production well imminent

Been quietly watching this stock very closely for a while and decided the time is right to take a position.

This is about as low risk as you can get for an oiler. It's being priced like an explorer but in reality it's developing known resources to production. Had some long and detailed conversations with management, I'm normally pretty skeptical of management talk but Wal left me feeling total confidence in their abilities and their detailed understanding of the ground. Not surprising given our CEO is part owner and technical director of one the most respected petroleum consultancies in the country. With the likes of NSE, BRU, AJQ, AQO on their client list we know we are dealing with some of the best in the business.

Twinning an existing hole with known production of 5.1mmcf/d + 20bopd is about as good as it gets for a near 0 risk scenario. AJQ reported a 3.3mmcf initial flow and put on $50m market cap overnight. Scaled to 5.1mmcf that would be about $77m and AJQ doesn't look like it's finished running yet. Then 2km east we have the immense pov-2 well that blew out because of so much pressure and showed a massive 17mmcf/d! The mind boggles at the potential of this field without even considering the 700m of shale or shallow oil they they know is there.

For future upside we know they are looking for more projects in the Ukraine. We know the Ukrainians need help to develop there resources, we know they are desperate to gain energy independence from Russia after the 'turn off the tap' episode. And through this process they are building a working relationship with the local regulator who stands to profit handsomely from Aleator's expertise. It's from these sort of market inefficiencies that real opportunity arises. Look forward to riding the Aleator train.