BRK Discussion, page-3

Yes, we all await the Announcement notification that says :

Announcement: Jewell Funding Partnership Completed, First Drilling to be completed by 2nd Quarter 2020. Rangers and Flames DSU's pooled and Funding Partnership Completed. Drilling to commence 3rd quarter 2020.

WHAT WE KNOW
1. Significant progress was made during the quarter on establishing dominance and a path to operations on two additional DSU’s, the Flames and Rangers Units. The Company expects to be in a position to provide an update on these two new operated units in the March quarter.

2. Bullard has now produced gross well head volumes of 335,000 barrels of oil equivalent (50% oil) and generated gross revenue of US$12.13m ($18M AUD) (representing a 100% working interest before royalty payments. This well will payout in 2 years with straight profit after that..

3. The Company is now looking to concentrate its efforts around a number of very high grade operated DSU’s (including the Jewell Unit) in the SWISH AOI using its acreage position to leverage into a larger holding through further trading and spacing and pooling activities.

And for those who don't understand the model, their leasing facility, potential CR's or the $$$$ :

Brookside’s participation is in a total of thirteen wells for a total cost (drilling and completion) of US$4,700,000. Maximum drawdown under the joint venture was US$3,700,000, with the balance funded from revenue received from the joint venture wells which was subsequently re-invested.

During the fourth quarter US$320,000 was returned to the joint venture (a mix of revenue received during the quarter and revenue accrued and held for the account of the joint venture). The total amount returned to the joint venture to date is US$1,060,000, reducing the drawn amount to US$2,640,000 as at 31 December 2019.

The parties do not intend to make further drawdowns via the joint venture and revenue received from the joint wells will be returned to the joint venture on a quarterly basis. The joint venture owns the net revenue stream that is generated from the joint venture wells and the income stream is split as follows, 100% of net revenue from the joint venture wells until 100% of the capital it has contributed is repaid, and thereafter 25% of net revenue from the joint venture wells for the life of the wells.

In summary, Brookside is :

* Paying down its debt (loan facility) with no need for CR as stated by the company
* Re-investing the revenue from non-operated wells into more acreage, pooling and ultimately drilling.

These interests have grown the generated the revenue to expand the company to now have self-operating units like Jewell...

The last step is - "We have these wells that we know have lots of oil! How do we organise getting it out??"

So here we are -- Brookside is sorting out the funding for Jewell, Rangers and Flame where they own 80%+ of the working interest. Once this funding is sorted they can drill and imagine the $$$$ based on knowns like Bullard output etc... if you do the numbers, then work out what the SP will be 12 months from now...

Not advice, DYOR GLTA