worth a good look, page-4

Ozgem, I did some further research overnight. The ABN Amro Research Report on the AMU website, estimates cash flow at $24m for the current financial year. This has got to be way off the mark.

2007 ebitda prior to non cash items was $32m for a start, and oil prices were depressed during much of 06/07.

Their report states estimated oil production (07/08) at 528000 BBl and 1377 mmcf of gas, for total revenue of $55mA.

Well, oil production was 591000 BBl in 07 (up 23% from the prior year) and 1400 mmcf of gas (up 29% from 07). They invested $15m in exploration in 06 and $18m in 07 and are investing well over $20m this year, so how on earth can production go down. Moreover, they use $A oil at $79 (currently $94).

I suspect production will be close to 1m BOE in 07/08 and at even say $85A (90% of current prices), that would mean cash flow closer to $50mA.

Given their strong exploration focus, and prior success record in this area, the possibility of continuing maintainable earnings from their operations seems highly probable to me. I like you am buyng on the dips. I see oil is predicted to go to $100US in the near future.....something to do with Turkey and Iran