Ann: Targets Gas Production of 15 mmcf per day b, page-8

re: Ann: Targets Gas Production of 15 mmcf pe... last quarter costs were $2.7 Mill ( For some reason i can't see interest payments?) however all previous quarter costs were much higher. Given they will hire new board members etc lets say costs are $5 Mill per quarter ie. $20 Mill per year.

Revenue - ok at $3.5 well head price is around $20 Mill.

So they cover costs, MAYBE

SH have chipped in $120 Mill and lets say rate of return is 10% PA over 20 years. so roughly they need to make enough profit to repay $120 Mill +$55 Mill + about 12 Mill PA for a return. Around $420 Mill over 20 years or about $20 Mill PA profit.

Given these figures are rough as but simply breaking even on costs is NOT a good investment. You also have to factor in depreciation of assets , decline in production and development costs and you quickly see MAE needs production more like 50mmcf per day + to actually be a good profitable company in its current format.

15 to 50mmcf is a long way off and yet to be procen viable. Any company that would want to buy MAE would need to achieve the same production figures.

IMO even with revenue of $20 Mill there balance sheet still looks like crap and would show they are loosing value, people aren't buying MAE for its balance sheet they are buying it on the hope they sell it to someone else who can make it profitable.