first target $1.35, page-11

From my experience, news, time, market strength/volatilty and brokers drive share prices in emerging stocks that do have a good story, Positive News flow price increases in an emerging stock is quickly eroded by lack of news over time and fluctuating markets, brokers recommendations are quickly ignored when lack of news over extended periods sets in, plus we have the potential impact of variable sentiments in the markets, pullbacks in these periods are usually buying opportunities.

At the moment most traders are aware that there is a possibility that ESG could be taken out, however that, in my opinion is only a partial speculative influence at the moment, remember that we have slipped recently to 64c knowing the Santos position, the big attraction at the moment is that everyone is aware that the data for the last 4 months has been stacking up. The data at Christmas confirmed what the market had been waiting for and we saw a sharp rebound, only to be eroded over time with negative sentiment setting in around the CSG sector, until we had more NEWS around the AOE takeover, NEWS of more deals helped the sector along, broker and resource upgrades also helped.

Right now we are waiting for the NEWS on the accumulated data from pumping since christmas and if the flow rates continued as per plan, I think we are in for quite a surprise when the upgrades are announced, linked with the pace of accumulation for these quality gas assets and subsequent deals, it will be the catalyst to take ESG to a new level, where we will sit until major MOU's are announced or a takeover launched. It is very strange how quiet it is on this front, I am sure a strategy from management is in place with regards to current activity and interest from some very large industry players.

Everything is in place for a strong increase in share price, unless of course if we see world bources tank, but we have seen that come and go in mammoth proportions in the last 2 years, and here we are again at the 1.00 mark which seems to be the level where most punters are happy to sit and wait it out for the impending news to take us to the 1.35 level and beyond, however remember past exuberances that were quickly evaporated within time, market sentiment and lack of news flow, hopefully those days are behind us,
ALH,