Ann: Top 20 securityholders , page-3

There is no question that AOK is a great story.

We keep hearing about the various leases in Oklahoma and kansas. They have said on a number of occasions that given time, AOK will deliver 1000 BOPD. There is never any communication about how much they are doing. If we look at cashflow statements they are producing revenue but are spending it on future developments.

currently they are producing $1M in net revenue/ qtr. So if we annualise that amounts to $4M in net revenue which amounts to 200 BOPD.

Therefore at 1000 BOPD we would see net revenue of 20M USD.

With development costs of around $6M - $8M USD, it amounts to Net profit of $10 - $12M.

If you valued this at 7x earnings (which is cheap) then market cap should be $84M as compared to $25M. Therefore 3 to 4x upside and shareprice should be 70 cents/ share +.

It will not happen overnight, but it will happen.

Robert Swarbrick