future tied to price of natural gas, page-5

hi BB, JW

currently RFEs main revenue stream is from oil and more than likely this will increase with future drilling at West Tulsa, from my figures we only have the 20 EOK South wells producing gas plus associated gas from the wells at WT and Osage.

current gas prices are low no doubt and a large portion of our reserves are from gas as will most of our future increases in reserves but RFE purely on figures is the lowest valued oil and gas stock operating in the US currently on the ASX, gas prices have been factored in to RFEs pricing and then some.

the US exporting gas would help, the US using more gas for their vehicles would help and a few hurricanes and cold weather would all help the gas price, but will say it again, RFE is basically valued on their net assets, no consideration has been given to reserves, cash on hand, low share base and no debt.

re the EOK South article nucular found, i have thought about this and i have come to the conclusion that this must have been a typo. EOK South has never been an oil target and if this was indeed a new oil discovery then the market would have been informed of this by now.
i obviously cant confirm this but i am not pinning hopes any any new oil discovery, our oil fields are in West Tulsa, this is were we should be concentrating on for the time being.