Summary of BRK, page-131

Firstly, we all know (as per yourprevious posts) you sold out and have been salty ever since as you missed the run. Have had an axe to grind ever since which is sad really.

Anyhoo:

BRK raised US~$6m not US$5m (minor detail but still)

The $US6m can be recycled over and over to develop the additional wells. (as well as the $$ from the options you mentioned)

You state Jewell will be 35% for BRK? Point me to where I can find this info as it certainly wasn’t announced.

In a few years, yes the well will decline, but you neglect to mention the initial production. If the well managesto pay back in the first 12 months, the following 12-18 months would be a few million returned into the coffers then a healthy return for the following years after.

With regards to your point about shale wells being more suited to landholders or wealthy private investors due to how marginal they are, tell that to the majors playing in SCOOP/STACK whom of which are making exceptional profits in the current pricing environment.

The debt interest you mention can now be taken care of by the STACK WI wells of which are on nominal decline and have cash production costs of less than US$8 per BOE. BRK solely owns these well WI’sand all of their associated production after buying Merchant out.

The return from Jewell and other DSU’s will allow BRK to go after more parcels of land aggressively. They have been running on the smell of an oily rag trying their best to compete with the majors on a shoestring budget. (and have done rather well considering) Imagine what they can do with some decent $$ behind them expansion wise.

On top of the above, BRK holds a 50% stake in Black Mesa – the partner company making this all possible. Their value is unknown but fair to say it would be substantial.

The potential growth for BRK is massive now that the first DSU is underway.