mapd i have a question for you.The company has stated on...

mapd i have a question for you.

The company has stated on numerous occasions that they have no other options other than these notes for the financing of the hori.

Upon completion of the hori,taking into account the interest being payed to note holders 10% plus the 5% profit from the well and a payback period of 10 month's ( from memory ) what will be the companies forward plan.

Now, the company has not stated that they have a forward plan, the question was asked at the GM where you were present, and the response we got was a shrug of the shoulders and just a hush went through the room. Lets say the hori is producing at avge rates and all the running expenses are taken out as mentioned above what will be the option then to drill the companies next hori ?

Lets say a couple of months into the life of the hori where do we go from there ? Do we then go to the shareholders again ? does the company ask for another note raising ?

In order to keep the companies avge decline curve from dropping to fast we need to keep up our drilling schedule as high as possible, so we need to have finance for the future wells now, not when this is 6 months old.

Do you think this one hori will make that much of a difference to any prospective bank offering $50 mill for our drilling plan ? If the banks are saying no now ? What difference will this one hori make when so much of it is leaving the company to note holders,the decline curve kicks in and we dont have plans for other wells.

As cmonaussie has stated many times, the company has a report which was done some time back, where is it ? and why can't the company utilise it now for financing ?

These are sincere and open questions for you and any share holder or note holder to answer. It would be great if the company could answer them as well.

ps; if you took offense at my rant previously I openly apologise and hope that we can all come up with some open discussions and answers to benefit the company.

I will though reiterate that I am not and have no intention to stop the company from getting finance, I do though question why they can't access finance from an institution ?? I am though trying to prevent the immediate dilution stressing the word immediate !Lets have the note holders convert after a period of 6 month's.That way the company still gets their finance and the company moves forward.If they are honest about getting the company up and running, let the sp stabilise and hopefully appreciate and then decide if they want to convert them into shares which will give them a holding in a successful growing oiler.


As far as morebull goes, I think it would be great if the person who had him moderated could contact HC admin and then he could answer all of your questions.He has stated to me that he would like the opportunity to put his case forward.

regards

acreage