panic not

How many times have we seen a SP (selling price not Simon Potter) collapse before? Look back at the charts.

"Standing tall" is keeping our heads while all those around us are loosing theirs.

Let's keep our heads and consider what has changed.

Is HDR not worth more now than before we knew we had a commercial oil find?

The reserves (UNTILL TOLD OTHERWISE ) are unchanged. The flow rate is diminished which affects short term cash flow and cash at the bank. But we have plenty of cash in the bank thanks to Simons capital raising from the Poms. The price of oil is way over that used in forward calculations so HDR's cash flows may not be that dramatically reduced.

The Atwood Hunter will be on site soon to re-drill wells in the southern sector where they know they will hit oil and get production back on-line.

Uganda is what we need to focus on. We are on the brink of a great oil discovery.

We need to wait one more week to find out how great it is.

Simeon knows what we are waiting for and given that the flow rates are commercial will deliver an unequivical report to that effect.

The warrant issuers will see this period as an opportunity to close out several warrants if they can. They are close to closing out the August call warrants at $1.60 and will try to get the price down. Are we going to help them by talking HDR down? For me I trade these opportunities but am still a long-term holder.

The Dow jones futures are up as I write. Oil is still over $ 72 barrel. Hopefully the world will still be there tomorrow.

We have come this far, now we need to either bail out if the risk is too much or hang in there and reap the long-term rewards.

Ok, I've had my say, now come on, have a go at me for remaining firm if it makes you feel better.

Happy Trading

Angers