JSX management is encouraged by the excellent progress being made in negotiations with a strategic partner to explore and develop the Mae Sot basin. The lawyers involved believe they have successfully addressed all relevant legal, financial and tax issues, confirming that JSX will retain full use of its $25,000,000 “tax pool” during the first 10 years of production under the proposed structure. Final meetings between the partners and the Ministry of Energy are scheduled for Wednesday in Bangkok and management is confident that an agreement can be reached.
In the meantime, work is proceeding on schedule, with seismic reinterpretation expected within two weeks and environmental planning well underway. The Company has also met with several drilling companies and is confident that drill rigs and other equipment will be available when required.