Doc and Bellas - There are multiple factors that will impact the...

Doc and Bellas -

There are multiple factors that will impact the share price. I have waited for a long time for this year.

• People need to realize “plug and abandon” is not a bad thing. In the past the share price went down.

• Major investors will be watching the first well in the Browse and will position themselves on the results.

• Positive results in Brazil will help the share price upward.

• Profit taking will cause the share price move around a lot.


That said, IMHO a good first well in Browse will bring the share price up around AU$8.00 with a good first ANN. Should be around AU$10.50 to AU$11.00 toward the end and profit taking should occur before final ANN.

Good results from Santos Basin Blocks in the second quarter will put us up around AU$13.00 and higher pending on the finds.

Gas and oil reserves global should be high at this point. However any major action in national security will push the cost higher. I think the third quarter will cause the oil and gas market to elevate and put Karoon in a good position.

By this time we should have a good idea on Brazil and Browse Basin. I am not including Tumbes Basin at this point.

IMHO a good Browse and Brazil will cause major investment and the share price will be around AU$15.80.

Bob