thoughts on csg and energy for the future, page-34

SF and H,

I went along to 3 Coal Seam Gas AGM's last year 1 for Comet Ridge, 1 for Dart Energy and the last being Westside (WCL).

I also spoke with the EX PES (Pure) Chairman at the Dart AGM for some time.

I spoke at length with Comet's Chairman (ex Sunshine Gas chairman) and Dart's CEO (Ex Arrow Energy) but also the Westside CEO (Dr Julie someone).

There is a consensus with every single person I spoke with that Eastern Star Gas has the best quality independent coals remaining non-contracted and advanced in the industry and the coals are most definitely highly permeable . Too much water is a good problem to have they all said.

The laterals process they use is simply a way of further maximising the "grade" so to speak.

There was continued discussion at all of these AGM's of the excellent quality Gas from the Gunnedah being piped to QLD (This was an industry wide consensus).

The Surat Basin is the 2nd best as far as permeability goes hence PES (Pure) being part of a multi-party bidding war.

When the next phase of consolidation happens, be assured Eastern Star Gas has the best seats in the house. :D