advisory tonight, page-34

Orga, fair dinkum what are you on about:

"blowing roughly $40 million of fund...I stand to be corrected on my figures as they are rough estimates only"

Rough as guts I would say. What has the company spent $40M on:

Paid off debt - $11M
Bought Fort Peck lease 40,000 acres at $200/acre - $8M
SOA 1 - $4M
SOA 2 - $4M
Australia 2 - $6.5M
Gretel 2 - $6.5M
3D seismic at Hawk Springs
WI (about 30%) contribution to final Nth Stockyard wells - Rodney, Earl & Everett - 30% x 3 x $6.5M = $6M?

So what has the company achieved with this money:

1. Debt free
2. Position in 2nd main play - Fort Peck - to spread risk versus Hawk Springs
3. 3D over Hawk Springs identifies more potential in conventional traps like SOA yielding a potential 50mmboe much larger than original Niobrara target with 17mmboe potential (and better IRR to exploit)
4. WI in 3 more currently producing wells in Nth Stockyard
5. 4 development wells none yet declared dusters but all showing oil and providing a wealth of data to set up commercialisation of respective plays

Yep, that was money frivolously spent.

Sharks.