from our recently acquired palm valley field run almost directly across the waterhouse prospect (rated as a 2.7tf prospect) and would require very short connection to that pipeline. Although the prospect has been drilled 3 times, none of these well penetrated the target formations. Even if it was found that the prospect is of smaller size or ability to deliver large flows, the infrastructure for connection is economically close by and would therefore eliminate the problems of getting large discoveries to market in our sparse acreages. Further comments please....