I've conducted large amount of research into small to mid cap...

I've conducted large amount of research into small to mid cap explorers to find the next 'jewel'.

Although being new to ADX Energy, i have failed to find a more promising company with as much upside potential as ADX has. Not only has ADX received some excellent coverage from brokers (please refer to the links below) but most value this company anywhere from 30 - 60c (again please refer to the Patterson African Review) which values Sidi Daher Prospect at 45c per share alone. I'm also very impressed that London based Edison Investments have coverage on ADX.

http://adxenergy.com.au/documents/1291962777_Patersons%207%20December2010.pdf

http://adxenergy.com.au/documents/1289265900_Edison%20Investment%20Research.pdf

http://www.galilee-energy.com.au/PDF/Patersons_Oil_and_Gas_Review_November_2010_1_.pdf

What makes Sidi Daher Prospect a company maker is that its an On shore low cost with incredible commercial production potential. ADX with its farm in partners are targeting 175 Billion Cubic Feet of Gas (AUD$1.2 Billion) + 44 - 300 million Barrels of oil (@ $40 margin per Barrel). Also we must keep in mind that the price of Gas is 2-3 times the price of Gas in Australia (which makes this so much lucrative for the company).

The surrounding areas produce large amounts of both gas and oil and all infrastructure is in place. "Chorbane is favourably located with regard to
infrastructure for both oil and gas export due to its proximity to a number of producing
fields, oil and gas pipelines and the port of Sfax. Several proven petroleum systems are
evidenced by fields adjacent to and on trend that produce or have tested oil, condensate
and gas generated and trapped in Eocene to Jurassic age rocks."

I haven't touched on the other discoveries which will be tested in due course but i will in later posts. I'm also looking forward to see the feasibility study of Dougga which is due anytime this month which will provide an expert independent view on the commerciality of the Dougga prospect.

Do the numbers and this one is a no brainier. Anything from 10-20c is excellent value.

Always DYOR.