ash creek npv, page-12

Dear Bignote, and others please add to this, but the problem with the P1,P2 and P3 scenario is that the oil wells that ELK has are all P3 at the moment as they need either chemical/CO2 flooding for them to be productive. By making them productive they move to P1, producing. Ther eis no P2 stage for ELK for these deposits.

Thereby lays the fundemental value issue as people are using the traditional valution approach on these hence the low SP. Once the flooding occurs, and if I where running the company I would look at shannon as the chemical flooding being the smaller and more easily funded project to get a major boost in revenue to then fund Grieve.

as to the chemical versus CO2, chemical is a very proved technology. This is not new and has been around for some time.

ELK has the options now which are a good bargining tool.

As to why there is no news, that I cant answer. The only positive is that 'spikes' are not created allowing traders to take advantage to make a few cents hear and there and thereby not causing false starts for some and the bad feeling following.