In my Opinion, we can only really start to comment on the flow...

In my Opinion, we can only really start to comment on the flow rates of shale gas in the cooper basin when we get results back from the Horizontal fracture of Holdfast - in April. You have to remember that the current flow rates from the vertical wells are using a restricted choke; and are really just proving up the Gas Centered Basin; which I would think if they do eventual become commercial wells they would be fracturing both Horizontal and vertically in these wells; hence increasing the overall flow-rates.

Chevron will bring the expertise and capital to speed up the program and flow rates.

In my opinion beach is still under valued compared to it's peers; they have extremely strong cash flows from there current production and which is more than enough to support there exploration and development program over the next couple of years. There is no reward with out risk and that is what the shale gas is all about; they have offloaded some of that risk to Chervon while still maintaining a substantial position and upside if the shale gas is successful, while limiting the capital outlay; and if it is successful which I think it will be, beach will be sitting pretty to supply the LPG export plants over the coming years; the question is for shale gas the cost of production vs the sale price which at the moment looks like it is moving in the right direction with new contracts being signed in the region of $6-9 g. Now we have to get an idea of what the cost of production will be for this shale gas. Which is probably a while down the track!