>Yes, saw ir but is old news based on comments made about Exxon using their expertise in hungary. That died a painful death a couple of weeks ago.

Not so ‘Fast’ Eddie. That chapter hasn’t been written yet.

The Makó gas exploration on low flame.

Andrew Bakos

2010.02.24. 07:27

http://www.delmagyar.hu/mako_hirek/takareklangon_a_makoi_gazkutatas/2143365/

Makó – According to Falcon, the more than 75 billion HU forint spent thus far on the Makó gas exploration was not a waste of money. The Canadian company, abandoned by ExxonMobil and MOL on last Friday, does not give up the research, and is seeking new investors.

- We have plans for this year and we continue the stratigraphic examination – said György Szabó, chairman of the board of directors of Falcon Oil - in his reply to our inquiry about the method of further research. The company never had been in such a difficult situation, at least not since it began its unconventional gas exploration in the Makó trough. As both business partners had left on Friday, first ExxonMobil then immediately after that Mol has announced that it will not pursue its research; following the news Falcon’s stock value dropped 25 percent. ExxonMobil spokesman, Patrick McGinn referred to "disappointing results”.

Originally, Falcon, ExxonMobil and MOLhad plans to start production in 2012 All together the research have cost more than 400 million dollars, or about 75 billion HU forints. In György Szabó’s opinion, it can never be said this would be a waste of money. The exploitation of non-conventional gas fields still is in its infancy, and the research that took place in the Makó trough was also a scientific research.

This is the answer to the question on how one company can find the research worthwhile, while the other is not:

-The Financial Times had it right when they wrote, this case proves that the giants are not suitable for unconventional research - says György Szabó - Result from this type of research may not come on scheduled time, therefore you cannot plan in that manner.

There are interested parties in our program, and I am confident that we can conclude a deal, because the work we've done is well-founded, well documented, and continuable.

Szabó makes no secret of his disappointment. When Falcon has entered into the agreement with ExxonMobil, he and Mol’s management expected from the Americans to bring their technology, but this expectation was not met. In November, it could have been imagined that ExxonMobil may terminate the research and production contract. Then Falcon’s chairman of the board Szabó began his discussion with MOL, Szabó offered to launch a joint research program. MOL would have had 30 days to consider the offer following the ExxonMobil announcement, but immediately withdrew its co-operation on the same day. On Monday, MOL gave MTI its reason for the decision “while the partners found hydrocarbons in the central part of the basin, but the gas commercial and economic exploitation has low probability."