1&2p reserves worth a$153++m , page-5

re: i dont get it 13million barrells The value of these 1P and 2P reserves is probably best reflected in what someone is prepared to pay for it. In this regard, one of the reports that Shaws put out on AMU last year noted that market transactions in the US for similar reserves were bringing US$10bblo for 1P and US$8 for 2P.

Since then the estimated average price of WTI has moved up more than US$10. As I wrote in an earlier post, you can punch your own numbers in, but even a conservative increase in the likely per barrel value of AMUs current reserves of just over 13 million barrels gives a very juicy number.

On top of this, production from some of their recent successful wells will soon allow them to add further to these reserves. (This is because a production history of ?? 2-3 months is needed before any reserve estimates are possible). Moreover, their imminent 5 well back-to-back drilling program on Raccoon Bend is due to start any day now, and if AMU's announced expectation that this will more than double current production comes true - then reserves will get another massive boost!

One to watch - for both oil/gas production increases and for their biodiesel business.