Ann: Strong Gas Flow Testing Confirms Borba as a Producer, page-230

The Market won't acknowledge the value of the Canadian oil assets until there has been one or two quarterlies which show evidence of positive cash flow at the company level.

The increase of the POO has been very fortunate for the purchase however North America is an extremely competitive oil investment market with a multitude of deep pocketed private groups that invest in distressed assets.
Blue Sky will not have been the only one that ran the tape over the Assets.

Blue Sky made the purchase and on sold part of it to SGC and XST at a higher price.
The assets have to produce decent cash flow because at the end of the life of the field there will be remediation costs.
It strains credibility that SGC and XST have been handed a machine that will print millions which they bought for a pittance .
GJ has a history of making outrageously extravagant statements to try and boost confidence in the business that events have proven , at least to this stage , to be false.

The proven shallow zones in Dempsey will pay for the well even if the deep zones fail .
Borba is Dempsey on Steroids .
The Sacramental Basin is the Perth Basins Big Brother .
(Yes the Sacramental Basin has produced a lot in the past but not from the deep zones that SGC has been targeting , the shallow fields have been well picked over )
"Sagasco is of the view that the size of the prospects in California have the potential to supply domestic Californian gas and export LNG markets ".

He is a genuine believer in the prospects and owns a good slice of the business and he has not sold shares but he has not had too many wins so far.

If he is proved right a potential bonanza but the big deep targets are now looking very risky to me.