Ann: Change of Director's Interest Notices x 2, page-32

Hey mate.

I understand your, everyone else's frustration and disappointment at the current share price.
I, my friends and family who have invested in BRK are also frustrated with this crazy value/ price disconnect..... and I know for a fact, so are David , Gracjan , and those associated with BRK.

But I disagree with your comment about " A true leader would do everything in his power and try his utmost hardest to get the share price as high as possible prior to the option expiry date."

DP's main role as the leader of the company is to concentrate on making sure that the company is in the best shape possible, operationally, financially and corporately. A MD's primary role is not to focus on the share price, but to focus on the company, and if he gets that right, the share price will eventually follow. Marketing, advertising the company and giving the right signals are also part of the role, but he needs a business to market. I wan't a MD in the trenches focussing on building the company, not focussing on the share price. That's what a spruiker does and you don't want your MD doing that IMO.


I agree that exercising his options will send a positive message to the market, but even if he had done so earlier , does anyone seriously believe the share price would have been significantly higher than it is now. Would the hordes of holders exercised their options any earlier. I wouldn't have, all those I know have left it to now to exercise. I am pretty sure that the vast majority out there wouldn't have exercised their options any earlier either. I am confident most of the early exercisers did so because they sold their heads at a higher price and used those funds to exercise. That would have been a transactional exercise, rather than a fundamental value exercise. Why would anyone think DP exercising 2-3 or even 6 months ago would have had a major effect on the share price. Why would the market respond to that, and ignore the fact that the company will throw off more cash over a 12 month period than it's current fully diluted market cap, and will be doing that within 6-9 months?

In regards to the share price , 12 months ago, if someone asked "which act do you think would will have more of an impact on the share price, a) DP exercising his options early, or b) leading BRK in proving ~25 MMBOE in reserves , producing ~4000 BOEPD gross ( 2400 BOEPD net) and annualising an EBITDA of ~US$45 million pa and growing?".

Back then, I doubt anyone would have said a) ..... but in hindsight, it wasn't b) either.!

In the extraordinary success of the operations, leading to extraordinary growth in revenue, profits and asset value lays the foundation of the future share price and that's where the corporate focus should be.
DP has control over how the company operates, but has very little control over how the market responds.


Cheers

Dan