marlin 2, page-5

AA - I have given into such thoughts on several stocks in the past few months - AKK at 23c, CFE at 36c, MXR at 20c and the list goes on. All had been underperforming big-time and being oversold. The thing was that the market then woke up to it and any good news sent them all soaring and so I have lost a 1.5 - 3 bagger in each case.

I know that if I sell some of my BUR that marlin2 will flow at a very good rate and Marlin 1 will continue at these great rates and the market will become very much more positive and re-rate this upwards significantly.

They will not drill Marlin-2 until they have significantly more pipeline capacity. If they brought Marlin-2 on now all it would achieve is to spread the 10mmcf/d capacity between five wells rather than four, marlin-1 would drop to about 4-5mmcf/d due to this, the new well could only flow about 5-6 mmcf/d due to competition from Marlin -1, and the older wells would probably not flow at all against this pressure - and the market would be spooked and sell this down even more.

I also have a very large holding and am frustrated but fortunately only a tiny way from being in the green now. I hold.