A Recent Report on Shale Plays:(October 4, 2012)

The following paragraph verbatum:

"Within Australia, there has been a rapid expansion of E&P's which are pursuing shale opportunities. Santos
is the largest company given its dominant position within the Cooper Basin. The next largest company is
Beach Petroleum, which is the only other E&P in the sector over AUD1bn which is targeting shale. Adding
all the companies together, the total market cap of the Australian E&P shale sub-segment is A$5bn.. In terms of acreage and valuation – there are a large range of values and acreage positions. Acreage ranges
from 1-14MM acres and valuation ranges from < $A100/acre in some of the frontier plays to greater than A$1000 in some of the more established plays in the Cooper Basin..."

If we attribute all of the current cap of PFC as being land then if we divide by its 14Million acres, we have a value per acre of $3.96.................this is a long ways away from $100/acre or even @20/acre....

With such a cushion for value, StatOil should be very happy with its deal. The upside here is monumental and patience is a key ingredient and the muscle of StatOil will make things happen big time.