in a position to affect shareholder returns. It is intended that participants will generally comprise the senior executives and a small number of high potential middle managers of the Company.  percentile, no award is made. A proportionate award is made for performance between the 50th to 75th percentile and the maximum award is made for performance at or above the 75th percentile.  the issued capital, as approved by shareholders at the 2000 AGM.  The following persons were the six executives with the greatest authority for the strategic direction and management of the Santos Group (“Specified Executives”) during the financial year receiving the highest remuneration:  In relation to the current financial year, awards may be taken only in the form of shares pursuant to SESPP or, at the election of an executive, options pursuant to SESOP, details of which are described in Notes 18(c) and 18(d) of the financial statements. In future periods, awards may be taken in the form of rights over shares pursuant to SESPP or options granted under SESOP, at the election of executives.  Rights to shares and options are granted at no cost to the executives with the number of shares awarded being determined by dividing the amount of the award by the volume weighted average price of the Company’s shares over the five business days up to and including the award date. The number of options awarded is of equivalent value calculated by an independent expert based on an acceptable valuation method. The exercise price of the options is the volume weighted average price of the Company’s shares over the five business days up to and including the award date.  All Specified Executives are employed by the Company.  The Specified Executives are entitled to a termination payment in the event of termination of their service agreement by the Company without cause. They are entitled to three months’ notice, excepting for Mr P C Wasow who is entitled to six months’ notice, or payment in lieu of that notice, plus three weeks for each year of continuous service, pro rata for part thereof, and capped at a maximum of sixty-five weeks of total fixed remuneration, less notional value of superannuation for that period.  The Board intends that LTI awards be made on an annual basis using a three year measurement period for the applicable performance hurdles. However, the Board reserves the right to suspend or modify the LTI program in light of circumstances appropriate to the Company from time to time.  The maximum number of shares that may be issued under all of the Company’s executive and employee share and option plans cannot exceed the limit of 5% of Company performance is measured over a three year period based on the Company’s Total Shareholder Return (TSR) relative to one or more comparator groups as determined by the Board at the commencement of the performance period including, without limitation, any combination of the ASX 100, energy companies in ASX 100, the ASX Energy Index and international E&P companies. If performance is below the 50th Having regard to contemporary best practice, the LTI program is designed to drive superior executive performance and to reward only superior Company performance, linked to an appropriate performance benchmark. The benchmark assesses actual Company performance in terms of long-term comparative growth of the Company and resulting shareholder value.  The rules of the SESPP and SESOP were both approved by shareholders in 1997 and again in 2000.  The amount of the award, and correspondingly the proportion of remuneration at risk, varies between executives according to their respective levels of seniority and responsibility.  Options and rights to shares issued under these Plans to senior executives are linked to the longer term performance of the Company and are only exercisable following the satisfaction of performance hurdles that are designed to maximise shareholder wealth.  Name Position Gouadain, Jacques Elie Vice President Geoscience and New Ventures Moore, Paul Derek Vice President Development Project and Technical Services Wasow, Peter Christopher Chief Financial Officer Wilkinson, Richard John Vice President Gas Marketing and Commercialisation Wood, Bruce James Vice President Strategic Projects Young, Jonathon Terence Executive Vice President Operations Annual Report 2004 38 (c) Specified Executives of the Santos Group