Well done guys. Intraday looks like a nice solid rise to that...

Well done guys. Intraday looks like a nice solid rise to that good finish.

Volume not bad for u guys at just below 50 mill.

Been threatening on the ASX to break to mid teens and seems to have been on a more structured weekly cycle here in oz. But last week was a slightly different weekly price pattern again.

Whats undeniable is the strong rising channel now forming on the asx chart. Yesterday wasn't bad volume for us either and it held 5c pretty well even tho that dribbler still appeared to be present their momentum looked like it was slowing a bit.

Thing that's impressive in all this is the technical support that appears to be unfolding both in the UK and Oz.

If there wasn't a market belief before in whats happening here its certainly building market wise now. Almost as if the market has said " maybe it's time to start believing what these guys are banging on about.

It's not as if it's a jerky ill-considered rising pattern. It's just simply strong buying that just keeps going to the next level when needs be, week on week.

Current pattern reminds me of how a BHP trades when commodities are strong.

Funny thing here tho is that oil is not all that strong atm but it is showing signs of strong support a $50bbl.

So perhaps with the realisation that previous play numbers had a margin built on a production cost of sub $40bbl and the oil price holding now at 50 we are looking at a realised in-ground margin of $10bbl on internal estimates of 2.6 billion barrels which if my basic multiplication is working is $26 billion in profit.

Even if we went with the D&M number that still
$10 Billion.

Now how many companies would scoff at say a 3o year projected profit of $866 million a year on 2.6 Billion barrels. I'm now beginning to have a little more faith in the chances of major moving on Icewine. In fact one could see a major looking favourably on this at even a quarter of this profit.

Scary thing is what company value do we get when we start using market multiples. Even at the higher end of what U were talking about Laz that's a very big number.

d.