natural gas up to $us 7.62, page-9

re: gas up ... no hedging or debt Hi Guys

Didn't catch the thread until late. PSA has no debt and no contracts or hedging requirements. Not quite sure how the sale price is determined ie. whether on a daily basis or not (suspect this to be the case). Price is the Henry Hub price which is not too different from the cnnfn's posted daily prices. So what they get for their 19.5 mmcf pf gas a day goes straight to the bottom line less 50 cents a thousand cf for production and freight. First cheque from West Cameron should be received at the end of this week. With funds from Ship Shoal, revenues for five weeks should be more than $A 4 million. Been pressing the company to announce the receipt of funds but they seem reluctant to do so. Pity would silence the sceptics and give the sp another kick along. See Quentin Cameron has PSA as his top bargain of the week again this week. That's two issues in a row he has given them top billing. Next announcement should be annual accounts in mid March.
Been wondering if anyone might cast an eye over them but see CEO has 25% of the shares and ANZ Nominees about 15%. They have more prospects to drill at West Cameron but rather glad they are not rushing in with the drill bit. Like to see them accumulate some funds first. Understand they will be bidding for more leases at the next MMS auction on 19 March so hope they are as successful this year as they were last. They certainly know the GOM very well having had 100% interest in 44 leases at the height of their exploration and drilling program in 1997. The fact that they managed to bring with them inthe reconstructed company all their data accumulated over 10 plus years of activity in the Gulf gives them a good idea of where the "scraps" are. These are relatively small reservoirs that don't interest the bigger players but which at todays prices are very very profitable. Cheers, JBC