oil & gas found, page-21

Hi Szaba,

"I think they might have included gas this time on the Ann because we could be coming up to a pretty ordinary quarterly production result. This new well Ann might be a sweetner to lift spirits on the future outlook for US Gulf oil production sentiment IMO."

I agree, and accordingly have also been doing some research.
The first thing I've noticed is the total lack of consistency in LNC's & LER's reporting( Linc Energy Resources, Oil & Gas, US Division). Initially this could be explained by the reporting requirements of the CB's, as LER is the security against the debt.
Firstly LER ann of 2.7.12 stating June 12 prodn exceeding 4000bbld (exit rate i assume). Same ann stated June12 monthly average of 3200 bbld. 2 days after end of quarter! This figure was adjusted up to 3263 in coming weeks. So as we know, they can get the info out 'super fast' if its good. Since the CB issue, financial figures need to be included, so now takes 6 weeks.

Monthly averages were included in the LNC Quarterly for June12 & Sept12. Very transparent. Then in the Dec12 Quarterly where the quarterly average actually dropped from Sept12 of 3851 BOPD(gross) to Dec12 of 3784 BOEPD (ha ha), no monthly average breakup was provided. Miraculously the Dec12 exit rate of 6300bbld was achieved ( ie 1 days prodn). Switching between BOEPD & BOPD seems to be happening between the 2 entities, who can't make up their mind which is most convenient. Gas to date has been miniscule & irrelevant.

Mar13 Quarterly average prodn was 5111BOPD (gross). Moving in the right direction, but no monthly average breakup provided. Mar13 LER Oil & Gas, average quarterly prodn 5141 BOEPD, with only $400 gas produced. Work that difference out :-) Umiat maybe? Doesn't matter.

Obviously the '1000 BOEPD' Cidar Pt well won't be included in the June13 Quarterly. U know, the 400bbld one, that with gas included is equivalent to 600bbld (in terms of gross revenue)( Hi MrMc) that PB has juiced up to 1000BOEPD. Which is industry 'standard'.

LER ann of 2.7.12 also gave some incredible prodn guidance for FY13. Estimated Oil & Gas Revenue (Gross) of $173M. EBITDAX of $131M.
From what I've noted after 3 quarters Gross Revenue is $89.4M ($24.9 + $26.2 + $38.3)
And EBITDAX is $55.3M ($14.7 + $13.6 + $27)

So 'IF' LER can produce the total prodn of the previous 3 quarters, this quarter, that should be a pass mark?

Apologies in advance if I've erred.