reserves, metrics and gas prices, page-37

Gday Yaq,

I think what you are saying is largely correct. I dont think ALL the 2C is there purely because of the 'lack of a project'. I would guess that a substantial amount of it is though.

If someone were to bid, then we could expect to see a statement from the reservoir engineers clarifying the conditions and assumptions for ESGs reserve position.

The magnitude of the market constaint would be something interesting to know as this would help scope out current untapped value in the company.

I think with the completion of the feasibility study, in parallel with the pilots, we should see a very substantial reserves increase in Q1 next year. I dont want to talk up ESG too much at present as I have a few sitting on the side looking for a lower entry (you cant deny market sentiment has kicked them in the guts once they broke 83c); but I whole heartedly agree that there is a substantial latent value in ESG which could quickly roar to life.

As a key factor on pilot performance, we should also be keeping an eye on the 1P reserves that are generated.

The marathon runners legs are weary, but he must finish the race. He should not loose focus on what is immediately in front of him.

There are a large number of clues out there indicating crunch time is on us.

SF