Ash creek oil cut increased slightly after 3 consecutive months...

Ash creek oil cut increased slightly after 3 consecutive months of decline. It was originally said it would take 3 months to see a response to the water flood. The increase may be nothing but a bump in decline or it could be the start of rising production. The rise was only 10% (meaningless in cash terms) from may to june and i suspect we would need at least another 120% increase before it would justify additional workovers, should we get to that position then we are a good chance to keep developing wells at AC 100% ELK for increasing cash flow.

Oil cuts....
Mar = 3.5%....April = 2.63%....May = 1.85%...Jun = 2.05%

Cheers