Theres an article in todays smh. Heres the...

Theres an article in todays smh. Heres the link:

http://www.smh.com.au/business/junior-oil-players-in-the-us-find-all-is-going-well-20100815-12586.html

There are some interesting points:.

believers in oil prices sticking are starting to trawl through the ASX juniors active in the US, looking for ones weighted to oil, not gas.

The North American market currently values proved and probable onshore oil reserves at somewhere between $US12-$US15 a barrel in the ground. So that would be something upwards of $US88 million for AusTex's 7.4 million barrels of oil equivalent.
But in this market, valuations stick pretty closely to the historic cost of the investment made to establish the business, which in AusTex's case is about $A30 million. That valuation gap is why US groups have been sniffing around.
Assuming it gets to its 500 bopd target by the end of the year, there is a real chance that AusTex could get some takeover attention in the new year. On Friday the stock closed 1 per cent higher at 14 for a market value of $28 million.

This is applicable to ELK and may confirm the interest by investors to the ELK presentations in the US. When they get the project running and if the price is still languishing some US groups will probably be sniffing around looking to buy a bargain.