something to ponder

so ctp has a prospective cbm resource of 34-70tcfg at their pedirka basin tenements. the drilling to date has proved up considerably thicker seams than was used in the modeling to arrive at the 34-70tcfg so there is significant upside to these quoted numbers and an updated prospective resource figure may be announced in the new year.

there is much to do but here is something to ponder and is it any wonder british gas have bought into ctp's tenements via their takeover of pxa.

Commercial considerations

* TCF - trillion standard cubic feet (1,000,000,000,000 cubic feet).

* 1 TCF equals approx 20 million tonnes of LNG.

* Australia domestic consumption is approx 1 TCF per annum.

* USA consumes 23 TCF per annum.

* I International gas/LNG prices are approximately two to three times higher than the Australian gas price,
ie. A$4 billion per TCF versus A$8-10 billion per TCF for long term contracts.

* I International spot prices are usually a lot higher.

and some recent sales

LNG SALES AGREEMENTS

2007, Woodside signed a Key Sales Terms Agreements with the Chinese for approximately 2TCF at a price of approximately A$9-10 billion per TCF for delivery over the next 20 years ex. Browse Basin.

LNG SPOT SALES AGREEMENTS

Oct 2008, Chinees buy Algerian LNG Cargo at record price to boost supplies. US$20.43 per million btu
(Source; Bloomberg, Oct 2008) (US$20.43 billion per TCF).

cheers