oil oil oil please, page-74

Carabaea,

Just read you comment about the $800k per month costs for Mali and I have to say that my thoughts were almost exactly the same as Twang's (which started with sh not f - but I won't say it or I'll be moderated as well - lol).

You can see from my earlier post that I felt the reason they were looking to get out is that they were burning too much cash in Africa - but I had no idea it was this much.

If you think about it, $800k onshore Australia would probably get you 20-30% of a 3000m drill in good oil country - including completion costs!!! If we were getting 20% of a completed wildcat drill every month I would feel a whole lot more comfortable with that level of expenditure.

I admit I haven't had much time to look at BKPs Africa stuff in detail just yet but I have to ask myself what are they getting for that cash.

I'm feeling a little less comfortable with my earlier positive attitude. With cash burn this high and the difficulty of knowing exactly what their financial position is, I'm now worried that they may need to get out of their African position very quickly in order to stop the bleeding. And a fire sale of assets is never a good thing for the seller.

I guess one thing is that a good result in Mugello 1 and a quick positive outcome in La Punta 2 might just be enough to keep them going (but probably not enough to save the African assets).

Cheers

Badfish