Banter and General Comments .. BRK, page-8314

DP’s loan covers ~90 million shares from memory. He had 20 million and was granted another 70 million at the 2021 annual meeting. All other shares were paid for personally and in his super fund except ~2.5 million granted as part of the management incentive scheme . He, along with Gracjan will almost certainly receive some more incentive shares this year.

Don’t get me wrong, I am just as disappointed about the share price as everyone else. Apart from a few individuals ( 2 for certain who are in the T20 where I used to be until the options were converted so I was leapfrogged by ~6 or so) I have more at stake in this company than anyone else here.

I have been investing in oil and gas stocks since the 1980’s with both success and failure, and in all honesty can say BRK’s share price response has been the most perplexing and frustrating of them all. I can say the success came from companies that grew a
organically, or purchased development projects at the low point of the cycle… and all the failures were due to debt.

There is a lot of derision towards DP because of the Red Fork failure which is understandable because many people, including the Packer family lost money… but show me a successful person who hasn’t failed. If the person you back has never failed, there there is a good chance you will be in the venture that does. If you fail and don’t learn your lesson, you are bound to repeat
your mistakes. DP has learned the lessons from RFE… some of the same folks are still there ( most of the Black Mesa team for example), but the structure, the business model and the geology are completely different… I would argue most of DP’s detractors who cite RFE as a reason why not to invest with DP don’t know, or don’t care that he has learned from that disaster, and applied those lessons to BRK . Ultimately it will
be their loss, but in the meantime we continue to feel the pain of the huge disparity between shareholder value generated by the company, and the share price to reflect that value.

I didn’t put up all the DP share purchases, just a few to show he had purchased a single share.

My point is back criticism with fact, not just unsupported opinion… DP and BRK are far from perfect. Some communication is confusing and can lead to more questions than answers . Some of that is due to the competitive nature of what they are doing in Oklahoma, some is because they have to be general, rather than specific in certain aspects, like giving monetisation details . Much of it is they just could do better.. I would love to see a detailed presentation on the SWISH project for example, with enough detail to explain many of the questions that repeatedly get asked.. comparing the acreage to other locations in terms of productivity, potential etc

There is a certain trust factor , the WA click perception, the penny stock which are all drags on the company… the board needs more independent directorship, and there will be a few ESG issues that (apart from share price/ market cap) that will deter institutions from investing.

Criticism of BRK and management is important and necessary, especially when it is backed by data and facts as we all learn from that.

Cheers

Dan