It can't be the case that AED is more leveraged to the oil price...

It can't be the case that AED is more leveraged to the oil price than NWE.

If the oil price jumps x%, then NWE's royalty jumps x%, and AED's profit jumps xy% where y is the gross margin % on the oil. (ie poo - extraction costs). ie, y < 1.

NWE starting to seriously lag AED now. Look at the 6 month charts. NWE due for a significant step up. May coincide with the first royalty cheque. No doubt there'll be an announcement for that.

h.