12 dollar gas, page-8

Don't have much time (hence my lack of posts lately on anything) but will give a brief reply:

##Safe...? maybe unless they inflict another ARW style ****up on the shareholders##
There is risk in anything. Hence my "safe" comment does not mean risk free. But falls well within my risk parameters: I like the products - oil & gas - and their outlook; I like the cash flow generated - albeit as per previous posts some time ago would like a portion directed to shareholders; safe operating environment; IMO over the next couple of years there is more upside potential than down.

##How much did YOU lose in that one [ARW]?##
None, except defacto through AMU.

##Profitable? Not in the last 3 years.##
Healthy cash flow.

##So yeah you're right I should find somewhere else for my cash, somewhere I'll get not only a return but communication fromn the Co, dividends, maybe even performance from the executive.##
I'll leave that to you. However, I assume you are at least mildly diversified. Meaning in amongst the good there will be the odd dud - as AMU has been for any holder over the past few years.

##Perhaps I'll get lucky there might even be another oil and gas Co. listed on the ASX that outperforms AMU.##
The lower risk approach is always diversity. If someone likes oil / gas, buy a couple of holdings rather than 1. That way, in all likelihood there would have been 2 screamers and one dud (AMU).

##Just so I dont feel too stoopid.. why dont YOU do a 3 year Market Cap comparison of AMU against .. well virtually any of its peers?##
Did that ages ago - and assume it hasn't changed. Not pretty hey. Even most "average" performers like ROC haven't done as badly as AMU.


I'm not going to argue the rights or wrong of the SP over the past few years. Or whether they should structure their drilling reports differently, or what they should or shouldn't put in announcements. Overall, I'm comfortable with the information I have, and from the couple of times I've either spoken with GT, or emailed him, have no complaints (except once when he didn't return my email).

All I think is that at current levels AMU is a good opportunity. Maybe in 3 years time I'll be proven wrong. Maybe I'll be right. Only time will tell.

Cheers ... MJS