Main highlights:1) Jack-Hamar is for real. It has been evaluated...

Main highlights:

1) Jack-Hamar is for real. It has been evaluated by well-known 3rd party petroleum engineers and they have endorsed the companies position that this is a major discovery
2) Reserve estimates for oil zones are very much achievable. Market is focussed on flow results, but there is a strong belief that test results will prove successful. Obviously estimates are just that until a field is fully developed, but the JV is very comfortable with the range of estimates that have been provided to the market. My feeling is that the higher range is very achievable from talking to other people who seemed to know a lot more than I did. Company is convinced that the market will value it appropriately in due course
3) Shallow gas zone is extremely significant, and alone could be worth more than the current market cap. The gas is of extremely high quality and will achieve a large premium to Henry hub prices. Gas in ground value estimated at US$3/mcf, and there could be 10-20Bcf here. May accelerate gas zone development to avail of high gas prices and to bring cash flow on stream quickly
4) JH-2 may include a horizontal section. More expensive, but the JV is very confident of JH viability, so might want to drill a well that can serve as a high impact producer right away
5) San Emidio likely to be drilled early next year. Given the significance of JH, San Emidio is of seconday importance and the JV decided to focus energies on JH for now. I found this point especially significant, since San Emidio is targetting 20mmbbls and is a redrill of an old Chevron well which flowed previously (so risk is negligible here). Says a lot about JH, if a virtually guaranteed 20mmbbls is of seconday importance!
6) More news to follow on new significant developments. These will be released in due course
7) Saw a few interesting faces at the AGM. Won't state their names, but there were people there I have worked with in the past. They are a lot smarter than I am, and they in suprisingly heavy. These guys know California!

All-in-all I am more convinced than ever that we have a winner here. I think today's sell-off was driven by ill-informed investors who quite frankly don't have a clue about evaluating the merits of an oil investment proposition. I'm just stating the facts as I see them, but I encourage you all to do your own research and come to you own opinion. But that's just my view.