failed to break the 78 cents peak, page-2

My view is that the share price is probably responding more to fundamental rather than technical influences (not knocking the worth of technical analysis B2, just making an observation at this point of AMU's life).

I would expect tomorrow's regular weekly drilling update to have some firm numbers on the expected flow rate from Byczynski #1 in Lavaca County. The 350' or so of gross gas filled sands encountered in that well have the potential to deliver a bonanza flow (and associated profits).

If this proves to be the case, I would expect a significant jump in price, and the former 78 cent high to be passed as the stock price moves into the mid-80s. If the Byczynski #1 delivers disappointing results, the slide in price will continue back into the high 60s.

Tomorrow's weekly report will probably also have some production data on the two Red Creek wells that have recently been completed. However, I imagine the market has already factored in that these are likely to produce along the lines of other similar wells on this patch (ie around 80 bopd). AMU's net share of that after royalties would equate to about 70 bopd - or a 10% hike to average production reported in the September quarterly. Reported production up or down from this could also see the share price respond commensurately.

It is probably a bit early to expect any results from the next Lavaca County well which is drilling away - as it will only be somewhere around 5000'. So a spike in price from any good news from this well is likely to be another week or so away.

Given the 30 to 40 wells that AMU has scheduled to drill this year, I reckon the share price will largely be driven by news drilling success, biodiesel updates and any new signficant acquisitions of exploration and producing ground.

My view: still plenty of fuel in the tank for AMU and looking to double in price before December of this year!