lko & tsv

Its no secret that LKO's Wombat field and TSV's Warrow are comparable the company has itself made the comparison (see ASX Price Query Response dated 3/4/09)

Also in Western Australia a “tight gas” exploration well, “Warro” is currently being drilled using
similar technology used by Lakes Oil NL in Gippsland, which again is an example of
increasing interest in unconventional gas.


Interesting TSV has gone into a trading halt pending flow rates at their Tight Gas Structure Warrow, if they are positive the stock will go to the moon, not holding any but am holding LKO whose tight gas structure know as Wombat is worth $50m - $88m = 1.2c - 2.1c (see numerous anns including ASX Price Query Response dated 3/4/09 and letter to shareholders dated 29/10/08)

Another point of interest is that TSVs current mkt cap is [email protected]= $22.5m and it has a 10% interest in Warrow

Lakes mkt cap is 4,[email protected]= $21m yet it has 100%

Theoretically Lakes could 70-80% of the well to a majopr and retain a 20-30% free carried interest

So keep an eye