Ann: Quarterly Report - March 2015, page-2

Looks very promising, for the quarter:

US$16M net revenue on 3,883 bopd at US$51/bbl
All Manora capex now paid for with drilling completed

at 4500 bopd at US$65/bbl, we are probably looking at US$20M per quarter (I did some detailed calculations that I will not present here), assuming production expenditure remains the same as March quarter's

US$25M in cash as of 23 April 2015 (previous announcement)

Forecast expenses of:

Payment to NGP/H of worst case scenario of US$14M
Cost over-run of US$8M
Potential contribution of US$9M for an additional 3.33% share of Manora

All of these now can be accommodated, noting that TAP can offset the remaining US$9M due from NGP/H for the TAP carry.

So to summarise:

US$14M (Payment to NGP/H)+ US$8M (cost overrun) - US$9M (Tap Carry)

gives

US$13M worst case expenses for the end of this quarter + option to pay US$9M for additional 3.33% Manora share if NGPH cannot settle its default.

Easily funded with US$20M per quarter net revenue from now on, provided oil prices don't go down. And on top of existing US$25M in cash.

Also forecast to repay US$30M+ of debt by year's end (previous announcement)

I have said it before and will say it again, no need for a cap raising. Downramping this stock is so yesterday.

I have a feeling this will rocket up to the 40s soon. Above 75c by the end of the year (assuming no board spill!)