Ann: Research Report , page-112

Spoke with Argonaut this morning.
Can only give a summary if there is interest in this ( and is only my interpretation ).
Testing as well progresses is not usual or unusual.
It will though give SH's a better understanding in quicker time.
They suggested having the experts on site is an excellent move as LAR is charging CTR and RRS for the drilling. There were problems with this arrangement on AT 4 but now is in line on AT 5.The percentage for the Atzam 5 costs are CTR 60%, RRS circa 20%, LAR 20%.
RRS overhang is probably the reason for some trading " irregularities ".
There are a number of options for CTR corporately to sort out the 100m RRS shares.
Argonaut regard Brett highly.
The 1-63 block may be relinquished, which is a pity. This
because they have plenty to do on the present block, as well as raising in the present market is probematical ( keep it simple at present )
They suggested that there are future opportunities for other
blocks.
Tortugas has good quality oil also and the sulphur level is low.
This is surprising as they were intially drilling for sulphur.
My feeling is that if AT 5 is a success they will take the corporate shackles off substantially.
The 4.6 cents is conservative and is dependent on
whether there are 20 m barrels or 50 million barrels
once the re appraisal is completed.

JMO

DYOR.

GLA.