moreys to spud in less than a week, page-23

"A commercial gas discovery in Moreys 1 could result in early cash flow to Lakes Oil and its partner Armour Energy Ltd, subject to suitable gas sales agreements." LKO have mentioned this numerous times in announcements and company presentations.. are they quietly confident that they can monetize Moreys? Maybe I'm looking too much into it..

Just to recap some quick facts already mentioned here:

1. PEP 169 permit has existing infrastructure and is connected to the eastern Australian gas network.

2. PEP 169 is a proven hydrocarbon province.

3. Production to date of over 90 BCF WITHIN 20 kms of Moreys 1.

4. 23 Gas Discoveries in area since 1979 : 14 commercial fields (OGIP >5BCF).

A 46% CoS is indeed very high.. We will know the answer in less than two weeks anyways!

With Armour on board I'm confident that LKO will be trading much higher than current levels..

Hold tight..

Robs15.