not the best day, page-7

analysis Gents

Dont see any reason for the downturn, however i am baffled how they've managed this far & spent sometime on researching them. The rise from listing price to this far & that too after just 1 well is indeed strange.

Analyse this, the Ezell-4H well produced 1.5 mmcfd (gas US$6.75/mcfd) & 20 bopd (oil: $60/bbl) on test & has been hooked up to a gas pipeline to generate revenue of A$11430/day or A$354357/month for the company since 25th Oct. This revn generation only could have warranted the rise from .25c in Sept to $1.10 in late Dec. Now there are others listed & exploring far more then 1.5mmcfd gas in the US & they've been stuck in the 0.28-0.65c range albiet stuk with operational & technical delays.

Looking at the future, the 2 St Gabriel prospects have 21.6 bcf & 2 mmbls of oil, this is not too great a figure to hop about considering some big targets in the 200+ Bcf range are been drilled & again going nowhere.

Comparisons have been made with Goodrich Petroleum & how they went to $44, well they arent even producing from Gueymard in St Gaby field (its a future producer, which tested 4 MMCFD & apprx 200 bbls of condensate). Their rise from $2 to $44 was from a period in 2003 to Dec 2006 (pre-xmas) after which they are now around the $34 mark. Their net income for Q3 ('06) was 8.2 million & that involved drilling 20 wells in that quarter. Also they have far more producing acreage to justify such a rise over a 3 year period, unlike AKK who've got only 1 producer & hopefully 2 more from the SG field by May this year.

Whatever happens should b interesting to follow them.